Coverage Note – Launch of recycled pulp assessment CIF China and discontinuation of two SEA RCP assessments

SINGAPORE, Dec 18, 2020 (Fastmarkets RISI) – Following an open consultation to seek feedback from the industry last month, Fastmarkets RISI has decided to launch two new recycled brown pulp price assessments for China from January 2021.

At the same time, Fastmarkets RISI will discontinue assessments for recovered paper (RCP) imports to China, as well as Southeast Asia/Taiwan assessments for old newspapers (ONP) imports and Japanese mixed paper imports.

With China set to ban RCP imports from the beginning of next year, the country’s demand for recycled brown pulp is expected to keep growing. Fastmarkets RISI has been monitoring the situation over the past two years, tracking prices for the new product since July 2019.

The recycled brown pulp assessment will be published monthly on the last Wednesday of each month from January 27, 2021. They will appear in PPI Asia, PPI Pulp & Paper Week, the Fastmarkets RISI online portal and mobile app and in the Chinese publications operated by Fastmarkets RISI’s Shanghai-based subsidiary UM Paper.

The recycled brown pulp assessed is furnished mainly with old corrugated containers (OCC) imported from the USA. The assessment will reflect CIF prices at main ports in China for product shipped from India, Southeast Asia, Taiwan, and the USA.

The discontinuation of assessments for ONP imports and Japanese mixed paper imports in PPI Asia is due to a substantial decrease in availability of those grades in Southeast Asia and Taiwan.

PPI Asia will continue to assess Southeast Asia and Taiwan prices for OCC imports from the USA, Europe and Japan, as well as for mixed paper imports from the USA and Europe.

PPI Asia will also continue to assess the four current domestically-sourced Chinese grades on a weekly basis.

For comments or queries, please email, mentioning “Asia RCP”.

For more information on Fastmarkets RISI’s methodology for Asia RCP, please see here.

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