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Daio Paper pins survival hopes on China's 'toilet revolution'

Japanese company counters decline at home by meeting demand for high-end tissue

Daio Paper has been selling high-end diapers in China and aims to expand its tissue paper operations in the country.

TOKYO -- With the Japanese papermaking industry being realigned amid slumping demand, manufacturer Daio Paper has staked its survival on overseas operations and entered the Chinese toilet tissue market.

Chinese President Xi Jinping in 2015 launched a "toilet revolution," a campaign aimed at upgrading sanitary facilities in tourist spots and in rural areas across the country, many of which are little more than a hole in the ground with no flush mechanism.

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