Raw Material Prices Keep Tumbling! Cheap Plastic Packaging Hits Paper Packaging Market
Raw material prices keep plummeting! Cheap plastic packaging hits the paper packaging market
International Packaging Information Network
Under the shadow of global economic recession, the plastics industry faces a double squeeze - severely insufficient downstream demand and a pullback in upstream crude oil - and the plastics index has been sliding all the way!
In the past two months, the biggest problem facing factories is
"worrying about orders"! The impact of the post-pandemic period on China's consumer market has become increasingly obvious, overseas orders are in a state of high uncertainty, and market confidence has been severely damaged.
have all declined to varying degrees, among which
all buy on rising prices and hold back on falling ones. In the current market, this further dampens purchasing enthusiasm. Everyone is standing pat, waiting for the next move in prices:
Plastic packaging has a long history of development in China and has now formed a relatively mature industrial chain. Specifically, the upstream of plastic packaging is the supply of raw materials, general-purpose plastics, plastic additives and dedicated plastic processing equipment, and the enterprises are mostly plastic products companies
The midstream is the plastic packaging manufacturing segment, including plastic buckets, plastic bottles, plastic caps and other plastic products, as well as the manufacture of amorphous products such as plastic tubes and plastic bags; the downstream is the application field, including beverage manufacturing, food manufacturing, pharmaceutical manufacturing, daily chemical product manufacturing and edible oil manufacturing.
The sharp plunge in the price of plastic pellets, a bulk raw material, has dealt a major blow to the entire packaging industry. Packaging users at present generally face insufficient domestic orders and a cliff-like drop in foreign trade orders, and enterprises urgently need to reduce costs to gain some breathing room.
With the sharp decline in plastic raw materials, plastic packaging may fall to rock-bottom prices and, to a certain extent, buffer the impact brought by plastic bans and restrictions.
As concerns about economic recession are taking shape, order volumes for plastic materials in the market are currently declining sharply, and a major rebound for plastics is unlikely in the short term. The cost advantage of plastic packaging will show itself in fields such as e-commerce packaging and cushioning packaging, and will deal a further blow to the packaging paper market.
——This article is reprinted from China Packaging Network (pack.cn). Original link: http://news.pack.cn/show-379055.html
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