The production of European
Paper Products in 2010 far exceeded expectations. In terms of printing paper and writing paper, demand in Europe has increased by 5% year-to-date. Exports of paper products increased by 30%, and the total shipping volume increased by nearly 10%. The utilization rate of most paper products also increased by 10%. The growth of tissue paper is minimal. In 2010, the cardboard and linerboard industry remained the same.
However, there may be more challenges in 2011. The stage of inventory reconstruction has passed and the downward trend in the structure of publishing paper products has once again become evident. The renewed strength of the euro and the further expansion of China's production capacity have made exports more difficult. Due to the decline in the prices of various types of paper products at the beginning of this year, although the prices in the later period have risen but were covered by the increased costs, the increase in paper product production capacity has not affected the profit rate this year. The strengthening of the euro may cause the purchase price of fiber to loosen in 2011, but it will also make exports more difficult, and the profits of companies that sell fiber to the companies that produce pulp will also decline. Mergers will continue widely.
Orders for Europe and North America declined in October. In North America, shipments of writing paper (excluding non-coated wood pulp paper) decreased by 4% in October. Shipments of uncoated non-wood pulp paper fell by about 8%, a cumulative drop of 2% compared to 2009. In terms of coated paper, shipments in North America and Europe still decreased in October, but data for the year indicated that there was still a promising double-digit growth. This was due to anti-dumping policies of European and American applications on coated paper in China and Indonesia. . The wrapping paper continues to look good. Europe’s decision on anti-dumping of coated papers will soon be issued, and the anti-dumping tax rate is expected to be as high as 39%.
Demand for paper has declined, partly due to the economic downturn, and on the other hand to the end of the intrinsic cycle of paper stocks. According to data obtained from the European Culture Paper Manufacturers Association (CEPIFINE), shipments in September showed a significant decline. Data, including offset paper, coated paper, and non-coated paper, showed that shipments fell by 0.3% in September and rose 6% throughout the year.
