IT Tech Packaging, Inc. (ITP): PESTLE Analysis [Nov-2025 Updated]

You're analyzing IT Tech Packaging, Inc. (ITP), and to be frank, the company's valuation hinges less on its internal efficiency and more on the powerful, external PESTLE factors driving the Chinese paper and packaging sector. The neer-term outlook is defined by the tension between China's slowing projected 5.0% GDP growth and the booming e-commerce demand for corrugated boxes, but the real risks are political and environmental. Specifically, you need to account for the 25% US-China tariffs impacting raw material costs and the new mandates requiring up to 60% minimum recycled fiber content, which fundamentally reshapes their sourcing strategy. This analysis cuts straight to the external forces that will defintely determine ITP's profitability over the next 18 months.

IT Tech Packaging, Inc. (ITP) - PESTLE Analysis: Political factors

US-China Trade Tensions and Tariff Volatility

You need to understand that geopolitical friction between the US and China directly translates into material financial risk for IT Tech Packaging, Inc. (ITP). The trade war, which has been ongoing, remains a significant headwind in 2025. While the specific tariff rates have been highly volatile, the threat of high duties on Chinese exports to the U.S. is constant, impacting ITP's raw material costs and export sales.

For example, in April 2025, Chinese exports to the United States dropped by a significant 21% in U.S. dollar terms, a direct consequence of tariff barriers. This volatility means ITP must constantly re-evaluate its supply chain and pricing model. Even if ITP's direct exports to the U.S. are limited, the tariffs on raw materials like imported pulp and paperboard from the U.S. or other tariff-affected regions drive up the cost of goods sold. Here's a quick look at the tariff landscape as of mid-2025, which shows the extreme range of potential duties:

This political risk isn't just about the rate; it's about the uncertainty. It forces ITP to defintely carry more inventory or seek more costly, diversified sourcing outside of the U.S. market to keep production stable.

China's 14th Five-Year Plan and Green Manufacturing Mandates

The Chinese government's 14th Five-Year Plan (2021-2025) is nearing its conclusion, and its focus on 'green manufacturing' is a non-negotiable compliance factor for ITP. This is a clear policy push to shift from sheer volume to high-quality, sustainable production, which translates directly into higher capital expenditure for companies like ITP.

The plan sets aggressive national targets that cascade down to the provincial level where ITP operates:

• Reduce 'energy intensity' (energy consumption per unit of GDP) by 13.5% from 2021 levels.
• Reduce 'CO2 intensity' (carbon dioxide emissions per unit of GDP) by 18% from 2021 levels.
• Increase the output value of the resource recycling industry to RMB 5 trillion (US$773 billion) by 2025.

For ITP, this means investing heavily in cleaner production technology, such as closed-loop water systems and energy-efficient boilers, which increases operating expenses. A concrete example is the October 2025 regulatory requirement for imported recycled pulp, where materials with 0.5% or more impurities will be rejected, forcing ITP to source higher-quality, and often more expensive, raw materials.

Government Subsidies Favoring Domestic Producers

The Chinese government actively uses subsidies and preferential policies to support its domestic paper and packaging industry, creating a structural cost advantage for local players. This support can be direct (cash grants) or indirect (tax breaks, discounted land use, or low-interest loans).

While specific 2025 subsidy figures for ITP are proprietary, the historical scale of this government support is massive, with one report identifying roughly $33 billion in subsidies provided to China's paper producers across various forms in the past. This policy environment ensures domestic producers have a cost buffer, especially given that raw materials and energy make up approximately three-fourths of the total cost of producing paper.

The recent tightening of imported recycled pulp regulations also acts as an indirect subsidy, favoring domestic pulp collection and processing, which are cleaner and more secure sources of fiber for companies operating solely within China's domestic supply chain.

Regulatory Uncertainty: PCAOB Oversight

As a US-listed foreign company, ITP faces persistent regulatory uncertainty under the Holding Foreign Companies Accountable Act (HFCAA). The core issue is the Public Company Accounting Oversight Board (PCAOB) gaining complete access to inspect the audit work papers of China-based audit firms.

The good news is that the immediate delisting threat has been mitigated. In December 2022, the PCAOB removed mainland China and Hong Kong from the list of jurisdictions where it lacked complete inspection access. Still, the underlying political tension is not gone; the PCAOB's inspection of China-based auditors is an ongoing process, and any future lack of cooperation could immediately restart the two-consecutive-year countdown to delisting. The regulatory environment is serious: in 2024, the PCAOB levied collective penalties of $7 million on two China-based accounting firms for quality control violations, showing they are actively using their inspection authority.

