Corrugated and Containerboard Markets See Sporadic 50 Yuan/Tonne Discounts
According to Longzhong Information, on September 14 the mainstream prices of corrugated paper and containerboard ran mainly steadily, with scattered paper enterprises in various regions implementing preferential policies. Affected by public health incidents, traffic in Putian, Quanzhou and Xiamen in Fujian was blocked and goods circulation was slow; a few paper enterprises in Fujian offered a 50 yuan/tonne discount on corrugated paper and containerboard order prices. In addition, scattered paper enterprises in East China and North China gave discounts to ship goods. Upstream purchase prices of waste yellow board paper generally fell, weakening cost-side support for paper enterprises. Business at downstream secondary plants was also lukewarm.
Figure 1 Domestic corrugated paper price trend chart
Market trend analysis and forecast:
Longzhong expects upstream waste yellow board paper prices to fall, which is bearish for the corrugated paper and containerboard market. Coupled with weak downstream demand, mainstream corrugated paper and containerboard prices may maintain a steady-to-slightly-declining trend in the short term.
Upstream and downstream related products
On September 14 paper pulp market quotes were mainly stable, with the board fluctuating and adjusting. Improvement on the supply-demand side was limited, downstream demand was poor with mostly rigid-need purchasing, and market transactions were sparse. Mainstream reference spot prices were: softwood pulp 6,200-6,250 yuan/tonne, hardwood pulp 4,600-4,650 yuan/tonne, unbleached pulp 5,900 yuan/tonne, and chemi-mechanical pulp 3,400 yuan/tonne. Downstream acceptance is not high, and paper pulp spot market prices are expected to be mainly consolidating in the short term with transactions leaning towards rigid need.
On September 14 the domestic waste yellow board paper market mainly followed the decline, with some paper mills adjusting prices downward for two consecutive days; finished paper demand is still weak, and affected by the "dual control" policy some small and medium-sized mills in certain regions have shutdown plans, reducing demand for waste paper, which is bearish for waste paper prices; recently, because individual paper mills in Shaanxi stopped production for the National Games and restricted trucks from other places, baling stations had difficulty shipping goods. Longzhong expects the domestic waste yellow board paper market to continue to run weakly tomorrow.
——This article is reprinted from China Packaging Network (pack.cn). Original link: http://news.pack.cn/show-378246.html
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