The most popular foothold for foreign investors in

2022-07-29
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The foothold of foreign investors in China's paper market recently, the domestic paper market has fluctuated to a certain extent, mainly showing the following characteristics:

1. Guided by the price decline of several varieties, most of the paper varieties quickly fell into a bear market vortex of falling prices and sharply reduced transactions. The transformation and upgrading of enterprises can no longer wait and see

2. Different from the previous market fluctuations, China's current round of market changes, earlier than the decline of the international pulp market and the decline of the paper market in surrounding countries, shows that the Chinese market has gradually evolved from a place affected by the previous international market to one of the sources of the international market

affected by this, the import of coated paper, double offset paper and other projects that many foreign investors have been proud of for a long time have decreased significantly. The so-called "dropping orders" and "dropping orders" with "Chinese characteristics" are common, and foreign investors have suffered heavy losses. In the near future, a new round of investment by domestic factories in national master paper, double offset paper, paper and other basic products will form a production capacity within twoorthree years. At that time, the import of similar foreign products will be further curbed

on the other hand, the global paper output is still oversupplied. In recent years, although the wave of mergers and acquisitions has made the supply and demand more reasonable, the existing or new capacity in China's surrounding markets, South Korea, Indonesia, India, Thailand and other countries is huge, which is far greater than the self owned demand of these countries. It can be said that if the imported paper in the Chinese market is not solved well, there may be vicious competition between imported products and domestic products in the main paper varieties, which will lead to the depression of the whole paper market. In a sense, it is the most difficult situation for the paper industry foreign businessmen in China in the past 20 years

however, in the face of difficulties, we also see that the high growth of the Chinese market still brings considerable opportunities to foreign investors:

this series of microcomputer controlled universal experimental machines are suitable for various mechanical property tests of various metallic and non-metallic materials

1. China is rapidly changing from a paper importer to an exporter of a considerable number of paper types. In response to this situation, some foreign investors have shifted their business focus to exporting Chinese paper products. At present, the export agency rights of most well-known domestic paper brands have not been determined, and there are a lot of business opportunities

2. Further adjust the structure of imported paper products. At present, foreign investors should increase the supply of the following urgently needed paper types in China

a. all kinds of thermal paper and color inkjet printing paper closely related to IT industry

b, light coated and coated paper with low gram weight (less than 80g) and high gram weight (more than 200g)

c, high printability, high strength, low gram weight cow leather original imitation controller can no longer meet the needs of paper (for green packaging)

3. Take advantage of the loose policy environment brought about by China's accession to the WTO to actively participate in the competition in the domestic trade market. In China's paper market, due to the "low threshold", the short-term operation of small companies is prevalent, and the market volatility is greater than the international market, while the average profit margin of the whole industry is lower than that of its foreign counterparts. In this market, there are too many small sampans and too few aircraft carriers. In the context of China's entry into the WTO, foreign businessmen can find a broad living space in the domestic trade market and improve the overall level of the domestic paper market by making use of their strong financial strength and standardized operation methods

4. There are still quite a few fields in China's paper market, or they are blank, with great potential; Or although there is production, the level is low. For example, most of the products mentioned in point 2 above, as well as the waste paper recycling system that Chinese people have been looking forward to for a long time. If foreign investors make use of their advantages in capital and technology to seek development in these fields, they believe that they can make great achievements. In addition, it is understood that in previous years, some domestic manufacturers rushed to occupy the market in some investment projects, and a considerable part of paper-making equipment needs to check the following points: it has been idle recently. If foreign businessmen can seize the opportunity and take a positive attitude to cooperate with the Chinese side, they can turn these equipment into their own source of wealth

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