New figures from the American Forest & Paper Association (AF&PA) show continued softness in the U.S. paper sector, with both packaging and printing-writing paper shipments declining in April compared to the same period last year.
According to AF&PA’s monthly industry report, total packaging and specialty packaging shipments dropped 3% in April 2025 year-over-year and remain 3% lower across the first four months of the year compared to the same period in 2024.
The report highlights a mixed picture across subcategories. While shipments of unbleached packaging papers—the largest segment in the packaging paper market—fell overall, the operating rate rose to 86.5%, marking a 1.9 percentage point increase from April 2024 and a 1.6 point increase year to date.
Bleached packaging papers, which include grades used for food applications, saw modest gains. Shipments of food wrapping papers reached 27,700 short tons in April, up 6.6% from the same month last year and 11.2% higher on a year-to-date basis.
The picture for printing and writing papers is notably weaker. AF&PA reported a 7.6% year-over-year decline in shipments for April, continuing a downward trend in a segment long impacted by digital substitution and shifting demand patterns. Despite this, U.S. purchases of total printing and writing papers rose 7% in March compared to the same month in 2024, suggesting some volatility in purchasing behavior.
Inventory levels for printing and writing grades declined by 3% month over month, indicating a degree of destocking or more measured supply responses in light of muted demand.
Among the three major printing and writing grades, uncoated freesheet (UFS) shipments were down 11.4% month over month and 9% year to date. Coated freesheet (CFS) also slipped by nearly 5% in April but remained flat year to date. Mechanical papers, in contrast, recorded a 10.8% month-over-month gain and a 5.1% year-over-year increase—an outlier in an otherwise downward trend.
While the broader declines highlight persistent structural challenges, the rise in food wrapping shipments and higher operating rates in unbleached packaging indicate demand resilience in specific application areas. However, the overall contraction may suggest further market adjustments ahead for mills, converters, and packaging suppliers aligned with traditional fibre-based substrates.