The risk is now a function of sustained political cooperation, not just a technicality.

IT Tech Packaging, Inc. (ITP) - PESTLE Analysis: Economic factors

You're operating in a market where the macro-economic tide is slowing down, which means industrial demand-your core driver-is under pressure. We are seeing a structural shift in China's growth model, and while it's still robust, the days of double-digit expansion are defintely over. This deceleration maps directly to your top-line revenue potential.

China's Projected 2025 GDP Growth is Around 5.0%, a Slower Pace Impacting Industrial Demand

The pace of China's Gross Domestic Product (GDP) growth is a critical factor for IT Tech Packaging, Inc. (ITP), as industrial and consumer activity dictates packaging demand. For the 2025 fiscal year, major institutions like Goldman Sachs project China's real GDP growth to be around 5.0%, a figure that is still strong but represents a continued slowdown from previous decades' high growth rates. This shift means the 'rising tide lifts all boats' effect is weakening, forcing ITP to fight harder for volume.

This moderate growth rate is a double-edged sword: it still signals healthy industrial output, but the deceleration suggests a cooling in the property and heavy manufacturing sectors, which are major users of corrugated packaging. The International Monetary Fund (IMF) also upgraded its 2025 forecast for China to 4.8%, highlighting the move toward a consumption-driven economy. A consumption pivot is good for e-commerce packaging, but a slower industrial base means less demand for large-scale industrial packaging.

Fluctuating Global Pulp Prices Create Volatile Input Costs; a Key Risk

Your largest cost exposure remains the price of raw materials, primarily waste paper and pulp, which are highly volatile global commodities. In the packaging industry, managing this volatility is key to maintaining gross margins. For the 2025 fiscal year, we have seen significant fluctuations, particularly in the latter half.

For context, the average price for corrugated paper in China was around US$960/Ton in the second quarter of 2025. More recently, the average purchase price of A-grade waste yellow board paper-a key raw material-was approximately 1,676 RMB/ton as of September 5, 2025, showing a short-term increase of 2.07% in just one week. This rapid increase in input costs, driven by supply-side constraints and seasonal demand, compresses your operating margins unless you can immediately pass the cost on to customers.

Here's the quick math on the raw material cost pressure:

• Corrugated Paper ASP (Q2 2025): US$960/Ton
• Waste Yellow Board Paper Price (Sept 2025): 1,676 RMB/ton
• Short-Term Raw Material Price Volatility: Up 2.07% in one week as of September 2025

Increased Domestic Competition Drives Down Average Selling Prices for Corrugated Products

Despite the short-term price increases driven by raw material costs, the long-term structural issue of overcapacity in China's paper industry persists, which puts constant downward pressure on your Average Selling Price (ASP). The market is fragmented, and smaller, less efficient mills often undercut prices to maintain cash flow, forcing larger players like ITP to follow suit to protect market share.

The average ex-factory price for 140g corrugated paper was approximately 2,740 RMB/ton in September 2025. While this price showed a slight rise of 1.33% in early September 2025, that increase was primarily cost-driven, not demand-driven. The underlying supply-demand contradiction remains, meaning any sustained period of stable input costs will quickly see competitors dropping prices to fill capacity. You have to be incredibly efficient to win on price.

Inflationary Pressure on Labor Wages in Manufacturing Centers like Hebei Province

Labor costs continue to rise across China, a macro trend that is forcing manufacturers to invest in automation. For ITP, operating in manufacturing centers in Hebei Province, this means higher operational expenses. China's overall Labor Costs Index rose to 62.90 points in September 2025, up from 58.40 points in August 2025, with any reading over 50 indicating increasing costs. This confirms the sustained inflationary pressure.

While Hebei Province's specific 2025 minimum wage adjustment is pending, the entire manufacturing sector is feeling the squeeze. The average annual wage for manufacturing workers in China reached 107,987 CNY/Year in December 2024, a significant cost base that continues to climb. This rising cost of labor is a key driver for ITP to focus on production efficiency and capacity utilization to offset the wage increases.

