Weyerhaeuser - Competitors

Weyerhaeuser Competition

Now Viewing Weyerhaeuser's competition in: Paper Products Manufacture

Recent Developments

RFID Technology Coming to Paper Products Industry - Weyerhaeuser will begin licensing its radio frequency identification (RFID) application process for manufacturing RFID-tagged paperboard, according to RFID Journal. International Paper is among the firms that will use the process. Weyerhaeuser is also developing RFID tags that can be printed using non-silicon chips and metallic-ink antennas.

Trade Agreement Sent to Congress - President Bush sent the US-Colombia free trade agreement to Congress, which has until September 2008 to vote on it. Paper product manufacturers may benefit from the agreement, which eliminates many tariffs on US-made products.

Protective Packaging Demand Expected to Rise - US demand for protective packaging will rise 4.6 percent per year through 2012, according to the Freedonia Group. Manufacturing growth and increasing Internet commerce will be key factors driving increasing demand. Demand for protective mailers and bubble packaging will be above average during the period.

Competitive Landscape

Demand is driven by general commercial activity and population growth. The profitability of individual companies depends on efficient operations, as products are sold mainly based on price. Big companies have advantages in distribution and can supply large customers. There are few economies of scale in manufacturing; large and small producers operate the same kinds of plants--large producers just have more of them. Small companies can compete successfully by making specialty products or serving a small geographical market. The industry is capital-intensive: average annual revenue per worker is close to $300,000, although the figure varies by product segment.

Full Industry Overview For Paper Products Manufacture

Paper Products Manufacture Industry Forecast

from Hoover's/D&B subsidiary First Research

The output of US pulp, paper, and paperboard products manufacturing is forecast to grow at an annual compounded rate of 4.2 percent between 2007 and 2012.

Paper Products Production Growth Fairly Steady

First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.