Dive Brief:
- North American containerboard prices remained flat in August compared with July, according to data released by Fastmarkets RISI’s Pulp & Paper Week publication on Aug. 21.
- This is the second consecutive month of no movement. In June, PPW reported a $50 per ton increase that fully recognized producers’ announced price hikes slated to take effect that month; that was the second of three rounds of increases announced in 2026 so far.
- While most boxboard grades also remained flat in August, solid bleached sulfate increased $20 per ton month over month. Uncoated recycled paperboard prices didn’t move even though the majority of major producers announced increases in July.
Dive Insight:
Industry observers generally expected that containerboard pricing would not move in August because producers’ most recently announced increases are slated to take effect in September. However, chatter about ongoing market volatility and the controversial third round of price hikes prompted some observers to keep an eye on PPW’s Friday data release just in case.
So far in 2026, Fastmarkets RISI has recognized a net increase of $100 per ton related to the first two rounds of hikes. The June increases are still being implemented due to the time lag in how pricing flows through. That known lag also is driving the belief that implementation for the third round of corrugated price increases, scheduled to begin in September, will likely continue into early 2027.
Packaging Corporation of America kicked off that third wave on July 24 when it disclosed a $140 per ton increase for Sept. 1, an increase amount widely called unprecedented. Smurfit Westrock, International Paper and Cascades announced their own increases in the days that followed, but for slightly less stark numbers that range from $80-$110 per ton — although Cascades also announced a $140 per ton hike for medium.
Fastmarkets RISI also has reported that Georgia-Pacific, ND Paper and White Birch Paper have since joined with September containerboard price increases for $100-$110 per ton.
AICC, The Independent Packaging Association, earlier this month spoke out against the announced third round, saying the hikes are unjustified and were announced while round two was still being implemented. The group noted that containerboard producers have repeatedly raised prices during the last five years, even in down markets, which impacts its independent corrugated, folding carton and rigid box converter members. AICC also questioned containerboard producers’ statements during recent earnings calls that indicate demand is improving and supply is tight.
PCA executives have discussed supply tightness during their last two earnings calls. IP executives also pointed to tightness in the spring. But CEO Andy Silvernail explained during the company’s Q2 earnings call that demand was softer than expected that quarter, and the company therefore lowered its demand outlook for the year.
Bank of America Securities’ sources similarly expect growth to remain flat during the next two quarters, according to its most recent box report survey results, released Aug. 11. That’s down from expectations in the June survey for 0.5% growth and March survey expectations for 0.4% growth.
“That said, demand sentiment improved modestly versus June, with 50% of respondents reporting better conditions than three months ago,” said analyst George Staphos in the report. “Stronger growth likely would better support and solidify 2026 pricing efforts, to date.”
Observers have expected some level of industry reset after North American containerboard producers announced closures in 2025 totaling a historic 10% cut in production capacity. A few closures have also been announced this year. IP had temporarily suspended operations at its containerboard mill in Pine Hill, Alabama, to repair storm damage to the roof; operations fully resumed there the week of Aug. 10.
