Carton says
The price of paper has risen again! Recently, the price of raw paper and waste paper has risen again. Shanying Paper, Chenming Paper, Bohui Paper and other major paper companies have raised the recycling price of waste paper, and announced that the price of raw paper will be adjusted online. The price increase is 200 yuan/ton.
Reasons for price increases:
The cost of materials has gone up, that is, the price of waste paper is high.
The profit has fallen, and the decline is because the price has dropped.
Waste paper has once again become a back pot man. Everyone knows that the purchase price of waste paper is in the hands of paper mills. The first step in price hikes is naturally to raise the price of high waste paper. It is impossible to create a waste paper price increase. What is the price of the original paper?
The decline in profits is a relative figure. Compared with the abnormal profit rate of 17 years, the net profit rate of the paper industry, which is made by traditional industries, has reached 15%. Now the profit rate will rise back. It’s not that I didn’t make it. I really don’t want to earn less.
Price increase has nothing to do with supply and demand
The current price increase is not in short supply, but the paper market has further reduced profit margins due to environmental protection and raw materials. The major paper companies can only raise prices to protect profits. An executive of a listed paper company said in an interview with the China Business News that the price of raw paper has spread to downstream paperboard factories, while the bargaining power of paperboard factories is weak and can only be passively raised. In the future, paper companies may put business. Extend to the downstream paperboard factory and improve the industrial chain to increase profits.
Interpretation:
1. The price increase has nothing to do with supply and demand. The increase in cost is a rigid reason. But look at the raw materials in the cost is the paper industry itself rose, the environmental factors are not in existence in 19 years.
2, eat the downstream bargaining power is weak, the short-term appeal of price increases is to continue to achieve high profits, long-term appeal is to extend the industrial chain to make a layout is to rush to the downstream orders, the exclusive consumption of rice to earn one person.
Waste paper is the culprit
"The big factor behind this round of price increases is that the price of waste paper keeps rising and the market price rises. The paper enterprises push the price of the original paper to be adjusted online. There will be more manufacturers to follow up." The paper company executive told reporters that domestic waste paper The price increase originated from the implementation of the domestic ban on foreign waste import policy.
Interpretation: To completely waste paper into the "chess" of the paper industry, the absurd remarks that lead to the waste price increase of the country just want to pull the plateau paper. The reduction of waste is not the real cause of the shortage of raw materials, the demand falls and Uncontrolled expansion of production capacity is the core of the relative shortage of raw materials.
Maintaining a high profit level of 17 years is the real purpose of price increases.
Recently, major paper companies have successively released performance forecasts, and most companies expect a decline in earnings in 2018. On February 1, Nine Dragons Paper announced that for the six months ended December 31, 2018, the profit attributable to equity holders of the company is expected to be no less than 2.4 billion yuan, a decrease of about 45% from the same period in 2017. Reduced by 1.95 billion yuan.
As for the reason for the decline in profits, Nine Dragons Paper said that it was mainly due to the rise in raw material prices and the decline in the price of products. As early as January 2019, the Goldman Sachs Group released a report saying that the view on the Chinese paper sector turned to prudence. It is expected that the supply and demand of cardboard paper will be greatly deteriorated, and the ratings of Nine Dragons Paper and Lee & Man Paper will be lowered.
Interpretation: No matter how the upstream paper mill wants to push the price up and maintain its long-term existence, it still circumvents the fundamental problem of the deterioration of demand reduction. If the demand does not reduce the capacity, the price increase will always be a false proposition.
Price increase is not sustainable
“With the continuous release of production capacity, the demand-side market has started to weaken since October 2018, consumption in the domestic market has declined, and demand has declined, resulting in a decline in prices.†The paper company executives told reporters that real estate and cars from 2018 The real economy that has driven the packaging paper industry has declined, and the overall economic situation has been adjusted. Paper competition will continue in the first quarter of 2019.
Interpretation: The decline in demand will inevitably lead to fierce competition in the industry. It is difficult to maintain continuous price increases under a strong competition of food and clothing.
Invisible monopoly under tacit agreement
The executive said that now the paper mills can be left bigger and stronger, and the market even has a monopoly situation, which leads to the pricing power of the original paper in the hands of a few leading paper companies. "The leading paper enterprises will not have a price war. Everyone is already familiar with the market. Only a tacit price will win the profits. There will be no price competition, and the pressure will only be transmitted to the downstream paperboard factory. As for the paperboard factory, how to operate the market. Will not affect the profit of paper mills.
Interpretation: In the long run, the price of paper mills will be operated simultaneously. As a secondary plant of the paperboard factory, it is difficult to have an effective paper negotiation strategy.
The edge of the upstream tuyere
“In fact, in 2016 and 2017, paper companies’ profits have been growing at a high rate. In 2018, market demand is weak, downstream paperboard mills are purchasing less, and raw material costs are increasing to further reduce paper mill profits. Paper mills can only improve profits. The price of the product.†The paper company executives told reporters that next, the major paper companies will work hard on cost control. Now many companies have already made advances in upstream raw materials and achieved good results. However, it may be down to the downstream paperboard factory. A tuyere.
Interpretation: The penetration of the whole industry chain to the cardboard and carton links to maintain high profits and long-term stability is the core appeal of this round of price increases!
The success of this round of price increases was based on the strong advancement of the upstream paper mills, the fuel boost from the media, the short-term cover-ups that started after the year, and the expected price index of the credit-downs.
On the one hand, the carnival of price hikes is an empty assembly line, downtime and other single lines. Who can fight the price increase and the lack of orders? Maybe you will see it soon. If you can’t see the real chapter in March, the paper price must be hit in April. Back to the original shape, the bleak situation that began in October 18 is evidence!
This article is posted on this website for the purpose of transmitting more information and does not imply endorsement of its views or confirmation of its description.
Article source address: http://
-
black dyeing shampoo can not only dye black and white hair and gray hair to reduce the signs of aging, but also strengthen, nourish, protect and repair the scalp.
-
Contains Chinese ginseng extract, ginger extract and Ganoderma lucidum extract, pure natural non-toxic ingredients, no irritating smell, gentle hair coloring and hair care.
-
Quickly dye your hair in 5 minutes, and your hair will turn from white to black, allowing you to have shiny black hair for up to 30 days.
-
It is convenient to use and time-saving. You can dye your hair easily at home without having to go to the hair salon to spend money.
-
Helps nourish the scalp deeply, repair damaged hair, and make your hair more supple.
400ml Black Hair Color Shampoo
DELIN HAIR COSMETICS , https://www.hairdyecolorfactory.com