Board Converting News, January 10, 2022

Converter Outlook: Part I (CONT’D FROM PAGE 1 )

AIR CONVEYING CORPORATION is a recognized leader in the industry of Pneumatic Conveying Systems and has been in business since 1968. As an equipment manufacturer rather than simply a sales organization, we have complete control over the quality of material and products which make up your proposed system. Our equipment is found in Printing, Folding Carton and Corrugated plants throughout the country and the world.

“Yesterday, I got a glowing email from a client who nev- er gives out compliments. My suspicion is that even with our own backlog being significant we are still outperform- ing many of our competitors. “The year 2022 will see increasing mill capacity in North America, in Europe and in South America. Most white paper producers see containerboard as a default position. Consequently, companies like Domtar and Cas- cades are in the process of converting formerly white paper machines to recycled containerboard. The market question is, do all these conversions have integration? If they don’t, what will the impact of more paper availability mean? Will the additional tons be absorbed by increased demand or will the excess capacity lead to price erosion? What about capacity creep? It’s reported that the amount of new capacity coming online in 2022 and early 2023, in North America, in Europe and in South America (specifi- cally Brazil) will amount to 3.5 million tons. Will companies like Amazon make up the difference? Isn’t the proposed packaging initiative that Amazon has embarked upon all about reducing fiber and, ultimately, consumption? Then, the question becomes, will we find ourselves in a market slow down, where consumption flattens? Will this signal a return to a cycle of price reductions based on new capac- ity that has no home? This is where my crystal ball falters. CONTINUED ON PAGE 24

AIR CONVEYING CORPORATION PH: 901-454-5016 FAX: 901-324-7979 e-mail: sales@accfilter.com • www.accfilter.com

OEM box machine suppliers like to use proprietary electronic designs. It keeps you locked in to them and only them at a price they find very profitable. IMC box has successfully retrofitted 31 different OEM FFG, RDC and PS box machines with a simple low cost non-proprietary design - set yourself free Proprietary OEM electronics are expensive

Experienced in EMBA set-up control system replacement retrofits

a NEW Pacesetter 3.0 64Bit OS hardware release a Non-proprietary / non-PLC design a Simple to use common operator interface a Lowest maintenance cost design a Lowest priced set-up control system on the market a IMC Experience - set-up controls are ALL we do

Call for a free upgrade quote and ask for our EMBA reference list

423 Commerce Lane - Unit 6 West Berlin, New Jersey 08091 Tel. (856) 768-5370 (800) 462-8660 www.imcbox.com cschipke@imcbox.com

22 January 10, 2022

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