For the Quarter Ending December 2024
North America
The North American packaging materials market in Q4 2024 exhibited varied price movements across key commodities, influenced by seasonal demand, supply disruptions, and economic factors. Corrugated box prices initially rose due to hurricane-related production disruptions and strong holiday-driven demand but declined later as supply normalized and consumer demand softened. Cardboard prices followed a similar trend, peaking in November on holiday e-commerce activity before dropping in December as purchasing slowed post-Thanksgiving. BOPET film prices remained weak throughout the quarter due to excess supply, lower PET feedstock costs, and subdued demand, despite temporary freight cost increases from labor strikes. BOPP film prices declined steadily, driven by reduced pre-New Year demand, high global supply, and stable raw material costs. HDPE and LDPE markets faced significant downturns, pressured by weak packaging demand, oversupply, and logistical disruptions from hurricanes and port strikes, with additional uncertainty stemming from the U.S. Presidential Election and potential tariff hikes. Meanwhile, Polycarbonate prices remained stable, supported by strong automotive demand, balanced supply, and lower production costs amid declining crude oil prices. Overall, Q4 2024 highlighted a mixed performance, with some materials benefiting from seasonal trends while others faced persistent downward pressure due to oversupply and economic uncertainty.
Asia
In Q4 2024, the Asia-Pacific (APAC) packaging materials market experienced mixed trends. Corrugated box prices stabilized early in the quarter due to seasonal demand, but declined later amid weaker external demand and oversupply in the papermaking industry. The Chinese cardboard market saw price increases in October due to strong demand, but prices reversed in December as demand softened and oversupply grew. The BOPET film market faced a bearish quarter, with weak demand and oversupply leading to depressed prices, while BOPP film prices fell due to reduced demand post-peak season and increased supply. The HDPE market declined as weak demand from packaging, automotive, and construction sectors, alongside geopolitical uncertainties, pressured prices. LDPE prices saw initial increases, but supply chain disruptions and reduced demand in December led to a decline. The Polycarbonate market also faced a slight price decrease due to oversupply, particularly in China, and weak demand from automotive and electronics sectors. Overall, Q4 2024 was characterized by early stability followed by price declines across key packaging materials due to fluctuating demand, oversupply, and macroeconomic challenges.
Europe
In Q4 2024, the European packaging materials market exhibited a mix of price fluctuations across various sectors. Corrugated box prices initially declined due to weak demand from industrial sectors like automotive and global supply chain inefficiencies but stabilized later in the quarter as seasonal demand from retail and e-commerce sectors, coupled with rising raw material costs, supported prices. The German cardboard market saw an increase in prices in October driven by higher production costs but reversed in December as post-holiday demand slowed. BOPET film prices in Europe faced downward pressure from oversupply and weak downstream demand, exacerbated by global supply chain issues. Similarly, BOPP film prices fell due to reduced demand and increased supply, particularly from Asia. HDPE and LDPE markets experienced declines driven by falling feedstock prices, weak demand from construction and automotive sectors, and geopolitical uncertainties, further pressured by oversupply and cautious buyer behavior. The Polycarbonate market also saw price reductions due to weak demand, particularly in the automotive sector, and logistical disruptions. Overall, Q4 2024 in Europe was marked by a challenging environment with fluctuating demand, supply chain disruptions, and economic uncertainties impacting prices across packaging materials.
