Japan Pulp and Paper Market Overview, 2029

Japan Pulp and Paper Market Overview, 2029

The Japanese sheet pulp and paper business has a long history, dating back to the 7th century, when traditional paper making techniques like washi were established. Japan has evolved into a technological hub for paper manufacture, renowned for its high-quality paper goods. The business expanded significantly during the postwar economic boom, because of large investments in new manufacturing technologies and sustainable methods. However, the COVID-19 epidemic disturbed the market, causing temporary manufacturing closures, supply chain issues, and changes in customer behavior. While traditional printing and writing paper consumption fell as a result of digitalization, the packaging segment soared as e-commerce expanded and consumers sought more environmentally friendly packaging solutions. The Japanese pulp and paper sector has innovated with sophisticated recycling technologies, biodegradable packaging materials, and smart paper solutions that include digital technology for enhanced usefulness. Companies have also concentrated on developing high-performance papers for specific uses, such as thermal paper for printing and eco-friendly packaging. The Japanese sheet pulp and paper market is evolving to prioritize sustainability and innovation, allowing it to compete in the global market while also meeting the changing demands of consumers and companies.

According to the research report, ""Japan Sheet Pulp and Paper Market Overview, 2029,” published by Bonafide Research, the Japanese sheet pulp and paper market is anticipated to add to more than USD 2 Billion from 2024 to 2029. Mitsubishi Paper Mills, Oji Holdings Corporation, Daio Paper Corporation, and Kansai Paper are among the leading participants in the Japanese sheet pulp and paper sector. Mitsubishi Paper Mills is well-known for its innovative paper products and commitment to sustainability and it produces a diverse range of specialty papers for a variety of uses. Oji Holdings Corporation is a leading Japanese paper manufacturer that specializes in ecologically friendly packaging and high-quality printing papers. Daio Paper Corporation manufactures a wide range of paper goods, including tissue and sanitary paper, and Kansai Paper is known for its high-quality packaging materials. Collaborations in the Japanese market frequently emphasize sustainability and technological advancement, with businesses collaborating with research institutions and environmental organizations to improve recycling and develop new goods. Japan imports a substantial amount of wood pulp, particularly from the United States, Canada, and New Zealand, to supplement its local production. In contrast, Japan exports completed paper products, particularly specialty sheets and packaging materials, to markets throughout Asia and beyond. The supply chain includes both domestic and international vendors, maintaining a consistent flow of raw materials and finished products to fulfill the diversified needs of the Japanese pulp and paper market.

The leading application In the Japanese sheet pulp and paper market is Wrapping & Packaging, mainly due to the growing demand for environmentally friendly packaging options in light of growing environmental concerns. Effective and environmentally friendly packaging materials that guarantee product safety during transportation are becoming more and more necessary as e-commerce and the food delivery industry grow. There is a noticeable shift in packaging from plastic to paper as consumers grow more aware of their environmental impact. This has forced manufacturers to innovate and create recyclable and biodegradable options. Given that government regulations promote the use of environmentally friendly materials in packaging; this trend is consistent with Japan’s strong emphasis on sustainability and waste reduction. In addition, in response to consumer demand for environmentally friendly alternatives to conventional plastic packaging, the food and beverage industry is embracing paper-based packaging more and more. The top domestic companies in this field are Hansol Paper, Mokpo Paper, and Kangwon Land. Known for its commitment to sustainability and innovation in packaging solutions, Hansol Paper is a notable player that offers a wide variety of paper products tailored to different industries.

In the Japanese sheet pulp and paper market, the Wrapping & Packaging segment is the leading application, owing to rising demand for sustainable packaging solutions in the face of growing environmental concerns. The growth of e-commerce and the food delivery industry has accelerated the demand for effective and environmentally friendly packaging materials that ensure product safety during transit. As consumers become more conscious of their environmental impact, there is a noticeable shift away from plastic to paper-based packaging, prompting manufacturers to innovate and develop biodegradable and recyclable alternatives. This trend is consistent with Japan’s strong emphasis on sustainability and waste reduction, as government policies promote the use of environmentally friendly materials in packaging. Oji Holdings Corporation, Mitsubishi Paper Mills, and Daio Paper Corporation are among the top participants in the wrapping and packaging industry. Oji Holdings Corporation is particularly well-known for its comprehensive line of sustainable packaging solutions for a variety of industries, including food and drinks. The company promotes material and design innovation to improve functionality while reducing environmental effects. Mitsubishi Paper Mills focuses on developing high-quality specialty papers and packaging to fulfill the growing demand for environmentally friendly alternatives. Daio Paper Corporation, while well-known for its sanitary goods, also plays an important role in packaging, providing creative solutions that promote sustainability goals. These companies are transforming Japan’s pulp and paper market by stressing sustainability in wrapping and packaging.

