Global demand for office paper has crumpled due to the COVID-19 pandemic.

 

Production of office print paper in developed countries has fallen by 20 to 30 per cent, with some countries showing even steeper declines than during the 2008 financial crisis. 

 

The US saw production decline 31.3 per cent in April compared with an 11.6 per cent drop in January-March, according to the Japan Paper Association.

 

"There are no signs of a pickup in demand even in July," an executive at a Japanese paper trading company said.

 

This was confirmed by US-based research company RISI, which said production of coated and other printing paper products in the US fell 30 to 40 per cent in May.

 

COVID-19 has fuelled sinking paper demand as more people work from home and schools close while temporary or permanent closures of magazines and the general shift to digitalisation have also crushed demand. 

 

In the UK, direct mail and other mailbox services have completely stopped in some areas due to less advertising and far fewer delivery staff.

 

The world's biggest paper and board producer has already been hammered by the trade war and the virus has made things worse. Exports of office paper are falling fast, as the new normal directs a shift to a paperless world.

 

But a recovery in office paper exports remains far off, according to a Japanese report. This has prompted some Chinese paper companies to shift new investments away from office paper and into tissues and other household paper products.