Trade Wars: The Packaging Predicament

Andy Russick, Vice President of Sales and Marketing at Pacific Coast Producers, is navigating the complex landscape of U.S. trade policies. The young executive, responsible for selling canned fruits and tomatoes, is feeling the pinch from the 50% tariff on imported steel and aluminum imposed by President Donald Trump's administration.

Russick's company has become an unintended victim in the trade conflict aimed at curbing cheap imports. The tariffs have elevated costs, and Pacific Coast Producers is evaluating alternative container materials such as glass and plastic. Russick foresees a shift toward aseptic cartons and cheaper packaging like foil pouches for certain products.

The broader industry is also weighing its options. While glass packaging aspires to capture market space from aluminum, logistical issues and transport costs pose challenges. Beverage companies, particularly those using aluminum cans, are similarly impacted, and some are considering integrating more plastic into their packaging lineup.

(With inputs from agencies.)