Investor Chatter Drowns Out Box Market Fundamentals BY RYAN FOX
AVERAGE CONTAINERBOARD PRICES The average prices reported are tabulated from prices PAID by various sources throughout the United States the week previous to issue. Prices in some areas of the country may be higher or lower than the tabulated average. The prices tabulated here are intended only for purposes of reference. They do not connote any commitment to sell any material at the indicated average. Transactions may be completed at any time at a price agreed upon by seller and purchaser. REGION 42# Kraft liner 26# Semi-Chem. Medium $ 900.00-925. 00 $ 825. 00 -$850.00 U.S. Average CANADIAN LINERBOARD & MEDIUM The average prices reported are tabulated from prices PAID by various sources throughout Canada. Prices may be higher or lower in various areas of the country. The prices tabulated here are intended only for purposes of reference. They do not connote any commitment to sell any material at the indicated average. Transactions may be completed at any time at a price agreed upon by seller and purchaser. Prices are Canadian $ and per metric ton. 42# Kraft Liner 26# Semi-Chem Medium East $970.00 $960.00 West $1,015.00 $995.00 REGION
Investors appear to be leading the chorus for a container- board price increase — and the calls are louder than usu-
al. In recent months, analysts have issued buy ratings on paper-pack- aging stocks, often linking them to the possibility of at least one price hike in 2026. Their optimism comes despite a mismatch with market fundamentals. Mill closures and price-hike
Ryan Fox
Welch Packaging Merges (CONT’D FROM PAGE 1)
announcements tend to send stocks higher, as investors assume more pricing power means more profit. But history shows that’s not always the case. Though Packaging Corp. of America has maintained margins through past hikes, In- ternational Paper’s earnings power has eroded. The newly formed Smurfit Westrock is betting it can reverse years of dysfunction and follow a more sustainable path. By traditional measures, the setup for a near-term price increase isn’t there. Mill operating rates remain soft, inven- tories are average, and costs for key inputs like old corru- gated containers (OCC) and natural gas are easing. Any sudden tightening in supply would likely be viewed as ar-
humbled to finally be on the same team. They bring fresh expertise in distribution, kitting, and fulfillment and will re- turn to their roots to drive sales in Kentucky, Indiana and beyond, if you know these ladies.” “Our combined strengths—Elite’s experience and Welch’s network of sheet plants—will create new oppor- tunities for customers, vendors, and associates. This part- nership perfectly aligns with our aspiration to join forces with outstanding independent packaging companies led by strong leaders. We’re proud to welcome Elite into our
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