Corrugated Shipments Post Sharp Decline

The most recent figures from the Fibre Box Association show total industry shipments of corrugated products stand at 32.437 billion square feet, a 3.1 percent drop from figures the same time last year.

Declines were seen through most regions of the country, with only the West Coats, abetted by strong shipments offshore, posting an increase for the month. The biggest loser for the month continues to be the Northeastern U.S., which saw shipments plummet by more than 6 percent. Other sharp declines were seen in the Southeast, which saw shipments drop 5.6 percent; the East Central, declining 4.5 percent; and the North Central U.S., which saw shipments drop by 4.4 percent.

The collective decline for the month pushed the four-month figure down 0.6 percent to 124.026 billion square feet. Again, the biggest decliner over the first four months has been the Northeast, which has seen shipments dip by 3.2 percent. The West Coast held its positions as the region with the sharpest improvement between last year and this year with shipments up 2.2 percent.

Along with a decline in shipments, the consumption of containerboard at domestic plants declined by 2.2 percent for April. For the month consumption stands at 2.515 million tons, compared to last April’s figure of 2.574 million tons.

While declining for the month, consumption over the first four months posted a modest 0.6 percent improvement, with this year’s four-month total standing at 9.55 million tons.

While consumption and shipments declined, the inventory of containerboard at domestic plants climbed at the end of the month. At the end of April inventory stands at 2.424 million tons, a 1 percent increase from inventory levels from the previous month.

Despite an increase in inventory, the weeks of supply on hand declined by 4.8 percent to 4 weeks.