Chemical wood pulp market in China

Earlier Report Observations

The Chinese chemical wood pulp market volume grew from 31.8 million tons in 2018 to 39.3 million tons in 2020, driven by continuous expansion of domestic production capacity. Large integrated pulp and paper enterprises like Chenming Paper played a key role, while government policies supported green pulping technologies and sustainable forest management, encouraging industry development. Rising consumer demand for environmentally friendly products also pushed the market toward greener pulp varieties.

The COVID-19 pandemic in 2020 caused supply chain disruptions and raw material import constraints, leading to temporary fluctuations in capacity utilization. Despite this, market volume continued to rise, reaching 43.3 million tons by 2022, as accelerated industry investment launched multiple large pulp production projects. Policy emphasis on carbon neutrality goals sped up the adoption of green, low-carbon technologies, and stricter environmental regulations pushed mills to upgrade processes. Domestic pulp output increased significantly, reducing import dependency.

By 2023, market volume reached 51.2 million tons, though growth was accompanied by market volatility. New overseas pulp capacities in Chile, Uruguay, and Finland came online, affecting import patterns and contributing to a shift in trade flows. The development of pulp futures markets enhanced price discovery and hedging. In 2024, trends toward green and high-value pulp intensified, with accelerated domestic pulp-paper integration projects and the launch of log futures on the Dalian Commodity Exchange improving market transparency, though high inventory levels from new capacity additions put pressure on market sentiment.

Production chemical wood pulp in China

In kind, 2017-2020, K t

From 2017 to 2020, China ranked third globally in chemical wood pulp production.

Top producers of chemical wood pulp, 2017-2020

World map of production of chemical wood pulp, 2017-2020

China's chemical wood pulp production grew for the third consecutive year. In 2020, output reached 12 359 K t, a significant 22.3% increase from the previous year. Over the 2017-2020 period, production rose by 56%, with a compound annual growth rate of 16.0%.

Annual dynamics of production in China in kind, 2017-2020, K t

In value, 2017-2020, M $ US

In 2020, China's chemical wood pulp production was valued at 8 356 M $ US, up 16.2% year-over-year. Between 2017 and 2020, production increased by 56.8%, translating to an annualized growth rate of 16.2%. The largest decline occurred in 2019 at 4.2%, while the largest increase was in 2018 at 40.9%.

Annual dynamics of production in China in value, 2017-2020, M $ US

Exports chemical wood pulp from China

Exports in kind, K t

In 2020, China's chemical wood pulp export volume was 34 K t, a controlled drop of 10.0% from the previous year. From 2017 to 2020, exports grew by 41.1%, with an annualized rate of 12.2%. The minimum value was recorded in 2018 at 23 K t, and the maximum in 2019 at 38 K t, which also saw the largest increase of 63.8%.

Annual dynamics of product's exports from China in kind, 2017-2020, K t

Between 2017 and 2020, China's chemical wood pulp exports in kind were not concentrated on a few key markets. Iran (17.6% of exports), the United Arab Emirates (7.3%), and India (6.7%) together accounted for only 31.7% of total flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from China in kind, 2017-2020

Exports in value, M $ US

After two years of growth, China's chemical wood pulp exports declined. In 2020, exports amounted to 23 M $ US, a notable decrease of 14.5% from the previous year. From 2017 to 2020, exports increased by 41.9%, with an annualized rate of 12.4%. The maximum value was recorded in 2019 at 27 M $ US, which also saw the largest increase of 38.2%.

Annual dynamics of product's exports from China in value, 2017-2020, M $ US

From 2017 to 2020, China's chemical wood pulp exports in value terms were distributed across a wide range of partner countries. Iran (17.6% of exports), the United Arab Emirates (6.1%), and India (6.1%) together accounted for just 29.9% of total flows.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from China in value, 2017-2020

Imports chemical wood pulp to China

Imports in kind, K t

China's chemical wood pulp import volume increased for the third consecutive year. In 2020, imports totaled 26 932 K t, up 9.4% from the previous year. Over the 2017-2020 period, imports rose by 23.2%, with a compound annual growth rate of 7.2%.

Annual dynamics of product's imports to China in kind, 2017-2020, K t

From 2017 to 2020, Brazil (27.5% of imports in kind), Indonesia (14.7%), and Canada (12.7%) were the main suppliers of chemical wood pulp to China, together comprising 54.9% of total imports.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to China in kind, 2017-2020

Imports in value, M $ US

Foreign chemical wood pulp supplies to China declined for the second consecutive year. In 2020, imports amounted to 14 236 M $ US, down 10.7% from 2019. The maximum value was recorded in 2018 at 18 537 M $ US, which also saw the largest increase of 29.4%. The largest decline occurred in 2019 at 14.0%.

Annual dynamics of product's imports to China in value, 2017-2020, M $ US

Between 2017 and 2020, three principal markets—Brazil, Indonesia, and Canada—together accounted for 52.8% of China's total chemical wood pulp imports in value terms.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to China in value, 2017-2020