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    Far East Report

    Domestic Demand in Japan

    Diaper production influences import and export trends in Japanese nonwovens industry

    Domestic Demand in Japan
    Domestic Demand in Japan
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    Kin Ohmura, Osaka Marketing08.05.19
    Japanese domestic nonwovens production was 340,751 tons in 2018, representing a decrease of 0.7% compared to the previous year. Meanwhile, exports increased 9.7% reaching 60,303 tons, and imports increased 4.1% to reach 250,438 tons. As a result, the quantity of domestic demand increased 0.4% at 530,886 tons. Although, the quantity of domestic demand has increased steadily at a growth rate ranging from 4-8% from 2012-2017. The growth rate stayed firm at 0.4% in 2018. On the other hand, imports increased of 2.6 times, from 95,797 tons in 2009 to 250,438 tons in 2018, whereas the production quantity leveled off from 2014. On that account, the proportion of the imported nonwoven fabric in the domestic demand has risen, and was 47.2% in 2018. Imported nonwoven fabric may reach 50% in 2020 when it changes its present state.

    Diaper production decreased 4.6% compared to the previous year and this has greatly influenced the domestic demand to grow slowly in 2018. However, the amount of imported nonwovens used in the diaper market increased significantly. Imports of nonwoven fabrics increased at a rate between 10-16%, depending on the technology, between 2013 and 2017.

    However, imports of nonwoven fabrics did not grow as aggressively at 4.1% in 2018, because of a decrease in the production of diapers. Besides, the quantity of domestic demand for nonwoven fabrics remained at a 0.4% growth rate in 2018. Both figures were impacted by lower diaper production since diapers represent a significant percentage of nonwovens consumption in Japan.

    Some of these imported nonwovens are made by Japanese-based companies who have established operations elsewhere in Asia. Most of these companies are making polypropylene spunbond nonwovens for diapers. These companies have been impacted by a 14.5% decrease in polypropylene spunbond demand caused by lower diaper production. This trend is impacting everyone throughout the diaper supply chain.
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