Sonoco Announces Cardboard Price Increases
If your business relies on cardboard for packaging, shipping, or recycling revenue, you may start seeing cost increases in 2025 from cardboard. Sonoco, a major packaging supplier recently announced price hikes for uncoated recycled paperboard (URB) and converted paperboard products across North America and Europe. These increases are largely driven by rising costs for old corrugated containers (OCC) and elevated energy expenses.
Several key factors are at play. The availability of recycled cardboard has been low across Europe, pushing prices up in March with further increases expected. Additionally, more OCC is being shipped out of Europe, reducing the local supply and putting additional pressure on prices. Hopes for lower energy prices in Europe this spring have not materialized, and with gas reserves running low, replenishing supplies over the summer is expected to keep energy costs high.
Businesses in Europe will see a 60-euro-per-metric-ton increase on all grades of core board and paperboard starting April 7. In North America, URB prices will rise by $70 per ton beginning April 10, while converted paperboard products will see at least an 8% increase from April 15.
If your business depends on cardboard for packaging or recycling, these changes could impact your bottom line. To mitigate costs, consider optimizing packaging by reducing waste and using the right-sized boxes, or planning ahead by stocking up on materials before the price hikes take effect and comparing pricing from different vendors may provide more cost-effective alternatives. With market conditions tightening, staying proactive can help your business navigate these changes while keeping costs in check and go with a reputable recycling broker to keep costs down on your cardboard bale pickup route.
