2018 Shuangjiao Paper Industry Market Analysis
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Nearly 49% of the capacity of the double-glued paper industry is in the hands of small and medium-sized paper companies. Affected by the restrictions on environmental protection, the reduction in medium and small capacity has drastically improved the structure of supply and demand. Since 2017, the cumulative increase in paper prices has reached nearly 27%.
The downstream of the offset paper is mainly books, which will benefit from the increase in demand for children's books, and the printing volume of books related to the Party and the government in 2018 may also increase. The supply side will shut down production capacity in the current environmental protection, security, etc. Under strict supervision, it is difficult to resume production. In addition, the scale of new production capacity in 2018 is controllable and is expected to be around 5%, with little impact on the supply and demand structure.
Overall, a good supply and demand structure is expected to continue, supporting tons of earnings to maintain a higher level