Board Converting News, June 26, 2023

AF&PA Details U.S. Paper Production, Capacity Trends

NC Awarded $7.5M Grant To Assist Former Pactiv Evergreen Workers The State of North Carolina has been approved for a $7.5 million federal grant to help workers who were dislocated by the Pactiv Evergreen layoffs in Canton and Waynes- ville, N.C. Governor Roy Cooper announced. Of that, $2.5 million will be distributed immediately with the remainder spread out in the coming months. “This grant will provide new resources for our continu- ing effort to support people in the region around Canton who are dealing with the devastating impact of the paper mill’s closure,” Cooper said. Nearly 1,100 employees lost their jobs following Pactiv Evergreen’s announcement in March that they were plan- ning to shut down the paper mill in Canton and reduce operations in nearby Waynesville. The Canton mill was Haywood County’s largest employer and had been in op- eration for more than a century. “Our Workforce Solutions team and our local NCWorks partners have made it a priority to respond to these layoffs in a coordinated, compassionate way,” said N.C. Depart- ment of Commerce Secretary Machelle Baker Sanders. “With this new grant from our federal partners and oth- er available resources, we will continue helping talented workers to gain new skills and connect with employers who are hiring.”

The American Forest & Paper Association, AF&PA, re- leased the 63rd Paper Industry Capacity and Fiber Con- sumption Survey. U.S. paper and paperboard capacity de- clined slightly by 0.4 percent in 2022, to 81.0 million tons. That compares to an average decline of 0.9 percent per year since 2013. The U.S. paper industry continues to respond to shift- ing demands by converting paper machines to produce packaging grades, supporting U.S. manufacturing jobs and sustaining local communities, as well as increasing the use of recovered fiber. U.S. paper and paperboard production declined 3.3 percent last year, with boxboard increasing, container- board and printing-writing declining, and tissue staying about the same. Containerboard capacity declined 0.6 percent in 2022. Containerboard’s share of total paper and paperboard ca- pacity continued to exceed 50 percent. Boxboard capacity rose 2.4 percent in 2022. There have been 3 announce- ments of plans to add boxboard capacity in 2025 or later to meet demand for paper-based consumer packaging. Printing-writing capacity declined 0.7% in 2022 as the sector rebounded from averaging a double-digit decline during 2020 and 2021 due to the COVID-19 pandemic.

20 June 26, 2023

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