Papier- und Zellstoffindustrie

This report makes an in-depth analysis on the Development of Forestry Industry and Wood Processing Industry in China

Background of the Research

Since 1949, China has completed six national forest resources inventories. According to the result of the sixth forest resources inventory (1999-2003), there is 175 million hectares of forests, 13.618 billion of living trees accumulate, 12.456 billion cubic meters of forests accumulate, and 18.21% of forest coverage which is nearly 10% higher than 8.6% after the founding of new China. The forest area of China ranks the fifth in the world; the forests accumulate ranks the sixth in the world; the area of man-made forests is 53.2573 million hectares and ranks the first in the world.

Mississippi could become the first place in the world where simple woodchips are turned into a commercial crude oil substitute.

The “Son of Black Liquor” tax credits will probably cost American taxpayers hundreds of millions, if not billions, of additional dollars, but Congress might grab the money without paper manufacturers getting a dime.

Seven publicly traded paper companies have estimated that they will net about $570 million from the IRS’ recent ruling that made black liquor eligible for Cellulosic Biofuel Producer credits (CBPC), reports the Press-Register of Mobile, Alabama. Leading the way are Weyerhaeuser with $240 million (pre-tax) and Domtar with $200 million.

The other 14 publicly traded producers of black liquor, including the largest (International Paper), have not released such projections, partly because of uncertainty about exactly what the June 28 ruling means. (See Pulp Manufacturers Scratching Their Heads Over Son of Black Liquor Ruling for more information about these uncertainties.)

Meanwhile, the IRS’ “generosity” toward companies that produce, and burn, black liquor as part of their pulp-making operations has caught the eye of Congress, writes Jeremiah Coder for Tax Analysts. “The agency’s administrative largesse appears to be prompting members of Congress to consider legislation to retroactively disallow biofuel credits for black liquor claims.”

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LONDON, Aug. 12, 2010 (RISI) - This week the Chinese government, following up on an announcement made on May 27 of this year, released a final list of 279 pulp and paper mills at which capacity is to be removed as part of its broader program of closing small, inefficient manufacturing operations across many industries that pose problems with respect to high levels of pollution or energy consumption.