Board Converting News, February 28, 2022

NAM: Manufacturing, Retail Spending Jump In January

Box Shipments ( U.S. Corrugated Product Shipments) Industry Shipments In Billions of Square Feet Month December 2021

Retail sales jumped 3.8 percent in January, rebounding from the 2.5 percent decline seen in December, accord- ing to Chad Moutray, Ph.D. and Chief Economist at the National Association of Manufacturers (NAM). This result suggests that Americans again opened their pocketbooks more willingly at the start of the new year after pulling back at year’s end. Retail spending soared 13.0 percent over the past 12 months, consistent with the opening of the econ- omy and with consumers who have been flush with cash. Manufacturing production rose 0.2 percent in January, rebounding slightly after edging down 0.1 percent in De- cember. Speaking to the softness of the latest data, man- ufacturers have been challenged by supply chain bottle- necks, workforce shortages, rising production costs and, more recently, the spread of the omicron variant. Nonetheless, manufacturing capacity utilization inched up from 77.2 percent in December to 77.3 percent in Jan- uary, matching the rate seen in November, which was the strongest reading since December 2018. Overall, man- ufacturing production has risen 2.5 percent year-over- year, with 2.0 percent growth relative to February 2020’s pre-pandemic pace. Meanwhile, total industrial production increased 1.4 percent in January, rising to the highest level since December 2018.

Year

Actual

Percent Change Avg Week Percent Change

2021 2020

34.195 34.916

-2.1

8.549 8.729

-2.1

Industry Total

Year-to Date

December 2021

Year

Actual

Percent Change Avg Week Percent Change

2021 2020

416.338 406.776

2.4

8.294 8.071

2.8

Industry Total

Containerboard Consumption (Thousands of Tons)

Year

Month

Percent Change Year-to-Date Percent Change

2021 2020

2.7372 2.7727

-1.3

33.8477 33.0739

2.3

Container Board Inventory - Corrugator Plants (Thousands of Tons)

Corrugator Plants Only

Date

Percent Change Weeks of Supply

Percent Change

Dec. Nov.

2.256 2.203

2.4

3.3 3.3

0

Shipping Days

Year

Month

Year-to-Date

2021 2020

20 20

251 252

SOURCE: Fibre Box Association

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February 28, 2022

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