Paper and packaging market in China: China risk & reward
Global paper & packaging companies should fully assess the 'risk and reward' equation before investing or growing in China
"Paper and Packaging Market in China", part of the 'Risks and Rewards' series from Industrial Products, examines the current market and the benefits/pitfalls for paper and packaging companies growing in China or considering investing there, looking in-depth at some key issues of particular importance to companies operating in the Chinese marketplace.
- China is the world’s second biggest market for paper and paperboard - annual sales of over US$20 billion.
- The potential for further growth is enormous - as a strong economy and more prosperous lifestyle are rapidly driving up demand.
- Comsumption is rapidly growing - by the end of the decade China will need 70m tons of paper a year.
- Packaging market expanding equally fast - already reached $37 billion and is forecast to exceed $50 billion by 2008.
- Great investment care is required by multinational paper and packaging companies - beware the cultural, political and legal differences.
- Competition from domestic producers is also increasing as they modernise, often with state subsidies.
- Foreign investors are expected to bring higher standards and special strengths to the markets - against strong domestic competition