It is found that there are three main reasons for the rise of paper price, but the economic factors can not be ruled out.

1. From January 2021, China has banned the import of solid waste, that is, waste paper.

2. The positive factors brought by the new plastic restriction order.

3. The price of paper raw material and pulp increased by 56%.

China's Ministry of ecology and environment said that from 2021, China will completely ban the import of solid waste, while the Ministry of ecology and environment will no longer accept and approve applications for the import of solid waste. This also means that the import of domestic waste paper will be completely banned in 2021. In 2020, the demand gap of domestic waste paper pulp will be 3.8 million tons, and it will take some time for the market to mediate this gap.

The latest version of plastic restriction order, plastic limit makes paper better, paper demand further increases, adding new vitality to the market, especially in food packaging and packaging bags. According to relevant statistics, the cumulative output of plastic products in China will reach more than 81 million tons in 2019 alone, of which 30000 tons of plastic straw will be used. At present, there are alternative paper straw, and paper will be the substitute of plastic.

The pulp price soared. The main force of pulp futures 2103 contract rose to 7250 yuan / ton from the lowest price of 4620 yuan / ton on November 2 last year. In less than 4 months, the pulp price rose by 2600 yuan / ton, up 56.9%. China is the world's largest import of pulp.