Sonoco To Implement Price Increase for Core Board and Paperboard in Europe

Company Overview - Sonoco Products Company is a global leader in high-value sustainable paper and metal packaging, serving well-known brands worldwide [4] - The company employs approximately 28,000 people across 315 operations in 40 countries [4] - Sonoco is committed to innovation, collaboration, and excellence, aiming for a sustainable future [4] Pricing Strategy - Sonoco announced a price increase of €60 per metric ton for all grades of core board and paperboard in Europe, effective from April 7, 2025 [1] - The price increase is attributed to a general shortage of Old Corrugated Containers (OCC), the primary raw material for core board production, and elevated energy costs [2] Market Conditions - The generation of OCC has been low across Europe, leading to rising prices in March, with expectations for further increases in April and beyond [3] - Exports of OCC from Europe are tightening local supply, exacerbating the situation [3] - Despite hopes for energy price reductions, low gas storage levels in Europe indicate that meaningful reductions are unlikely in the near term [3]