US September Carton Carton Market Report

The carton business in the western United States seems to be sprinting for the good year. Not only is a department developing the market, this kind of advancement is extensive. Many manufacturers agree that they see more profits in a wide range of industrial markets.

“This is a big order I have received in 11 years,” said Paul Meinhardt, president of KaweahContainer. Expecting retirement, he has trained some new people who are taking the business to the next stage. “In the past three months, our performance has been very good. This month (September) looks good too. Our base has increased by 5%.”

In the coastal areas, sales of some products are also very gratifying. “In the past five or six months, everything here has been great,” said EdKearney, Tharco’s sales manager. “Because the economy is improving, our business has also shown growth.” Although in the past four Sales of some products have also fallen during the week, he said, which may be due to the seasonal role of their huge consumer base.

However, in the Los Angeles area, LewisEagle, the president of EmpireContainerCorp, is not so optimistic. “The business is not so good now, the overall environment of the manufacturing industry is not very good. Everything is imported and the competition is fierce.” Eagle said that even if 10 factories are closed in this area, supply and demand may not be able to return to balance. Although the price of near-surface cardboard has risen, he attributed this to the price rebound after the “predatory pricing” of the past few years, which has reduced his company's output by 15% to 20% compared with four years ago. Profits have fallen by 70%. "But we have done a good job. Although we are still in a depression, we expect that we can end this year's operations with a profitable ending this year," Eagle said optimistically.

"We saw a glimmer of hope this year," said Brian Lebber, president of CactusContainer. Cactus's 2004 results so far this year are much better than in 2003. In the summer, although Cactus' sales in Phoenix (US cities) have declined, even during the seasonal decline, business performance is better than in 2003.

DonSpradling, president of Tri-West Packaging, which specializes in industrial product packaging, said: "Our business is good, up 7% from last year." Spradling added: "Part of the reason is new business, and partly because of new products. use."

In the first seven months of this year, the growth rate in the west was higher than the average growth rate. According to a report released by the American Carton Association in August, the growth rate of shipments in the western region in July was as high as 4.1%. This made the region the second largest growth in the United States (second only to the growth rate of 4.5% in the eastern United States). The average growth rate of shipments is 3.7% higher than the US. The western region is expected to achieve steady growth throughout the year – the region’s growth rate in March even reached an astonishing 10.

Outlook for the fourth quarter

"We will see this growth continue. We expect this growth to continue and plan for it," Lebber said. "I am excited about it."

Like other factories on the West Coast, Spradling also saw the good side of the rest of 2004. "We focus on new business," Spradling said. “The previous three years were not brilliant,” he added. “This year will be a good year in the last three years.”

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