Canada’s corrugated packaging industry is calling on the federal government to push for the removal of corrugated cartons, boxes and cases from proposed U.S. tariff measures scheduled to take effect on August 19, warning that new trade barriers could disrupt a highly integrated North American packaging supply chain.

The Canadian Corrugated and Containerboard Association (CCCA) sent a letter dated August 17 to Prime Minister Mark Carney and Minister Dominic LeBlanc, asking the government to continue negotiations with U.S. counterparts and protect Canadian corrugated and containerboard producers from the proposed measures.

The association argues that corrugated packaging should be viewed differently from many other traded products because it forms part of the basic infrastructure used to move goods throughout the economy.

Food, agricultural products, pharmaceuticals, medical supplies, industrial goods, e-commerce orders and consumer products all depend on corrugated packaging during manufacturing and distribution.

As a result, tariffs applied to boxes could have effects extending well beyond the paper and packaging industry.

CCCA Warns of Cross-Border Supply Chain Disruption

The central concern raised by the CCCA is the degree of integration between Canadian and U.S. containerboard and corrugated packaging operations.

Materials, packaging inputs and finished products routinely move between the two countries as part of established manufacturing and distribution networks.

Introducing additional tariffs could increase costs or create inefficiencies at several stages of these supply chains.

“Everything moves in a box,” the association said, arguing that disrupting corrugated packaging trade could consequently affect numerous industries that depend on boxes to ship their products.

The CCCA specifically wants corrugated cartons, boxes and cases removed from the proposed August 19 measures.

The association warned that additional costs could ultimately affect Canadian manufacturers, exporters, workers and customers while also reducing the competitiveness of companies operating across the border.

Paper Packaging Supports 27,000 Canadian Jobs

The CCCA also highlighted the economic scale of Canada’s paper packaging sector.

According to figures cited by the association, approximately 27,000 jobs are supported across Canada’s wider paper packaging industry, including about 10,000 jobs directly supported by CCCA member companies.

Statistics Canada data cited in the letter puts 2025 GDP generated by the pulp, paper and paperboard mills sector at approximately $3.4 billion.

Converted paper product manufacturing contributed another $2.5 billion.

These figures cover industries beyond the CCCA’s membership, but the association used them to illustrate the broader economic exposure surrounding tariffs on corrugated paper and paperboard packaging.

Canada’s mill packaging shipments total approximately 2.97 million tonnes, according to the figures provided by the association.

Of this amount, approximately 2.1 million tonnes are recycled-content shipments supplied to domestic and export markets.

Tariffs Could Reach Recovered Fibre Markets

The potential impact also extends upstream into Canada’s recovered-paper system.

Old corrugated containers, or OCC, collected through recycling programs provide an important raw material for producing new containerboard and other paper packaging.

The CCCA reported that domestic containerboard shipments contain an average of approximately 81% recycled content.

Across domestic shipments of the two major packaging grades cited by the association, average recycled content reaches 80.2%, while domestic boxboard shipments average 86.2% recycled content.

This connection means changes in corrugated production and trade could potentially influence demand for recovered fibre.

The association warned that disruption to corrugated trade could therefore affect not only packaging manufacturers but also recycling systems, recovered-fibre markets and mill operations.

Corrugated Packaging Connects Multiple Industries

Unlike some finished consumer products, corrugated packaging sits between numerous stages of industrial production and distribution.

Containerboard mills manufacture linerboard and corrugating medium, which are converted into corrugated board and ultimately cartons, cases and other shipping formats.

Those boxes then move through industries ranging from agriculture and food processing to pharmaceutical manufacturing, retail and e-commerce.

The CCCA argues that this interconnected structure increases the potential economic impact of trade restrictions.

A tariff applied directly to corrugated packaging could affect packaging suppliers while simultaneously increasing costs for businesses that require boxes to move their products.

For Canadian exporters, packaging costs are particularly relevant because corrugated cases frequently accompany products throughout their journey to U.S. customers.

Industry Calls for Continued Canada-U.S. Negotiations

The CCCA is asking Ottawa to continue engaging with U.S. officials ahead of implementation of the proposed measures.

Its position is that Canada’s corrugated and containerboard industry represents a long-established North American manufacturing system rather than two isolated national markets.

The organization said it is prepared to participate in government consultations and technical discussions concerning the proposed tariffs.

For the Canadian paper industry, the issue now extends beyond the direct tariff exposure of individual corrugated products.

The larger question is whether new trade barriers could change the economics of containerboard production, corrugated converting and recovered-fibre flows across one of the world’s most closely integrated paper packaging markets.

With the proposed measures approaching, the CCCA is pushing for corrugated packaging to be removed before tariffs begin affecting the industry’s cross-border supply chain.

Last Updated on 19/08/2026 by Jota Machinery