The hottest inflation has a fluctuating impact on

2022-08-01
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Inflation has a fluctuating impact on the paper industry

the impact of inflation on the paper industry is relatively complex. Under moderate or predictable circumstances, it may have a very different impact on the industry from excessive or hyperinflation. This is very important

first of all, if the inflation rate is moderate or below 3%, judging from the current situation, the rise in prices first comes from the raw material link. Historically, most of the rise in the prices of paper products also came from the cost. However, due to the relatively fierce competition in the semi-finished product market, it is difficult for enterprises to transfer to downstream industries in most cases. These enterprises are more or less affected by some factors. As for the paper industry, for example, Huatai and Chenming paper, whose demand is more complex, considering the company's position in the industry and expanding its market share, as well as the fact that the pulp capacity of paper raw materials is basically surplus in the world, the import cost of pulp has also fluctuated in recent years, It is proved that the introduction of the company has little impact on their recent production and operation. Therefore, in the case of moderate inflation or slight rise in the price of raw materials, it has little impact on the company's operating performance. As for excessive or hyperinflation, it will not occur in China, and the prices in the industry will not fluctuate significantly

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