2019: two fatal tests that the paper packaging industry must face
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core tips: [China Packaging News] on the one hand, the paper mills are crazy about price increases, on the other hand, the paper packaging factories are empty orders, on the other hand, the end customers are strong in price reduction. Between the upstream, middle and downstream of the paper packaging industry chain, it seems that
[China Packaging News] on the other hand, the paper mills are crazy about price increases, On the one hand, the orders of paper packaging factories are empty, and on the other hand, the end customers are pushing down the prices. The upstream, middle and downstream of the paper packaging industry chain seem to be in the same situation
at the beginning of 2018, many friends asked Bao, saying that they were pressed by customers to reduce prices or transfer orders, but at that time, the rise was fierce, and they were unable to make a decision for the moment. I suggest that the price of paper not only cannot rise, but will continue to fall
at the beginning of this year, when asked the same question, my suggestion is: the trend of paper price throughout the year may be unpredictable, and the possibility of soaring is greater. Do not sign long-term fixed price contracts with customers
at the beginning of the Spring Festival, the packaging zone abnormally warned of the rise in the price of base paper, and some puzzled friends even left a message saying that the packaging zone was bought by the paper mill. We have never commented on these questions. Just as we warned of the sharp rise in raw materials in 2017, all facts prove the reference value of our media content. Moreover, we also want to remind our friends in the packaging industry that paper can eliminate or effectively reduce structural or non structural damage. In 2019, we will face two fatal tests. If we are careless, we will lose everything
fatal test 1: panic price rise of base paper
looking at the current paper packaging industry, the inventory of the upstream paper manufacturing industry remains high, and the pressure is high. Many factories still cannot start construction, and downstream customers are prone to 20% price reduction requirements. How can they rise
some industry bigwigs who agree with the rise in paper prices give many reasons for the rise, including: 1. Under the shrinking market demand, paper mills need to raise prices to maintain profit margins; 2. At present, the inventory of packaging enterprises is generally low; 3. The number of foreign waste approvals decreased, almost to zero; 4. Last year, it actually fell a lot. Now the bad air is exhausted, and it's time to pick up; So many
in fact, the above reasons are similar to 2018, which continues to decline. So, how can we judge that paper prices may rise in panic this year? My reason has nothing to do with the current supply and demand, so it's inconvenient to comment here
fatal test 2: the first-class factory went up and down, straight into the heart
remember the quotation for cardboard machine test of Nine Dragons intelligent packaging (Dongguan) Co., Ltd. in July last year? The quotation is at least 10% lower than that of peers with the same specification, and the price difference per square meter can reach as much as 0.50 yuan. Many three-level carton factories rush up in an instant, and Dongguan cardboard factory bosses are facing the situation of chicken flying eggs
however, nine dragons subsequently cancelled this offer, and the Pearl River Delta Paperboard Factory escaped the disaster and temporarily got rid of the fate of being collected scrap iron. However, when the wheel of history runs over to 2019, the contradiction between supply and demand in the packaging paper market can no longer be reconciled. Faced with their surging production capacity, can nine dragons, Shanying and Rongcheng still choose to play with the downstream cardboard box factory
Bao can categorically assert that once the current demand continues to slump and the pressure on paper mill inventory is difficult to relieve, nine dragons are likely to directly launch a price war against the downstream cardboard and carton industry, maintaining the high price of base paper on the one hand, and launching a price war with cost advantages on the other hand. As a result, paper weight reduction in Guangdong, Jiangsu, Zhejiang and other densely distributed areas can shorten the braking distance, and plate and carton factories will be hit hard
2019 will be a wordless ending for many enterprises, and a new beginning for many enterprises who are determined to transform
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