A stronger US economy, expanded food, beverage and durable goods output, and a rebound
in construction spending will all benefit demand for corrugated and paperboard boxes.
US demand to exceed
$36 billion in 2016
Demand for corrugated and paperboard
boxes in the US is projected to rise 2.3
percent annually to $36.4 billion in 2016,
boosted by an overall strengthening of
the US economy following the 2007-
2009 recession. In particular, growth will
benefit from expanded food, beverage
and durable goods output, as well as
from a rebound in construction spending,
which will stimulate demand for goods
and materials (and their related boxes)
used in construction applications. Gains
will also be aided by a trend toward more
expensive boxes, such as corrugated
boxes and folding cartons that offer highquality
graphics and printing.
Corrugated, solid fiber
boxes to lead demand
Corrugated and solid fiber box demand
is forecast to climb 2.5 percent per year
through 2016, supported by a rebound in
manufacturing activity and accelerated
growth in consumer spending. In addition,
corrugated and solid fiber box
demand will be supported by their wellentrenched
position as the shipping
container of choice in a number of markets
due to their cost-effectiveness,
excellent protective performance and
limited competition from other packaging
alternatives. Production volume will rebound
but will be moderated by sustainability
efforts and heightened use of
high-performance, lighter basis weight
grades of linerboard and medium that
can provide sufficient compression
strength for shipping boxes.
Demand for folding paperboard boxes is
expected to rise 1.7 percent per annum
through 2016, trailing the corrugated box
pace as a result of strong competition
from other packaging formats -- mainly
flexible packaging and mini-flute corrugated
boxes. Source reduction efforts
will also limit advances. Nonetheless,
gains will benefit from a rebound in
nondurable goods output and continued
use in many markets because of their
low cost, functionality and ability to
provide considerable billboard space for
eye-catching graphics and printing. Setup
box demand will grow modestly due
to inroads by less costly options like
folding cartons and plastic containers,
but will benefit from usage as upscale
packaging for premium confectionery
products and fragrances.
Frozen food and beverages
market to remain dominant
Food and beverages, which accounted
for half of US box demand in 2011, is the
largest box market. Through 2016,
frozen food and beverage applications
are expected to exhibit the fastest gains
among food and beverage markets.
Among other nondurable goods box
markets, pharmaceuticals, and rubber
and plastic products are expected to see
above average growth. Durable goods
markets will rebound favorably from their
2006-2011 performance, fueled by gains
in production of machinery and equipment.
A recovery in construction activity
will drive demand for durables such as
appliances, furniture and plumbing
products, as well as related boxes.
Study Scope
This study analyzes the $32.5 billion US corrugated and paperboard box industry. It presents historical demand data for the years 2001, 2006 and 2011, and forecasts for 2016 and 2021 by material (e.g., paperboard, adhesives, inks, waxes), product (corrugated and solid fiber boxes, folding paperboard boxes, set-up paperboard boxes) and market (e.g., food and beverages, nonfood nondurable goods, durable goods, nonmanufacturing).
The study also considers market environment factors, details industry structure, evaluates company market shares and profiles 27 industry players, including International Paper, Rock-Tenn and Graphic Packaging.