The Food and Beverages segment leads the Japanese sheet pulp and paper market, owing to rising consumer demand for sustainable and effective packaging solutions. The fast growth of the food sector, combined with expanding e-commerce, has increased the demand for environmentally friendly packaging materials that assure safe transit and preservation of food goods. As customers become more environmentally concerned, they are increasingly choosing recyclable and biodegradable packaging over plastic. This transition has led Japanese manufacturers to innovate, with a focus on developing practical and sustainable packaging materials such as moisture-resistant paper and food-protective barrier coatings. Oji Holdings Corporation, Mitsubishi Paper Mills, and Daio Paper Corporation are the leading domestic players in this area. Oji Holdings Corporation is a key operator that manufactures a variety of packaging products for the food and beverage industry. The company’s commitment to sustainability and innovation allows it to satisfy the changing needs of environmentally conscious consumers. Mitsubishi Paper Mills manufactures high-quality specialty papers, notably those used in food packaging, with an emphasis on environmentally sustainable operations. Daio Paper Corporation also makes important contributions to the food and beverage industry, focusing on the development of safe and environmentally friendly packaging solutions. These enterprises shape the Japanese pulp and paper market by matching their goods to consumer desires for sustainable food and beverage packaging.

The pulp and paper industry in Japan has a rich history that reflects both the evolution of technology and the availability of natural resources. The invention of printing significantly increased the demand for paper, prompting papermakers to seek new methods for extracting pulp from plants to meet this growing need. This challenge was also evident in the United States, where newspaper companies began publishing advertisements to encourage rag collection. In contrast, Japan's papermaking culture thrived due to its abundant natural resources, which played a crucial role in shaping its paper and book culture. By leveraging its rich environment, Japan became the third-largest paper producer in the world. As of 2015, Oji Paper stood out as the leading company in the industry, alongside other notable firms such as Nippon Paper Group and Sumitomo Forestry, contributing significantly to Japan's reputation as a global leader in pulp and paper production. The combination of traditional practices and modern innovations has enabled Japan to maintain its status in this competitive field while adapting to changing market demands. The COVID-19 pandemic significantly impacted the Japanese pulp and paper industry, leading to both challenges and adaptations. In the early stages of the pandemic, Japan faced supply chain disruptions that affected production capabilities. Many companies had to adjust their operations to comply with social distancing measures, which slowed down manufacturing processes. Despite these challenges, demand for certain paper products surged, particularly for personal hygiene items, food packaging, and corrugated materials, as consumer behavior shifted towards online shopping and home delivery services. However, the overall market faced a decline in traditional segments such as printing and writing papers. Between 2018 and 2020, Japanese paper companies closed or repurposed approximately 1.2 million tonnes of hardwood pulp-based printing and writing paper capacity in response to decreasing demand. This trend was exacerbated by the pandemic, with an estimated one million tonne decrease in local hardwood pulp production for 2020 attributed primarily to reduced output in these categories. As the industry begins to recover from the pandemic's initial shock, there is a cautious optimism about future growth.

The Japanese pulp and paper industry operates within a complex framework of policies and regulations aimed at ensuring sustainability, efficiency, and competitiveness. Historically, Japan has focused on self-sufficiency in raw materials, prioritizing the import of wood chips while maximizing local production to add value domestically. This vertically integrated approach allows pulp mills to control the entire value chain, from raw materials to finished products, although it has led to market inefficiencies due to the aging infrastructure of many mills and smaller production capacities compared to global competitors. Environmental regulations play a crucial role in shaping industry practices. Companies like Japan Pulp & Paper Group have established comprehensive environmental policies that emphasize compliance with relevant laws, reduction of greenhouse gas emissions, and efficient use of resources. These policies promote recycling and the development of eco-friendly products, reflecting a growing consumer demand for sustainable packaging solutions amid stringent environmental regulations. In recent years, the industry has faced challenges such as declining demand for traditional paper products due to digitalization and competition from cheaper imports. As a response, Japanese companies are increasingly investing in innovation and sustainable practices, including establishing fast-growing plantations abroad to enhance self-sufficiency in raw material supply. Overall, while Japan's pulp and paper industry grapples with modernization challenges, it remains committed to sustainability and adapting to changing market dynamics through regulatory compliance and strategic investments.


Considered in this report
• Historic year: 2018
• Base year: 2023
• Estimated year: 2024
• Forecast year: 2029

Aspects covered in this report
• Pulp & Paper market Outlook with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Category
• Wrapping & Packaging
• Printing & Writing
• Sanitary
• News Print
• Others

By End User
• Food and Beverages
• Personal Care and Cosmetics
• Healthcare
• Consumer Goods
• Education and Stationary
• Others

The approach of the report:
This report consists of a combined approach of primary and secondary research. Initially, secondary research was used to get an understanding of the market and list the companies that are present in it. The secondary research consists of third-party sources such as press releases, annual reports of companies, and government-generated reports and databases. After gathering the data from secondary sources, primary research was conducted by conducting telephone interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this; we have started making primary calls to consumers by equally segmenting them in regional aspects, tier aspects, age group, and gender. Once we have primary data with us, we can start verifying the details obtained from secondary sources.

The approach of the report:
This report can be useful to industry consultants, manufacturers, suppliers, associations, and organizations related to the Pulp & Paper industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing and presentations, it will also increase competitive knowledge about the industry.