IT Tech Packaging, Inc. (ITP) - PESTLE Analysis: Social factors

As a seasoned analyst, I see the social landscape for IT Tech Packaging, Inc. (ITP) as a classic double-edged sword: massive market tailwinds from consumer behavior but a persistent, costly headwind from labor dynamics. Your core product-corrugating medium paper (CMP)-is perfectly positioned for the e-commerce boom and the sustainability shift, but you have to manage the rising cost of the hands that make it.

Here's the quick math: the China e-commerce packaging market is a $62.4 billion opportunity in 2025, but the manufacturing labor shortage is a real operational expense driver.

Growing e-commerce penetration drives demand for corrugated packaging materials.

The sheer scale of China's e-commerce market is the single biggest social factor driving demand for your Corrugating Medium Paper (CMP). The China E-Commerce Packaging Market is projected to be valued at approximately $62.4 billion in 2025 and is expected to grow at a Compound Annual Growth Rate (CAGR) of 9.4% through 2031. This isn't just growth; it's a structural shift where packaging becomes a non-negotiable part of the supply chain.

In 2024, Paper and Paperboard captured a 43% share of the overall China packaging market, primarily because of its role in e-commerce fulfillment. For ITP, this translates directly into sales volume. For the nine months ended September 30, 2025, ITP's total revenue reached $61.29 million, driven largely by an increase in the sales volume of CMP, despite a decline in the average selling price (ASP) for some CMP products. The demand is there, so you need to focus on optimizing your unit cost of materials to capture the margin.

Consumer preference shifts toward sustainable, recyclable packaging options.

Consumers in China are increasingly demanding greener packaging, and this social trend plays right into ITP's core strength. Approximately 80% of e-commerce shipments in China are already packaged in paper-based materials, reflecting a strong consumer preference for recyclable and sustainable options.

Your business model, which uses recycled paper as the primary raw material for Corrugating Medium Paper (CMP), is a huge competitive advantage here. You are already aligned with the market's direction, which is moving away from single-use plastics. This preference is so strong that sustainability is now becoming a core expectation, not just a differentiator. The shift is accelerating, forcing e-commerce brands to transition to paper-based alternatives, which means sustained, high demand for your CMP product.

Labor shortages in skilled manufacturing roles push up operational expenses.

This is a critical near-term risk. While the macro demand for packaging is strong, the cost of labor in Chinese manufacturing is rising, and the workforce is shrinking in key areas. The Ministry of Education has estimated that by 2025, there will be a shortage of nearly 30 million workers in the manufacturing sector.

This shortage, coupled with rising wages, directly pressures your operational expenses. Even with a recent slowdown in wage growth-a Goldman Sachs tracker showed wages rose by only 3.9% year-on-year in Q2 2025-labor costs have more than doubled over the past decade. For a company with production bases in Hebei Province, this means you are constantly battling for skilled talent, which pushes up your recruitment and retention costs.

Here's a snapshot of the wage pressure you're facing:

Increased public scrutiny on corporate environmental and social governance (ESG).

Public and investor scrutiny on Environmental, Social, and Governance (ESG) is intensifying globally, and China is no exception. While ITP's core product is inherently sustainable due to its use of recycled paper, the company must proactively communicate its social and governance practices to the market.

The market is looking for more than just a recycled product; they want to see a full commitment to the 'S' and 'G' in ESG. This means clear reporting on labor practices, supply chain ethics, and corporate governance structure. For ITP, with a market capitalization of approximately $3.7 million as of November 2025, transparent ESG reporting is crucial for attracting institutional capital that increasingly screens for these factors. The approval of the IT Tech Packaging 2025 Omnibus Equity Incentive Plan in October 2025 is a positive governance step, aligning management incentives with long-term shareholder value.

Key social expectations for your business model include:

• Documenting the percentage of recycled content in Corrugating Medium Paper.
• Demonstrating fair wages and safe working conditions to mitigate the 30 million worker shortage risk.
• Establishing clear governance over the supply chain to ensure responsible sourcing of raw materials.

To be fair, your recycled paper model gives you a head start on the 'E' side, but you defintely need to strengthen the 'S' and 'G' narrative to meet investor expectations.

IT Tech Packaging, Inc. (ITP) - PESTLE Analysis: Technological factors

Industry 4.0 adoption requires significant capital expenditure on automated production lines.

