With the global trend of plastic bans, plastic reduction, and the continuous push for "dual carbon" targets, the paper pulp molding industry has entered a period of rapid growth.

On November 15, 2023, the Ministry of Ecology and Environment of China released the "China-U.S. Sunshine Homeland Statement on Strengthening Cooperation to Address the Climate Crisis" (referred to as the "Statement"). This declaration expresses the determination of both China and the U.S. to eliminate plastic pollution, including developing a legally binding international agreement on plastic pollution, including marine plastic pollution. The publication of this statement further propels the "paper replacing plastic" movement to new heights.

Development Journey

China's modern paper pulp molding industry has been developing for nearly 40 years.

In 1984, the Hunan Paper Pulp Molding Factory invested over 10 million RMB to introduce a drum-type automatic paper pulp molding production line from France, mainly for producing egg trays. This marked the beginning of China's paper pulp molding industry. Subsequently, cities such as Beijing, Shandong, and Jiangsu introduced foreign paper pulp molding production lines to produce egg trays.

In the late 1980s, China began independently researching paper pulp molding production lines.

In 1988, China developed its first domestically produced paper pulp molding production line, mainly producing poultry egg trays, beer trays, and fruit trays. The products were relatively simple and low-grade.

Starting from the 1990s, paper pulp molding products began to be used for packaging agricultural products, home appliances, electronics, and instruments.

From 2011 onwards, China's paper pulp molding industry began to develop rapidly.

Since 2014, the industry has seen rapid growth.

Expanding Applications

The biggest advantage of paper pulp molding is its origin from natural fibers, making it environmentally friendly, as it causes no pollution and becomes part of nature. It truly embodies the idea of "from nature, back to nature" and does not pollute the environment throughout its lifecycle, which aligns perfectly with the concept of sustainability and environmental protection. In addition, its excellent breathability, hydrophobicity, heat insulation, and moldability are also key reasons for its increasing popularity in the industry.

As a result, paper pulp molding has found applications in various industries such as fast-moving consumer goods, foodservice, healthcare, and industrial sectors, which are closely tied to consumer health.

In 2019, L'Oréal and beauty packaging supplier Albéa announced their collaboration to develop the first cosmetic tube packaging made from paper. In the same year, Nestlé launched a new recyclable packaging paper for its Yes! snack bar series, highlighting the potential of recyclable paper packaging in the candy industry. In the future, the application of paper pulp molding products is expected to continue to expand.

Ongoing Industry Expansion

Currently, early movers in the domestic paper pulp molding market include companies such as Yongfa Hong Kong Co., Ltd., Shanying International Holdings Co., Ltd. ("Shanying International"), Zhejiang Dashengda Packaging Co., Ltd. ("Dashengda"), and Shenzhen Yutong Packaging Technology Co., Ltd. ("Yutong Technology").

For instance, Yongfa Hong Kong Co., Ltd., with its sharp market insight, started its paper pulp molding business in 2014. It now operates four paper pulp molding facilities: Yongfa (Shanghai) Molding, Yongfa (Henan) Molding, Yongfa (Jiangsu) Molding, and Qingdao Yongfa Molding.

In 2017, Shanghai Jielong Industrial Group Co., Ltd. approved an investment of 150 million RMB for a paper pulp molding packaging product project in Shanghai, officially venturing into paper pulp molding.

In July 2018, Yutong Technology announced the launch of its Yibin environmental-friendly paper pulp project, producing biodegradable sugarcane bagasse and bamboo pulp-based paper packaging products, including eco-friendly lunch boxes and trays. The project achieved full production in 2022. In March 2020, Yutong Technology's partnership with Guangxi Xianggui Paper Co., Ltd. began the construction of a 68,000-ton annual capacity bagasse pulp board project. In April of the same year, Yutong Technology invested 400 million RMB to establish a high-end packaging and environmentally friendly product base in Haikou, Hainan Province.

In December 2020, Shanying International invested 700 million RMB to partner with Jieteli Environmental Technology (Xiamen) Co., Ltd. to establish a bamboo pulp molding tableware and packaging production project in Yibin City, Sichuan Province. In 2021, they partnered with Jieteli to build a paper pulp factory for food packaging in Yibin.

In November 2021, Dashengda announced a joint investment with Jieteli to set up Hainan Dashengda Environmental Technology Co., Ltd. to build a "paper pulp molding eco-friendly tableware intelligent R&D and production base" project in Haikou, Hainan Province. In 2022, Dashengda acquired land in Haikou's Yunlong Industrial Park to build the "paper pulp molding eco-friendly tableware intelligent R&D and production base."

As we can see, domestic companies have recognized the potential of paper pulp molding early on, and with the increasing environmental pressure of "plastic bans" and the "paper replacing plastic" trend, these companies are actively investing in the sector.

Innovative Development in Paper Bag Technology

It is worth mentioning that a company in Fujian has also responded to the "paper replacing plastic" call, innovating in the paper bag field with its "paper bag black technology" that can support weights over 15 kg.

Two years after the "plastic limit order" was implemented in 2008, Fujian Nanjing Environmental Protection Technology Co., Ltd. ("Nanjing Technology") was founded. Its primary goal was to replace plastic bags with paper bags. Nanjing Technology has developed paper bags with different performance focuses based on various usage scenarios, ensuring that the bags meet basic weight-bearing requirements. For example, for takeaway medical packaging, large volumes need to be transported efficiently while maintaining good privacy protection, and this was achieved by ensuring the paper bags retain their shape.

Nanjing Technology serves well-known domestic brands like Meituan, Laiyifen, Haidilao, Xtep, Anta, as well as international brands such as Nike, Adidas, Muji, Uniqlo, and COACH.

On the "long march" of paper bag application, Nanjing Technology has just crossed its first milestone—oil resistance, water resistance, and thermal adhesion. The company plans to further enhance the insulation, oxygen barrier, and preservation capabilities of its paper bags, hoping that one day paper bags can replace plastic bags even in daily life.

Conclusion

Whether it's early movers in the paper pulp molding industry, like Yongfa Hong Kong, Shanying International, Yutong Technology, and Dashengda, or Nanjing Technology, which has delved into paper bags for over a decade, their vision converges toward the same goal.

As the push for "paper replacing plastic" continues, the development potential of paper pulp molding in agriculture, healthcare, cultural industries, and industrial packaging remains vast. The paper and packaging industries are collaborating closely on this initiative. The industry should "move in time with the trend and follow the direction of the market" to achieve success.