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SunSirs: Waste CorrugatedPaper Was Still Down, and It Would Continue to Fluctuate and Consolidate in the Short Term

June 13 2022 10:14:50     SunSirs (John)

Price trend

According to the data monitoring of SunSirs, this week, the domestic waste paper purchase price continued to decline, and the price showed a recovery trend near the weekend. On June 10, the average purchase price of grade A waste yellow board paper in Zhejiang was 2,340 RMB/ton, a decrease of 1.85% compared with the average price at the beginning of the week (the average market purchase price on June 5 was 2,384 RMB/ton). The price decline of corrugated paper slowed down. The average ex-factory price of 140g corrugated base paper on June 10 was 3,568 RMB/ton, which was lower 0.56% than the average price at the beginning of the week (the average ex-factory price of 140g corrugated base paper was 3,588 RMB/ton on June 5).

Analysis review

Judging from the changes in the market, the purchase price of waste paper from paper mills in Zhejiang showed a trend of first falling and then rising this week. At the beginning of the week, due to the increase in the arrival of waste paper from paper mills in the early stage, the purchase price of waste paper was lowered. From June 8, the domestic waste market started to rise, and then the market rose. As of the 10th, the rebound momentum remained good, and manufacturers were interested in purchasing. In addition, the cancellation of discounts for downstream finished paper boosted market confidence and supported the price of waste paper.

In terms of the price of corrugated base paper, the price of corrugated paper fell slightly this week, and the market was generally stable. Recently, some paper mills in some areas raised the price of corrugated paper slightly, but due to the poor performance of downstream market demand, the market's willingness to follow the increase was not strong, and paper mills still focused on active shipments. However, the market was in a strong wait-and-see state, and it was mainly based on just-needed procurement.

Market outlook

The paper analysts of SunSirs believe that the waste paper and corrugated paper markets are in a wait-and-see state, and the prices of waste paper are mostly rising near the weekend, while the corrugated paper market is affected by the pressure of papermaking raw materials and inventory, and it is expected that the prices of waste paper and corrugated paper will continue to fluctuate and consolidate in the short term.

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