An article takes you to understand the national waste market in June!

[China Packaging News] May passed away, and during this time, the national waste can be called " one happiness, one sorrow and half a dizziness . "

American waste is a hot spot, and everyone is paying attention to it. Foreign waste imports still constrain the hearts of the upstream market (packaging station). High inventories, shifted production capacity, and environmental protection shutdowns also gathered in the May market during the same period, filling the market with "half pots."

Beginning in June, Guangdong and Zhejiang took the lead in rebounding, and the national waste recovery in June is expected to pick up. However, the high inventory levels, the movement of large factories, and the shutdown of environmental protection are still the unavoidable barriers for the national waste in June. So, will the national waste market in June still drink "half pots?"

Four-time ups and downs of Zhejiang into a waste price sensitive land

Looking back at the national waste market in May , the price of waste paper was turbulent, and it has experienced four ups and downs, two of which have fallen sharply, both of which originated in Zhejiang area. Each time it recovers, it is always headed by Guangdong area! What is even more hesitant is that every time a decline occurs, there are always foreign waste approvals.

From early May, waste paper prices have been rising, according to the paper go Index, May 12 national scrap price index rose to its highest ever level 3055.07, just 10 days rose more than 500. May 13 began to fall, not decline, May 17 fell to the lowest point 2971.19 began to rebound, but the rebound is insufficient, began to fall after May 23 rose to peak 3044.82, a larger decline, as of June On the 1st , the waste paper price index fell to 2795.39 , a drop of 249.43 . June 1 - 6 2 April, Guangdong Province began to rise, it is expected to drive the next wave of price increases.

Figure 1 Chart of waste paper prices in May 2018

Judging from the average monthly national waste paper price, the average value of waste paper prices in May rose to 0.34% . Therefore, the monthly price of waste paper increased in May . Among them , the increase was the largest on May 11 and 3.76% from the previous month .

Decreases were mainly originated in Zhejiang province in May twice, respectively, May 13 and May 29. The first fall is May 13, Zhejiang province take the lead down, to 15 May 2018, the 12th batch of waste outside publicity, began to rebound after May 17 the lowest.

Second down the origin of May 23, the same period also lowered Zhejiang province, 29 May 2018 13th batch of waste outside publicity. As of June 3, Guangdong, Zhejiang region began to increase the country scrap prices, market decline has slowed.

Figure 2 Price fluctuations of various regions this month

Inventory, production capacity, environmental protection, June "half pot"

The inventory looks at Nine Dragons, the capacity shifts out at Liwen, and the environment protection looks at East China! The fluctuation of the national waste market in June has become a fact!

Look at Nine Dragons for inventory issues. In early June, Jiulong, a leading packaging paper company, suddenly lowered the price of finished paper sharply, intending to destock and deal with the tepid purchase desire of downstream packaging plants.

Tianjin Nine Dragons issued a price reduction notice to its customers, and the Nine Dragons cattle card and gray bottom whiteboard were reduced by 200 yuan / ton. The price of white-faced cattle cards and coated cattle cards is reduced by 400 yuan / ton. Hailong Niu Card and Dilong Niu Card are reduced by 300 yuan / ton. Hailong Regeneration and Dilong Recycling are reduced by 450 yuan / ton. Nine tiles are reduced by 300 yuan / ton. Haiwa reduced by 400 yuan / ton. In addition, Dongguan Nine Dragons also heard news of price cuts. Nine cows, manatees, and white-faced cow cards dropped by 100 yuan, local cows, dizai, and tile paper dropped by 200 yuan, and gray-backed white paper fell by 200 yuan.

In addition to the reduction of Nine Dragons' base paper, in fact, the upstream packing station should pay more attention to the raw material inventory of the paper mill. Some markets have reported that stocks of raw materials for paper mills are in good condition, and they should pay more attention to the raw materials when shipping. After all, the price transmission in the downstream market requires a certain period of time. The raw materials of paper mills can directly affect the price of national waste.

Looking at Liwen's capacity shift, in fact, Nine Dragons Paper is also shifting capacity, but the form of the shift is in the form of acquisition of foreign paper mills. Unlike Nine Dragons Paper, Lee & Man Paper is directly building new production capacity abroad.

According to local media reports in Myanmar , Li Wenjun, the president of Lee & Man Paper, led the team on May 18 and met with the chief minister of Bago, Myanmar. The two sides had a discussion on the construction of a large paper mill in Bago.

According to reports, Lee & Man ’s new factory covers an area of ​​about 3.4 million square meters. The factory will obey the provincial government ’s management and distribution. If the factory plans to implement it, it will select 3,000 local people to go to China for a one- year training. The total investment of the plan is about US $ 3.4 billion.

Environmental protection looks at East China! Everyone may remember the environmental protection oolong incident in May! First, the Internet rumors " Jiangsu suspends the approval of environmental assessments for all paper construction projects ", and later Jiangsu Environmental Protection Agency rumors. It can be seen that the sword of environmental protection is always hanging above the head of the paper industry.

For the national waste market in June, environmental protection is still inevitable. For example, the recent environmental protection shutdown in Shandong, and environmental protection inspections in Zhejiang, Anhui and other places looked back, and it is also a wake-up call to the national waste market in East China. East China, as China's papermaking low-medium, and Shandong, Jiangsu, Zhejiang and other paper-making provinces are under environmental protection control, the "half pot" of the national waste market has to be tasted well.

If you want to ask, where is the market most concerned about recently? That concern may need a good Sino-US consultations on June 4 of the.