You're operating in a traditional manufacturing sector where the shift to Industry 4.0 (the integration of smart technology into manufacturing) is no longer optional, but your firm's investment profile shows a serious gap. For the last twelve months ending September 30, 2025, IT Tech Packaging, Inc. reported a Capital Expenditure (CapEx) of only -$44,436, which is essentially zero net investment in new plant and equipment. This minimal spending is a stark contrast to the industry trend where competitors are automating to cut costs and boost efficiency.

Here's the quick math: while your total revenue for the nine months ended September 30, 2025, was $61.29 million, minimal CapEx means you are missing out on the efficiency gains that digital innovators are seeing, which include throughput gains of 5 to 10 percent and yield gains of up to five percentage points. This lack of investment leaves IT Tech Packaging, Inc. highly vulnerable to the operational cost pressures that are driving the entire paper and pulp industry toward automation. Unplanned downtime alone can cost manufacturers anywhere from $80,000 to $150,000 per hour, so relying on older, less-monitored equipment is a massive, defintely unhedged, risk.

Digitalization of supply chains improves inventory management but demands new IT infrastructure.

Digitalizing the supply chain is key to managing the volatility in raw material costs, which is a persistent threat to profitability. This means moving beyond basic inventory tracking to using Internet of Things (IoT) sensors and advanced analytics for real-time material flow and predictive maintenance. Companies like Stora Enso have successfully used this approach to achieve a 20% decrease in energy consumption and a 15% reduction in waste.

For IT Tech Packaging, Inc., the opportunity is clear: a full digitalization effort-using blockchain (a distributed ledger technology) for supply chain transparency-would enhance visibility and reduce the risk of fraud or errors. However, with the company's focus on working capital (as indicated by the $1.4 million public offering in May 2025 for general corporate purposes), any significant investment in the necessary IT infrastructure, like new Enterprise Resource Planning (ERP) systems or cloud-based platforms, is likely delayed. That's a tough choice when your gross profit for the nine months ended September 30, 2025, was already down 39.45% year-over-year to $3.38 million.

Innovation in lightweight, high-strength paperboard reduces raw material usage.

The market is actively demanding lighter, stronger, and more sustainable paperboard, especially with the growth of e-commerce driving demand for corrugated solutions. This innovation is crucial because lightweight packaging reduces shipping costs and lowers the environmental impact from transportation.

IT Tech Packaging, Inc. is already participating in this trend by producing Light-Weight Corrugating Medium Paper (CMP). The average selling price (ASP) for this product line in Q3 2025 was approximately $331/tonne, which is slightly lower than the regular CMP ASP of $340/tonne. Still, the strategic opportunity is in continuous R&D to push the strength-to-weight ratio even further, which would lower the input cost of recycled paper (the company's primary raw material) and make the product more competitive for e-commerce logistics. You need to keep innovating here or risk losing ground to competitors with superior R&D budgets.

Cybersecurity risks increase due to reliance on connected industrial control systems.

As manufacturing processes become more connected-a necessary step for Industry 4.0-the risk of a catastrophic cyberattack on Operational Technology (OT) systems like Programmable Logic Controllers (PLCs) and Supervisory Control and Data Acquisition (SCADA) networks rises dramatically. The global Industrial Cybersecurity Market is projected to reach $12.76 billion in 2025, growing at an 11.7% Compound Annual Growth Rate (CAGR), reflecting this urgent need for defense.

For a paper mill, a cyberattack is not just a data breach; it's an operational shutdown. Ransomware targeting OT assets is a top threat in 2025. Furthermore, insider threats-often negligent employees-are a significant vector, with 83% of organizations facing at least one insider security breach last year, carrying an average financial consequence of $15.4 million per incident. This is a massive, non-production-related risk that must be addressed with dedicated IT-OT security platforms and not just traditional firewalls.

The takeaway is simple: your competitors are investing to get leaner, and your minimal CapEx is creating a widening productivity gap, plus a massive, unmitigated cybersecurity risk. You need to start drafting a 3-year technology roadmap now.

IT Tech Packaging, Inc. (ITP) - PESTLE Analysis: Legal factors

You need to be acutely aware that China's legal environment is not static; it is a tool of national strategy, meaning compliance is a moving target that directly impacts your cost structure and operational flexibility. The regulatory push in 2025 is toward 'high-quality' development, which translates into stricter environmental accountability and tighter control over data and technology.

Stricter enforcement of China's Environmental Protection Law leads to higher fines for non-compliance.

