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Decreasing South Korean cardboard production due to fewer goods being shipped is pulling down waste paper demand in and out of South Korea.
According to the Korea Paper Association, the country’s cardboard production dropped from 511,412 tons in December to 478,083 tons in July of this year.
As cardboard is used in container boxes for numerous products, its supply and demand reflect a country’s economic index.
Paper production plants use waste paper thrown away by households and businesses that are collected by waste processing facilities.
South Korea also exports wastepaper.
The Ministry of Environment reported that South Korea’s paper production companies had 148,000 tons of waste paper in storage as of September, which is twice the average storage amount.
As wastepaper continues to pile up, the national average price of waste paper per kilogram dropped from 149 won in January to 108 won in September, while the price of exports plummeted from US$242 per ton in September of last year to $129 in September of this year.
