Prices for OCC paper imports are falling in Southeast Asian countries. The reason is a decrease in the level of demand for waste paper grades belonging to the OCC category. Purchases in recent years have been predominantly made in the United States of America. Their volume has become much smaller.
The decline in demand for cardboard waste was facilitated by the suspension of the work of enterprises engaged in the manufacture of packaging products. This situation has occurred in many countries of Southeast Asia. The shutdown of enterprises was caused by a decrease in demand in the packaging market. There are messages from different countries. For example, in Vietnam, one manufacturer claimed that all of its machines worked, but with a significant decrease in productivity.
Import volumes have seriously decreased recently. In addition, waste paper of local origin is much cheaper than if it is supplied from abroad. Accordingly, if purchase volumes continue to fall, then Asian buyers of cardboard waste will be able to meet their needs without turning to American partners. However, as practice shows, such situations do not remain stable for a long time. Because cardboard packaging is a very popular product today. For its manufacture, recycled waste is often used. Therefore, most likely, the situation will change in the near future. Purchasing volumes will increase, and enterprises in Southeast Asia will again operate as usual.