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Global economic trends have far-reaching implications in the pulp and paper market. It is no longer enough that companies can be aware of their immediate environment and be successful. From consolidation to an increase in the importance of trade, activities that take place in one part of the world can now have tremendous impact in another.
Although China's growth in the pulp and paper industry is still in its early stages, it is already impacting other parts of the world. Given the nation's size and dense population, a small percentage change in the China market can have wide-ranging consequences worldwide. As an example, China is the world's biggest producer of tissue, yet consumption is less than half of more developed countries.
China is continuing to grow its wealth, and as consumer behavior is changing, its consumption of tissue is growing rapidly. The same holds true for containerboard. Fisher estimates that if China continues to grow as projected, it will need to add more tissue and containerboard machines than exist in all of North America.
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