Impact Of The Epidemic: Relatively Stable Demand For Sanitary Products, Stationery And 3C Packaging

Impact of the epidemic: relatively stable demand for sanitary products, stationery and 3C packaging

It is recommended to pay attention to the investment opportunities of sanitary products; the impact of student stationery & office supplies is relatively controllable and can be actively configured after the callback; the short-term impact of 3C packaging does not change the industry's prosperity; the price increase of cultural paper in February is expected to be under pressure. However, its ton of paper profit is still high; packaging paper and home furnishings are affected significantly.

▍ Hygiene products: The impact of the epidemic is limited, and tissue paper benefits in the short term.

Hygiene products are just in high frequency consumption and are limited by the epidemic situation. Among them, tissue paper is used as wiping cleaning products or may benefit from the epidemic situation. However, the leading companies all have production bases in Hubei. Among them, Zhongshun Jierou plans to resume work on February 14th, and the Chinese New Year has sufficient reserves and limited impact. As the offline delivery festival resumes, the importance of online channels has become increasingly prominent.

▍Student stationery & office supplies: The impact is relatively controllable and can be actively configured after the callback.

Affected by delayed school start and resumption of work in various places, the demand for student stationery & office supplies has been suppressed for a short period of time, but because of its high frequency of consumption and rigidity, the demand is more delayed release. The subsequent months are expected to make up most of the gaps during the epidemic. It is expected to remain robust in the coming year.

▍The short-term impact of 3C packaging is limited, and tobacco and alcohol packaging are expected to grow negatively throughout the year.

3C packaging is affected by delayed resumption of work, some of the company's revenue may be delayed, but the industry does not change its upward trend, and the year-round orders are expected to remain unchanged. Due to the weak spring season, demand for tobacco and alcohol packaging is expected to have no positive growth in 2020.