This week’s packaging industry news cycle was dominated by rising input costs, a federal push for uniform recyclability claims, and a wave of material innovation aimed at cutting waste out of the supply chain. From a fresh round of containerboard price hikes to a mill closure in Indiana, a House subcommittee advancing the PACK Act, and P&G quietly replacing labels with lasers, this roundup of packaging industry news covers the 13 stories converters, brand owners, and compliance teams need to know from the week of September 13, 2026.
Materials & Sustainability
Molded Fiber Makers Bet Big on 2026 Growth
A new industry survey found that nearly 79% of molded fiber manufacturers expect production to increase in 2026, with 74% planning capacity investments over the next 24 months, according to Packaging Dive. Producers cited brand pivots away from single-use plastics as the main growth driver, even as energy costs and regulatory uncertainty remain headwinds. Buyers weighing molded pulp against foam should also see how insulated shippers stack up in our EPS foam vs. vacuum insulated panel comparison.
P&G and Mondi Ditch Labels for Laser Marking
Procter & Gamble is now printing directly onto Tide caps using LasX Industries’ LaserSharp Marking technology, eliminating pressure-sensitive labels, release liners, and inks to unlock true mono-material packaging, per Packaging Dive. Mondi is exploring the same laser-marking concept for pet food, home care, and ecommerce packaging, citing shorter lead times and reduced material use.
Flexible Plastics Recycling Assembly Demands Government Action
A new industry briefing called for stronger government direction on flexible plastic collection after a report from the Alliance to End Plastic Waste found that advanced mechanical recycling can enable more than 30% recycled content in demanding flexible-packaging applications. Resource Recycling reports the technology exists, but domestic sortation and reprocessing infrastructure hasn’t caught up to volume.
rPET-Virgin Price Gap Narrows Amid Iran War Fallout
The spread between virgin and recycled PET has narrowed to roughly $200 per tonne, down from over $400 in prior years, as the Iran conflict and Strait of Hormuz disruptions push buyers toward domestic recycled supply, according to Plastics Machinery Manufacturing. Analysts expect recycled resin pricing to keep tracking virgin PET until the conflict resolves.
Aluminum Can Costs Stay Pinned Under Tariff Pressure
Metal packaging input costs remain elevated in 2026 as Section 232 tariffs on aluminum and tinplate steel hold firm, with Crown Holdings and Ball executives confirming costs are being passed through to customers, Packaging Dive reports. Canned-food and beverage packers are absorbing the bulk of the hit heading into Q4.
Industry & Supply Chain
Containerboard Producers Push Cumulative Hike to $240 a Ton
Following last week’s containerboard price spike, PCA, International Paper, and Smurfit Westrock have now implemented September 1 increases of $140, $80, and $100 per ton respectively, bringing the cumulative 2026 hike to roughly $240 per ton, according to Fastmarkets. Fastmarkets estimates 3.9 million tons of North American containerboard capacity — about 10% of the total — was permanently shuttered since February 2025, and the AICC has formally opposed the latest round.
PCA to Shutter Gas City, Indiana Plant
Packaging Corporation of America filed a WARN notice confirming it will permanently close its full-line plant in Gas City, Indiana, the week of October 26, laying off 78 employees, Inside Indiana Business reports. The closure adds to the wave of capacity rationalization fueling this year’s containerboard price increases.
Canada’s Retaliatory Metal Tariffs Take Effect
Canada imposed tariffs of up to 50% on more than 300 U.S. steel and aluminum products and derivatives effective September 8, after trade talks with Washington collapsed in August, according to Manufacturing Dive. The move covers flat-rolled steel and aluminum bars widely used in can and closure manufacturing, adding fresh cost uncertainty for metal packaging supply chains.
Packaging M&A Activity Cools in First Half of 2026
Deal volume in packaging fell more than 21% through the first half of 2026 compared to a year earlier, Capstone Partners data cited by Packaging Dive shows, as buyers favor smaller, selective transactions over megadeals. Sealed Air’s pending acquisition by CD&R and International Paper’s $1.5 billion sale of its cellulose fibers business to American Industrial Partners remain the largest deals still moving through the pipeline.
Regulations & Design
PACK Act Clears Key House Subcommittee
The House Energy & Commerce Subcommittee on Commerce, Manufacturing, and Trade advanced the PACK Act (H.R. 6832) on September 1, moving the bill toward a federal framework for recyclable, compostable, and reusable packaging claims backed by independent third-party certification, per Resource Recycling. AMERIPEN welcomed the markup as a step toward replacing the current state-by-state patchwork with national standards.
California’s AB 2253 Heads to Governor Newsom
California’s Protecting Consumers Against Greenwashing Act, AB 2253, would ban credit-based “mass balance” accounting for recycled-content claims and require documentation tied to actual physical recycled material used in production, Packaging Dive reports. The bill extends an existing plastic-container standard to all products, and brands still finalizing sustainability language should review our guide to certifying carbon-neutral packaging claims without greenwashing.
Washington Producers Face 2026 PRO Registration Deadline
Washington’s extended producer responsibility law requires packaging producers to join the state’s Producer Responsibility Organization in 2026, with detailed fee rulemaking to follow in subsequent years. Companies still sorting out multi-state exposure can check our EPR de minimis exemption calculator for CA, OR, CO, and ME before Washington’s program adds a fifth state to track.
London Packaging Week 2026 Opens This Week
More than 5,700 packaging professionals from over 2,600 brands are expected at ExCeL London for London Packaging Week 2026, opening September 16-17, according to Sustainable Packaging News. Ten of the event’s 18 experience zones are new for 2026, including a Design Hub powered by Pentawards focused on packaging’s creative community.
Sources
- Fastmarkets — PCA sets $140-per-ton containerboard price increase for September 1
- Inside Indiana Business — PCA to shut down Gas City manufacturing facility, lay off 78 employees
- Resource Recycling — House subcommittee advances PACK Act
- Packaging Dive — California bill cracking down on recycled content claims heads to Newsom
- Packaging Dive — Laser technologies offer alternative to packaging labels
Frequently Asked Questions
Why are containerboard prices still rising in late 2026?
Producers have removed roughly 3.9 million tons of North American containerboard capacity — about 10% of the total — since early 2025, and PCA, International Paper, and Smurfit Westrock all implemented new September 1 increases that push the cumulative 2026 hike to around $240 per ton.
What would the PACK Act change for brand owners?
The PACK Act would create a single federal standard for recyclable, compostable, and reusable packaging claims, requiring independent third-party certification instead of the current patchwork of state-level recycling-claim rules.
What does California’s AB 2253 ban?
AB 2253 would prohibit credit-based “mass balance” accounting for recycled-content claims, requiring companies to document that recycled-content claims reflect the actual physical recycled material used in production.
Why is molded fiber packaging growing so fast?
Brand pivots away from single-use plastics are driving demand, with nearly 79% of molded fiber manufacturers surveyed expecting production increases in 2026 and most planning new capacity investment within 24 months.
How is the Iran war affecting recycled plastic packaging costs?
The conflict and Strait of Hormuz disruptions have narrowed the price gap between virgin and recycled PET to about $200 per tonne, pushing more buyers toward domestic recycled supply and keeping rPET pricing tied to volatile virgin resin markets.