The legal risks tied to environmental compliance are rising significantly, especially for a paper manufacturer like IT Tech Packaging, Inc. (ITP) that uses recycled paper as a primary raw material. The government's focus is on eliminating 'foreign garbage' and pushing the industry toward cleaner, domestically-sourced production, which means your processes are under a magnifying glass. The new rules, effective as of October 2025, specifically target imported recycled pulp, requiring importers to declare the processing method (dry vs. wet) to curb contaminated dry-milled pulp.

This tightening of import standards, coupled with the national push to reduce plastic and excessive packaging, forces immediate operational changes. If you fail a customs inspection on imported raw material, your shipments face detention or rejection, creating severe supply chain bottlenecks and cost volatility. The broader legal trend is clear: Chinese courts ordered violators to pay 9.6 billion yuan (about $1.34 billion) in environmental reparations between 2019 and 2023, showing the financial scale of non-compliance is massive. You simply cannot afford to be lax on wastewater treatment or solid waste disposal.

• Immediate Risk: Raw material cost volatility due to new recycled pulp import restrictions (October 2025).
• Compliance Mandate: Adhere to new limits on excessive packaging and the phase-down of non-degradable plastics.

New data privacy laws (like the PIPL) govern customer and operational data handling.

China's Personal Information Protection Law (PIPL) is the country's version of the EU's General Data Protection Regulation (GDPR), and its enforcement is becoming systematic. For IT Tech Packaging, Inc. (ITP), this isn't just about customer data from your e-commerce channels; it's about employee data, supplier contracts, and operational data that might be deemed 'important data' by authorities. The regulatory risk here is quantified and severe.

The financial penalty for non-compliance can be up to RMB 50 million or 5% of the personal information processor's revenue from the previous year, plus the potential for revoking business licenses. The new Measures for the Administration of Compliance Audits on Personal Information Protection, effective May 1, 2025, mandate regular compliance audits, adding a statutory burden. Even if you process less than 10 million individuals' data, you still have a legal obligation to conduct periodic audits.

Intellectual property (IP) protection remains a challenge for proprietary manufacturing processes.

While the Chinese government publicly commits to strengthening IP protection-as outlined in the 2025 Intellectual Property Nation Building Promotion Plan-the practical reality for protecting proprietary paper manufacturing processes (trade secrets) remains complex. The legal framework is improving, but enforcement against trade secret theft, especially from former employees or local competitors, is still a significant risk for a company with specialized technology.

The government's focus is on high-value patents and trademarks, with market supervision departments investigating nearly 675,000 cases in 2024, including 43,900 cases of trademark and patent infringement. Your challenge is to ensure your internal controls for trade secrets are airtight, as civil litigation for process-related IP theft can be lengthy and costly, and the burden of proof often falls heavily on the plaintiff. Protect your process know-how like it's your most valuable asset.

Changes in tax incentives for high-tech enterprises could alter effective tax rates.

China uses tax incentives strategically to drive technological innovation, and a paper manufacturer like IT Tech Packaging, Inc. (ITP) must actively maintain its High and New Technology Enterprise (HNTE) status to remain competitive. The standard Corporate Income Tax (CIT) rate in China is 25%.

However, a certified HNTE qualifies for a preferential CIT rate of just 15%, a substantial 10% reduction. This lower rate is critical for your bottom line. To keep this status, you must meet strict criteria, including owning the core technology IP and having a minimum R&D expenditure as a percentage of revenue (e.g., 3% if revenue is over CNY 200 million). The ongoing policy updates in 2025, such as new R&D Super Deduction policies in Shanghai effective August 1, 2025, show the government is continually refining these incentives, meaning you must constantly monitor eligibility.

Here's the quick math: if IT Tech Packaging, Inc.'s (ITP) revenue for the last 12 months was $78.94 million, maintaining the 15% HNTE rate versus the 25% standard rate is a significant competitive advantage. Losing this status would immediately increase your tax expense. Finance must ensure your R&D spending and IP portfolio are fully documented to secure the HNTE renewal.

IT Tech Packaging, Inc. (ITP) - PESTLE Analysis: Environmental factors

China's goal to achieve peak carbon emissions by 2030 forces immediate energy efficiency upgrades.

The Chinese government's commitment to reach peak carbon dioxide emissions before 2030 is creating significant, immediate pressure on energy-intensive sectors like paper manufacturing. For IT Tech Packaging, Inc. (ITP), which operates in Wei County, Hebei, this means mandatory capital expenditure on energy efficiency upgrades.

