Unbleached kraft or soda wood pulp excluding dissolving grades market in South-eastern Asia

Earlier Report Observations

Between 2018 and 2021, the market for unbleached kraft or soda pulp in Southeast Asia showed considerable movement. The market volume fell sharply from 435.7 thousand tons in 2018 to 316.8 thousand tons in 2019, then rose modestly to 333.6 thousand tons in 2020 before a strong expansion to 489.4 thousand tons in 2021.

The market corrected to 409.0 thousand tons in 2022 before growing to 430.8 thousand tons in 2023. This recent growth occurred alongside industry recovery from the pandemic, though demand conditions were mixed. In Vietnam, raw material shortages in the paper industry sustained the need for pulp imports. Simultaneously, significant capacity expansions for kraft paper manufacturing, such as DHC's new plant, increased the industrial consumption of pulp. The broader trend towards sustainable packaging solutions, led by major producers, also supported market activity.

Entering 2024, regulatory changes such as Malaysia's end to the manufacturing license moratorium aimed to attract investment into kraft paper production. The market continued to be shaped by e-commerce growth boosting packaging demand and a strong consumer preference for eco-friendly materials like kraft paper, driving innovation and capacity investments across the region.

Production unbleached kraft or soda pulp in South-eastern Asia

In kind, 2017-2020, K t

Top producers of unbleached kraft or soda pulp, 2017-2020

World map of production of unbleached kraft or soda pulp, 2017-2020

In 2020, South-eastern Asia produced 137.0 K t of unbleached kraft or soda wood pulp, excluding dissolving grades, marking a 7.0% increase from the previous year. Looking at the period from 2017 to 2020, production grew by 6.2%, which translates to an average annual growth rate of 2.0%. The lowest production level was recorded in 2019 at 128.0 K t, while the peak occurred in 2018 with 137.0 K t. The most significant drop was observed in 2019, when production fell by 6.6%.

Annual dynamics of production in South-eastern Asia in kind, 2017-2020, K t

Exports unbleached kraft or soda pulp from South-eastern Asia

Exports in kind, K t

The export market for this product showed considerable volatility over the analyzed period. In 2019, exports hit their lowest point at 0.0 K t, but then surged dramatically to 45.7 K t in 2020, representing an extraordinary increase of 4 574 361 290.7% compared to the previous year. This swing created a massive 45 743 614-fold gap between the two years. The sharpest decline was recorded in 2019, with a 100.0% drop.

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

From 2017 to 2020, China was overwhelmingly the primary destination for unbleached kraft or soda wood pulp exports from South-eastern Asia, accounting for 98.3% of total exports in volume terms.

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

World map of product's exports from South-eastern Asia in kind, 2017-2020

Exports in value, M $ US

Market performance in value terms exhibited significant fluctuations during this timeframe. Exports reached their lowest in 2019 at 0.0 M $ US, then jumped to 21.4 M $ US in 2020, a staggering increase of 2 137 425.7% year-over-year. This resulted in a peak-to-trough amplitude of 21 375 times between these two years. The most pronounced decline occurred in 2019, with a 99.8% decrease.

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

Throughout the 2017–2020 period, China remained the dominant and nearly exclusive market for exports in value terms, capturing 98.1% of total export value for unbleached kraft or soda wood pulp from South-eastern Asia.

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

World map of product's exports from South-eastern Asia in value, 2017-2020

Imports unbleached kraft or soda pulp to South-eastern Asia

Imports in kind, K t

In 2020, South-eastern Asia imported 242.4 K t of unbleached kraft or soda wood pulp, excluding dissolving grades, which was 28.4% higher than the previous year. However, over the full 2017-2020 span, imports declined by 5.5%, averaging an annual decrease of 1.9%. The lowest import volume was in 2019 at 188.8 K t, while the peak was in 2018 with 299.5 K t. The largest reduction occurred in 2019, with a 37.0% fall.

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

Between 2017 and 2020, the main sources for imports in volume terms were Canada (24.6% of imports), the United States (20.2%), and Russia (17.0%). Together, these three countries supplied 61.9% of total import flows.

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

World map of product's imports to South-eastern Asia in kind, 2017-2020

Imports in value, M $ US

In 2020, the value of unbleached kraft or soda wood pulp imports into South-eastern Asia totaled 137.3 M $ US, up 3.6% from the previous year. Over the 2017-2020 period, however, import value decreased by 17.6%, corresponding to an average annual decline of 6.3%. The lowest value was recorded in 2019 at 132.5 M $ US, while the highest was in 2018 at 254.9 M $ US. The most substantial drop was in 2019, with a 48.0% decrease, whereas the largest increase occurred in 2018, rising by 52.9%.

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

From 2017 to 2020, the key suppliers in value terms were Canada (25.0% of import value), the United States (19.6%), and New Zealand (16.9%). Collectively, these three nations accounted for 61.5% of total import value.

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

World map of product's imports to South-eastern Asia in value, 2017-2020