Surplus corrugated case material capacity stemming the tide of investments in Europe

摘要

The corrugated case material market in Europe has not been left unscathed by the accelerated capacity growth in recent years. The flood of investments seen in recent years has dried up to a trickle amidst increased supply and lower prices. Investing in new machines or converting lossmaking publication and fine paper machines to corrugated case material production seems to be nowhere near as attractive as it was a few years ago. Market supply is abundant and prices for recycled and virgin-fiber based grades have been on a downward path for several months now. Largely stagnant demand from the corrugated industry, at least in major European markets, is also having an impact on market equilibrium. The corrugated board industry is showing subdued - if any -growth this year, even though online sales are still booming.