ICT and e-Business in the Pulp, Paper and Paper ... - empirica

Pulp, paper and paper products
Exhibit 2-6: Exports and imports of paper from CEPI countries to Asia and Latin America
Asia (2004, in '000 tonnes)
Latin America (2004, in '000 tonnes)
6000
1500
5000
1250
4000
1000
3000
750
2000
500
1000
250
0
2000 2001 2002 2003 2004
0
2000 2001 2002 2003 2004
Exports
Imports
Exports
Imports
Source: CEPI (2004)
The main reason why trade flows are still predominantly one-way (from Europe to Asia) in
this industry is that most Asian producers cannot yet match the quality of paper and
paper products manufactured by European (or US) companies. However, industry
experts forecast a steep learning curve; interviewees for this report confirmed that they
are certain of the soon arrival of competition from Asia. The effect will be twofold: first,
Asian manufacturers will start to cater for customers in their own countries, thus
challenging European exports; second, in a not too distant future, Asian companies will
try to expand their activities into foreign markets, including Europe.
An increase in competition can also be expected with producers from Latin America.
Imports of pulp and paper from Latin America have increased for the fourth consecutive
year (see above). Competition with North American companies, on the other hand, is not
regarded as a major global trade issue for the near future (although imports from North
America still account for 42% of total imports in paper), at least in comparison to the
'awakening' of the emerging markets in Asia and Latin America. US and Canadian
producers are likely to face the same challenges as European manufacturers in this
regard.
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