China's Paper Industry Accelerating A New Round Industry

- Oct 09, 2015 -

China's paper industry Chamber of Commerce and the China National light industry information center jointly compiled by the 2012 till 2013 development trend of China's paper industry study released a few days ago. The report showed China's paper industry is going through "growing pains", a watershed for the industry have emerged, "good good, bad, bad" trend clear.

At present, the papermaking and paper products industry enterprises above designated size 7,207, 2012, papermaking and paper products industry's fixed asset investment reached 222.09 billion yuan, up 15.5% from a year earlier. The national paper industry (including three of pulp, paper and paper products industry), total industrial output value of 1,285,970,000,000 trillion yuan, an increase of 11.96%; a profit of 55.28 billion yuan, an increase of 8.42%.

Report analysis pointed out that: in external and internal environment occurred complex changes of situation Xia, 2012 China mechanism and the cardboard production for 113.75 million tons, production again innovation high, continues to keep global first; and in previous years two bit number of growth compared, 2012 production growth obviously down, compared only growth 4.65%; sales rate slightly has declined, industry exists with starts rate insufficient, inventory increased and profit fell of difficult. It is reported that the paper industry from the effects of slowdown in expansion of production capacity and market demand, product prices fell, profit margins narrowed a profit decline, paper profits grow only 3.61%, pulp is running at a deficit, negative growth as high as 185.56%, paper pulp production and operation difficulties in particular. According to the November index, making a total of 945 companies industry-wide losses, loss of business growth in the number of 16.38%.

Related bulletins of listed companies found that, subject to market demand and overcapacity in industry as a whole double down, poor performance of listed companies in China's paper industry as a whole. Until now companies have released pre-announcement of 2012. Even be profitable companies, including your sugar shares, more than the company was expected to reduce net profit in 2012. Overall performance of listed paper companies showed that the paper mill production is not increasing, paper enterprises profits drop. A number of listed companies rely mainly on the Government's "red envelopes" to profit; in addition, some companies exit the pulp and paper industry, which is one of the sign of industry consolidation.

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