North America Corrugated Packaging Market Sees Growth as International Paper Plans Strategic Business Split

As part of its aim to improve company focus and promote long-term growth, International Paper has announced plans to split into two separate publicly traded companies. To allow each company to pursue different operational and strategic priorities, the proposed separation will create a standalone global packaging solutions company in addition to a separate printing materials business. It is anticipated that the split will increase financial flexibility and enable more efficient resource allocation for both companies. The action is also expected to boost decision-making procedures and increase shareholder value.

Strengthening Focus on Sustainable Packaging Solutions

In addition to increasing operational effectiveness and customer responsiveness, the new structure is anticipated to enable International Paper to expedite investments in sustainable fiber-based packaging solutions. The packaging-focused business will keep profiting from the rising demand for corrugated packaging brought on by North American e-commerce growth and sustainability initiatives. By creating cutting-edge recyclable and fiber-based packaging goods, the company also hopes to bolster its innovation pipeline. Additionally, it is anticipated that greater investment in industrial modernization will boost future market expansion and increase production efficiency.

"The creation of two independent companies will allow each business to sharpen its strategic focus and better position itself for long-term success,” the company stated while announcing the separation plan.

According to Precedence Research, the North American corrugated packaging market size was valued at USD 113.50 billion in 2025 and is projected to grow from USD 123.32 billion in 2026 to approximately USD 271.59 billion by 2035, expanding at a CAGR of 9.12% from 2026 to 2035 owing to increasing demand for sustainable packaging solutions, rising e-commerce activities, and growing adoption of recyclable packaging materials.

Industry Impact and Market Outlook

The anticipated split demonstrates how packaging companies are placing a greater focus on portfolio optimization and operational expertise. Leading companies are reorganizing their operations to boost competitiveness as sustainability requirements tighten and demand for eco-friendly packaging increases. It is anticipated that these strategic restructuring efforts will promote additional investment and consolidation efforts throughout the packaging options, which is probably going to open up new avenues for innovation and sustained industry expansion.

International Paper's strategic initiative is expected to reinforce innovation in corrugated packaging and sustainable materials, supporting the long-term growth of the North America corrugated packaging market.