Environmental Protection Inspection! The market is cold! Wood-based panel industry ushered in a big shuffle!!!

Environmental Protection Inspection! The market is cold! Wood-based panel industry ushered in a big shuffle!!!

As we all know, in the face of increasingly severe environmental pollution, the Ministry of Environmental Protection launched the largest environmental supervision in history this year. Numerous industries are deeply affected. In the field of building materials, traditional wood-based panels enterprises bear the brunt. Since the beginning of this year, many wood-based panels enterprises in Shandong, Jiangsu, Guangdong, Guangxi and Hebei have been cut off from water, power, raw materials, cleaning equipment and clearing sites.

At present, the market of wood-based panels in Linyi, Xuzhou, Jiangsu, Nanning, Guigang, and Langfang, Hebei provinces in Shandong Province has remained cold. Since May, the market has been “slow” for two months. The market is weak, the stock pressure is high, the downstream demand is limited, and the goods are under severe pressure. Professionals have analyzed the market possibilities. It will last till the New Year.

Affected by many factors, such as Sino-US trade war, cold housing market and declining consumption capacity of domestic residents, the sales of wood-based panels in China have dropped by more than 30% since May compared with the same period last year. It is difficult to find customers with good quality and low price, and the market has not improved for a long time.

Under the heavy blow, the wood-based panel supply end was completely shut down. The most direct result of the shutdown is the severe shortage of template supply and demand, coupled with the environmental shutdown caused by the rising prices of raw materials, glue, etc., business owners can not fulfill orders, into financial difficulties. Faced with heavy social responsibility and economic pressure, the transformation and upgrading of wood-based panel industry is accelerating.

Strict environmental protection inspection, accounting for 90% of China’s wood-based panel production in Xuzhou, Guangxi, Langfang, Xingtai, Heze, Linyi, Shuyang and other domestic wood-based panel bases, nearly 95% of the wood-based panel enterprises were temporarily shut down and rectified, during which many small and medium-sized enterprises closed down directly. The survival of the fittest is flooding the wood-based panel industry. On the one hand, the rapid development of the wood-based panel industry has brought about an increase in production, and on the other hand, it is a vigorous supervision of environmental protection work.

“Wood-based panel enterprises are facing enormous challenges, low-end overcapacity is serious.” The head of a well-known brand of wood-based panels enterprise in Hunan said that driven by consumption upgrading, the low-end production capacity is obviously excessive, and the industry urgently needs transformation. He revealed that the biggest weakness of the wood-based panel industry is that it is too replicable. “If you can produce it, he can also produce it, no matter how big or small your factory is, the replicability is too strong. At present, it is difficult for wood-based panel industry to have core competitiveness.

Throughout the wood-based panel industry, scientific research investment is insufficient, innovation ability is not strong, most enterprises still remain at the low end of the industrial chain, production automation level is low, product technology quality can not keep up with market demand, wood-based panels and products exports are still OEM licensed production, a series of factors restrict the development of the wood-based panel industry.

Fortunately, some well-known wood-based panels enterprises have realized this and started to restructure and restructure on a larger scale. From material entering factory to finished product leaving factory, the industrial chain of wood-based panel production is undergoing changes.

Wood-based panel enterprises are facing a major shuffle

Recent years have been hit by a series of factors, such as off-season, weather, strict environmental protection and fluctuation of imported wood market. The related enterprises of wood-based panel processing industry, such as logs, wood-based panels, furniture, machinery and environmental protection glue, have been severely damaged. Most enterprises have been shut down and rectified, the operation of industrial chain has stagnated, and the consumption of wood-based panels has been greatly reduced. The market gap has widened further. Under the influence of these factors, the shortage of materials leads to a sharp rise in prices, coupled with the rise in raw material prices, which leads to a weaker profit of wood-based panel processing industry and a sharp increase in cost pressures. At the same time, transportation, labor and other costs do not fall but rise. At present, the wood-based panel industry is in an unprecedented predicament. High cost and low profit will pose a higher challenge to the financial strength and operation ability of wood enterprises.

At the historic juncture of reshuffling in the wood-based panel processing industry, the best way to laugh is to laugh at the last. It can be foreseen that after the elimination of the fittest and the fittest in this round of market and the elimination of sand by big waves, the last thing we can do is “the leftovers are the king”.“

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