The 2024-2025 Action Plan for Energy Saving and Carbon Reduction sets clear, aggressive targets. The national goal is to reduce energy consumption per unit of Gross Domestic Product (GDP) by 13.5% and carbon dioxide emissions per unit of GDP by 18% from 2020 levels by the end of 2025. This isn't just a suggestion; it's a hard target that provincial governments must enforce through facility-level audits and mandates.

The government expects to reduce approximately 50 million tonnes (Mt) of standard coal consumption and 130 Mt of $\text{CO}_2$ emissions across key industries over the 2024-2025 period. For ITP, this translates directly into a need to modernize older paper machines, invest in combined heat and power (CHP) systems, and switch to cleaner energy sources to meet the 3% reduction target in energy intensity set for 2025. Your production costs will defintely rise in the near-term to meet these standards.

Water pollution controls are tightening, increasing the cost of wastewater treatment.

The paper industry is a major user of water, and China's tightening water pollution controls are a material financial risk. The 14th Five-Year Plan for Urban Sewage Treatment mandates a substantial increase in infrastructure, which means stricter discharge limits for industrial players like ITP.

By 2025, the national goal is to achieve an industrial wastewater discharge rate of 100% compliance and a sewage treatment rate of over 95% in county-level cities. This zero-tolerance approach to non-compliance means your wastewater treatment systems must be state-of-the-art.

The national water pollution control industry is a massive market, valued at 1,979.55 billion yuan in 2024, reflecting the sheer scale of mandated investment. Your operational costs will increase due to:

• Mandatory upgrades to advanced treatment technologies like membrane bioreactors.
• Higher chemical and energy costs for achieving lower pollutant concentration levels.
• Increased sludge treatment capacity, as the country aims for an additional 20,000 tons per day of sludge treatment capacity by the end of 2025.

The policy also aims for a recycled water utilization rate of over 25% in water-scarce prefecture-level cities by 2025, pushing manufacturers to invest in internal water recycling loops.

Mandates for using recycled fiber content affect sourcing strategies.

The regulatory environment is aggressively shifting the supply chain toward domestic, high-quality recycled fiber (recovered paper). China's full ban on imported waste paper in 2021, followed by the October 2025 tightening of regulations on imported recycled pulp, fundamentally changes ITP's raw material sourcing.

The new October 2025 rules require importers to declare whether recycled pulp was produced via a dry or wet process, targeting and restricting the lower-quality, contamination-prone dry-processed pulp. This immediately creates volatility in the global Old Corrugated Container (OCC) market and increases the cost and risk of imported pulp.

While a national 60% minimum recycled fiber mandate for all paperboard isn't explicitly published, the market is moving that way. One local packaging company is already using 100% recycled cardboard for corrugated paper, demonstrating the technological and market feasibility. The trend is clear:

• Quality First: Materials with 0.5% or more impurities are now subject to rejection at customs.
• Supply Volatility: The market is expected to be volatile for the next two to three months following the October 2025 rule change, creating short-term supply chain uncertainty.
• Domestic Focus: The policy encourages domestic collection and processing, forcing ITP to establish stronger, cleaner domestic supply relationships to ensure material quality and stability.

Increased scrutiny on waste management and landfill diversion for packaging materials.

The government is pushing for a circular economy, making ITP responsible not just for the production of paperboard, but also for its end-of-life impact. The goal is to establish a comprehensive waste recycling system by 2025.

The most critical number here is the national target to reuse 60% of urban household waste by 2025. For ITP, this means your customers-the e-commerce and logistics giants-are under direct pressure to use easily recyclable packaging, which favors ITP's core paperboard products over non-recyclable plastics.

The resource recycling industry is projected to be a massive opportunity, reaching $697 billion by 2025, which validates the long-term shift toward paper-based, easily recyclable packaging materials. This is a tailwind for your product, but it also means the performance of your paperboard in the recycling stream will be under intense scrutiny.

• E-commerce Mandates: Express service outlets must cease using non-degradable plastic packaging, plastic tape, and single-use plastic woven bags by the end of 2025.
• Opportunity: The shift from plastic to paper in the e-commerce sector, which handled over 175 billion parcels in 2024, is a huge market opportunity for ITP's corrugated board.
• Action: You need to certify your products as 'Green Products' under the national certification system, which already covers 248 types of packaging products.