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European Paper Board Production Declined in 2022

European Paper Board Production Declined in 2022

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According to preliminary statistics, the total paper and paperboard production of the European Paper Federation (Cepi) member countries in 2022 fell by 5.9% compared with the previous year, reflecting the impact of high energy prices on the European economy and industry in the second half of 2022.

Production declines but consumption remains stable

In 2022, the total paper and paperboard production of Cepi member countries will be 84.8 million tons. Except for household retail tissue, almost all other paper and paperboard types have declined.

However, despite a slowdown in the EU economy and a decline in paper production, paper consumption has remained stable. The reason why consumption has maintained a stable trend is because the European economic situation was relatively optimistic in the first half of 2022, and it was only in the second half of the year that it began to be impacted by various factors and slowed down. In addition, demand for hygiene and household tissue paper increased by 3.6% in 2022, and demand for packaging paper and cardboard remained relatively stable, also making up for the downward trend of other paper grades.

According to statistics, EU GDP grew by 0.3% in the third quarter of 2022 and stagnated in the fourth quarter. The EU economy is expected to grow by only 0.8% in 2023 and 1.6% in 2024.

The difference between production and sales leads to an increase in paper import trade

The difference between declining paper production and stable consumption has led to an increase in European paper import trade. From a global perspective, in 2022, many of the world's major paper-producing countries have experienced a decline in output. For example, Canada, Japan, the United States and South Korea all experienced declines in paper production between 0.5% and 3.5%. In Europe, the trend of declining paper production can be attributed to a number of factors, chief among them energy costs, with soaring energy costs forcing many paper mills to temporarily suspend production.

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