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- Pulp prices dropped significantly in the second quarter of 2023, falling by $250 in just two months. Despite this, the cost of wood chips stayed high, which negatively impacted the profits of the paper and pulp industry. The overall demand for paper products declined in 2023 due to changes in the global economy. Even though it was the peak season, market demand remained weak. At the same time, global uncertainties kept market sentiment cautious. To respond, the group continues to focus on supplying pulp to the mills within its own network.

- The industrial paper segment is split into domestic sales (43%) and exports (57%). In Taiwan, industrial paper sales were affected by increased competition from imported paper and a decrease in export orders, as economic slowdowns impacted international markets. This caused both production and sales to decline compared to last year. In the export market, particularly in China, orders remained lower than expected, and the recovery of the domestic market was slower than anticipated, leading to a drop in sales and profits. However, Vietnam has emerged as a promising growth market. With global supply chains shifting and new trade agreements, demand for packaging products in Vietnam grew in 2023. Additionally, the domestic quick-selling market showed signs of recovery, leading to a 10% sales growth compared to the previous year.

- In 2023, the Consumer Products division produced 150,000 tons of household paper, a 4.7% increase from 2022. Domestic sales in Taiwan reached 85,000 tons, a 2.7% increase, mainly due to strategic changes in product offerings and the success of new high-quality products that were well-received by consumers. Export sales were 83,000 tons, which was a 2.5% increase from 2022, driven by the recovery of demand in China as COVID-19 restrictions were lifted.

- YFY is focusing on developing products that support the "circular economy" and shifting its production toward more industrial and specialty materials. The goal is to meet the growing demand from industries like packaging, food, and electronics. In developed countries, there is increasing demand for multifunctional specialty papers, and emerging markets are also showing growth, which is expected to drive revenue. Looking to 2024, the group is working on promoting green supply chains and carbon reduction strategies. It has already set up cogeneration systems at its three mills, moving towards net-zero emissions. The group is also planning to use more renewable energy to achieve energy independence and stay aligned with green energy trends, making steady progress toward its goal of sustainability and carbon neutrality.