After seven-month rise, BSK cracks in China; Arauco lowers April BKP by $20 and llim's BSK drops by $30

摘要

Talk of declining demand for market pulp, and stagnant paper and board pricing in China came to a head this week as traders and buyers mounted a full-court press against bleached softwood kraft (BSK) producers that had driven through price increases in six out of the last seven months. Producer sources described "tough negotiations" underway since at least a week ago. Chinese contacts said "there are serious things happening here," with tighter access to credit, lower prices on the local market despite a recent decline in China's currency, and poor demand and pricing for end paper products.