Fastmarkets RISI has examined six macro forces that will continue to alter the landscape. Some of these may be familiar, but others have perhaps been hidden, brewing beneath a seemingly stable economy. Decision-makers must keep up with the unpredictable effects of these forces, as well as the price signals and other indicators that will guide the market going forward.
Whether directly or indirectly, these macro forces span across the forest products industry. Here are just a few of the dynamics we are observing:
- Single-use plastics gained popularity during the pandemic for their affordability and hygienic properties. However, investments in more eco-friendly paper-based packaging remain strong.
- At-home work and education have increased demand for e-commerce and corrugated packaging, and simultaneously accelerated the decline of printing and writing papers. The winners and losers are starting to shake out.
- Despite US housing starts declining by 30% in April, DIY projects have driven up demand for lumber. How long this continues may directly correlate to the long-term or permanent continuation of remote work.
Ask yourself how you are staying current, how you can distinguish between temporary and long-term disruptions, and what macro forces in other markets may directly affect your business. Our industry leading experts are looking up and out to follow these dynamics to ensure you’re given the best competitive advantage possible.
Change is already brewing beneath the surface – be ready. Read our full report here.