US Packaging Paper Shipments Declined 2% in October

SEATTLE (Scrap Monster): The American Forest & Paper Association (AF&PA) has published the October 2017 US Packaging Papers & Specialty Packaging Monthly Report. According to the report, the exports registered marginal decline of nearly 2% when compared with same month in 2016. The Association has also released the monthly statistics with regards to printing-writing paper shipments, containerboard production and boxboard production.

The US shipped 223,400 tons of packaging paper in October 2017, lower by 1.6% when compared with the same month a year before. Bag and sack shipments edged higher by 3.3%. However, these gains were offset by huge decline in shipment of food wrapping. Food wrapping shipments were down 7.1% over the year. The packaging paper inventory declined further from the previous month to 167,800 tons in October 2017. The operating rate for the month was 85.5%.

The total shipments of printing-writing paper by the US have declined sharply by 7% in October this year, over the same month in 2016. The shipments of Coated Free Sheet (CFS) paper, coated mechanical (CM) paper and uncoated mechanical (UM) papers declined during the month. On the other hand, exports of uncoated free sheet (UFS) paper increased year-over-year in October. As a result, printing-writing paper inventory levels dropped considerably by 9% from September 2017 levels.

The shipments of CM paper recorded fifth consecutive month of year-over-year decline in October. The exports had touched the lowest level in nearly five years during the month of September this year. Recent shutdown of two mills resulted in 9% decline in CFS paper shipments. UM paper shipments also declined when compared with September 2016. The US shipment of UFS increased for the second time in 2017.

According to AF&PA, the US containerboard production jumped higher significantly by 5.1% over the previous year. The average daily production in October has edged higher by 3.1% upon comparison with September. The containerboard operating rate surged higher from 95.9% in October 2016 to 101.3% in October this year. The year-to-date US containerboard production for export was up by 3.5% over the corresponding ten-month period in 2016.

The AF&PA statistics indicates that US boxboard production increased slightly during the month of October. When matched with October 2016, the production was up by nearly 3.5%. Over the previous month, the boxboard production recorded sharp jump of 8.0%. The production of unbleached kraft boxboard and solid bleached boxboard and liner production registered year-on-year rise. Also, the production increased when compared to last month. Meantime, production of recycled boxboard increased when matched with October 2016 and September 2017.

AF&PA is the national trade association of the US forest products industry.