Commercial printing paper market, such as newsprint, continues to shrink
With the development of information technology, especially the development of mobile information technology, the output and demand for commercial printing paper such as newsprint are continuing to decline.
At present, China's newsprint production accounts for 13% of the total global newsprint production, ranking second in the world, second only to Canada. According to the statistics of the China Paper Association and the General Administration of Customs, the apparent consumption of China's domestic news paper decreased by about 14% from January to September 2014. US newsprint consumption has fallen by 83% from 2008 to 2013. In October 2014, the demand for newsprint in North America fell by 13.1% compared with the same month of the previous year. The demand for newsprint for newspaper printing decreased by 17.3% year-on-year, and the stock of newsprint increased by 34.2%. Sweden is the world's second largest exporter of newsprint, second only to Canada, with 95% of Swedish newsprint production. According to statistics released by the Swedish State Forestry Administration, the output of Swedish newsprint in 2013 fell by 22.6% year-on-year.
Market demand for paper and packaging papers is rising steadily
China's household paper production ranks first in the world, followed by the United States. Domestic paper production in China and the United States accounts for 48% of global consumer paper production. Contrary to the decline in production and demand for newsprint and printing paper, global consumer paper and packaging paper production has steadily increased. According to statistics released by the Ukrainian National Statistical Committee, printing paper in Ukraine fell by 22.4% year-on-year in 2013, while tissue paper production increased by 5.6% year-on-year, packaging paper increased by 8.6% year-on-year, and corrugated box carton production increased by 9.8% year-on-year. Germany, Sweden and Finland are the three major paper producing countries in Europe. In 2013, Germany, Sweden and Finland reduced the production of printing paper and increased the output of packaging paper and cardboard. In the first three quarters of 2014, Japan’s newsprint production decreased year-on-year, while sanitary paper, packaging paper and corrugated paper grew year-on-year.
At present, in the global production and demand structure of paper products, household paper and corrugated paper account for nearly 50%, and newsprint and printed writing paper account for about 35%. The demand for tissue paper and corrugated paper continued to grow steadily, while newsprint and printed writing paper continued to fall. In particular, newsprint continued to fall sharply.
China's papermaking structural overcapacity, the future does not rule out the collapse of large paper companies
The development of information technology has disrupted the competitive landscape of the paper industry. Then, how should the listed companies in the paper industry respond to the huge changes in market demand? Can the news paper giant stop falling on the downturn?
According to the 2014 semi-annual report of Huatai Co., Huatai Co., Ltd. transformed two newsprint production lines into high-end cultural paper production lines, and shut down and eliminated many backward cultural paper production lines.
Zhongshun Jierou's main products are high-end tissue paper products, especially paper handkerchiefs. Faced with the huge changes in the market demand structure of the paper industry, listed companies in the paper industry are adjusting their product mix and rushing to household paper. The supply of household paper will grow rapidly, and there will be obvious oversupply. Therefore, Zhongshun Jierou faces the market competition pressure as much as Huatai shares.
In 2013, China's paper and paperboard demand accounted for 25% of the world's total, and production accounted for 26%. In the next few years, the total output of paper and paperboard will continue to decrease due to the sharp decline in demand for newsprint and printing paper. The supply and demand of the market will cause some large paper companies in China to close down.
Before the electronic media spoiled, the listed companies in the paper industry competed for which listed companies had advanced imported equipment and advanced import technology. Which paper-making listed company can continue to survive in the paper industry, can not rely on imported equipment and imported technology, but compete which listed company can cooperate with other industry companies, which listed companies can be keen to find other industries technological progress The impact of the paper industry, which listed companies can provide personalized services to customers.
