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The Tissue Price Rises Again May 10, 2018

The Tissue Price Rises Again

Recently, the tissue price rises again,which has been fired up again by television and radio in China.

 

In May, the finished paper market set off a booming price increase once again. Many paper mills in East China, South China, and North China have successively increased their prices. It is understood that from May 1 to May 4, a total of 32 paper mills in the country announced price increases, and the increase of paper prices was 100-300 yuan/year.

 

Why the price keep going up?

 

The rise in pulp raw materials led to a sharp increase in production costs, and the original paper manufacturers increased their prices. According to recent reports, not only the paper industry, but also domestic bulk raw materials, including coke, pig iron and other raw materials are all subject to substantial price increases.

 

It is understood that papermaking accounts for about 60% of the pulp and 10% of coal. With the continuous increase of capacity and environmental protection policies, the market price of pulp has risen by 32%, and the price of coal has increased by 27.4%. As a result, paper mills have raised the price.

 

National environmental protection department have a inspection around the country, related departments shut down and impose heavy penalties on papermaking companies that have failed to discharge pollutants, which is a major cause of the rise in paper prices.

 

In addition, the increase in labor costs,  transportation costs, the  policies, and other reasons have led to a continuous increase in paper prices. From this, the pace of paper price increases  cannot be stopped in the future.