High domestic demand, rising insurance premiums and tight supply have led to a new increase in the price of recovered paper in the US market. OCC price has increased by 20 USD/ton compared to that in June 2021. In July, the OCC price in the US reached 129 USD/ton, the highest FOB in the past 4 years.
The average price of OCC in the US has increased by 139% y-o-y. July 2021 also marks the 7th consecutive month of price increases for SOP and pulp substitutes, with the average monthly increase of 25-30 USD per ton.
Currently, Australia imports a lot of photocopy paper, making Australian Paper, a company affiliated with Nippon Paper Industries, the only domestic producer of photocopy paper, price their products in line with prices of imported paper.
Imports of photocopy paper from Finland, Slovakia, Korea and Russia into Australia have also been subject to ADDs since 2019. However, that tax rate (ranging from 14.4 - 16.4%), is much lower for with Slovakia's Mondi and Korea's Hankuk Paper and will expire in April 2024.
According to preliminary statistics, Vietnam's exports of paper and paper products in July 2021 may reach 130 million USD, down 12% compared to June 2021 but up 4.6% compared to the same period last year. Generally in the first 7 months of 2021, Vietnam's export of paper and paper products is estimated at 920 million USD, up 14.1% over the same period in 2020.
Statistics from the General Department of Customs, in June 2021, Vietnam's export of paper and paper products reached 136.7 million USD, up 6.6% compared to May 2021 and 29.6% compared to June 2020.
The US and China are the two largest export markets of Vietnam's paper and paper products, with export turnover of 39.2 million USD and 34.2 million USD, respectively. Export of paper and paper products to these two markets both increased compared to June 2020, with growth rates of 67.6% and 7.1% respectively.
Generally in the first 6 months of 2021, the US is the largest export market of Vietnam's paper and paper products, with an export turnover of 185.2 million USD, up 24.4% over the same period in 2020. In contrast, exports to the Chinese market decreased by 8.5%, reaching 146.4 million USD.
It is estimated that import of all kinds of paper in July 2021 may reach 190 thousand tons with a turnover of 184 million USD, down 8.5% in volume and 9.1% in turnover compared to June 2021. Generally in the first 7 months of 2021, imports of paper of all kinds are estimated at 1.4 million tons, with a turnover of 1.3 billion USD, up 25.2% in volume and 38.9% in turnover over the same period last year.
According to statistics from the General Department of Customs, imports of paper of all kinds into Vietnam in June 2021 reached 199.6 million tons, with a turnover of 194.8 million USD, up 31.6% in volume and 59.1% in turnover compared to June 2020.
China is the largest paper import market of Vietnam, with an import volume of 45.9 thousand tons and a turnover of USD 54.9 million in June 2021, up 32.2% in volume and 77.4% in turnover compared to June 2020.
Generally, in the first 6 months of 2021, India is the market with the strongest growth rate, with import volume reaching 15.4 thousand tons, turnover of 12.3 million USD, an increase of 135.5% in volume and 157% in turnover compared to the same period in 2020.
Compiled by VietnamCredit