Suzano to increase pulp prices in Asia starting September

Suzano, the world's largest pulp producer, has announced a price increase of US$20 per metric ton for eucalyptus pulp in Asian markets, including China, effective from September.

This marks the first price adjustment for the Asian market since the spring. Currently, pulp in the region is trading between US$550 and US$560 per ton. Analysts from UBS BB suggest that if the adjustment is implemented, prices for bleached eucalyptus short fiber (BEK) could rise to a range of US$580 to US$590 per ton, reinforcing the view that the market has found a floor around US$550 per ton.

Market analysts from BTG Pactual noted that while demand in China has recently been weak, there are signs of a potential recovery, including rising resale prices and evidence of renewed purchasing activity. Additionally, cost inflation among Chinese integrated producers may provide further support for imported pulp prices.