What Does China’s Capacity Surge Mean for Global Competitiveness?, Paper360º January/February 2026
The global pulp and paper industry
is experiencing a significant structural shift.
At the heart of this change is China’s rapid
expansion, deepening vertical integration,
and accelerating push into global export markets.
These shifts—once viewed as cyclical
fluctuations—have evolved into a long-term
structural disruption that is tightening cost
margins, reshaping trade flows, and intensifying
competitive pressures on producers
worldwide.
FACTORS BEHIND CHINA’S RAPID
CAPACITY GROWTH
China’s surge in pulp and paper production
has several underlying drivers:
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