US Rigid PET Packaging Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 4.35 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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US Rigid PET Packaging Market Analysis
The United States rigid pet packaging market is expected to witness a CAGR of 4.35% over the forecast period (2022-2027). PET packaging was considered an essential service in the United States due to its applications in bottled water and pharmaceuticals packaging. Beverage, food, healthcare, and other end-user industries have been considered essential services in the region. This end-user witnessed significant demand for bottled water, hand sanitizer bottles, household cleaning, and detergent. According to a convenience store news 2020 survey report, purchasing behavior of consumers at convenience stores due to the pandemic for products such as bottled water(single), bottled water(multipack), and milk accounted for 49%, 38%, and 46%, respectively.
The International Bottled Water Association reports that Americans consumed 15.6 billion gallons of bottled water in 2021, up 4.5% from 2020 (compared to a 4.2% increase the previous year). That means that each American consumed 46.9 gallons of bottled water on average in 2020, up 3.8% from the prior year. Furthermore, retail dollar sales of bottled water increased by 4.4% in 2021, reaching USD 37.9 billion. With this rising trend likely to continue, it is set to propel the demand for Rigid PET in bottled water packaging.
Clamshell packaging remains popular with retailers among rigid plastic packaging because the product is visible on both sides. It can be hung or freestanding, and it's harder to shoplift since the package is bigger than the product inside. It's much lighter than cardboard or other alternatives, saving energy during transport, cheaper to make, and more durable.
Manufacturers prefer PET over other plastic packaging goods because it minimizes the loss of raw material throughout the manufacturing process. Its recyclability and ability to customize it with numerous colors and designs make it a popular choice. Refillable items have risen in popularity as consumer knowledge of environmental issues has grown, increasing demand for the product. For instance, in February 2022, Evergreen is one of the prominent producers of food-grade rPET in North America, having its USD 200 million investment and multiple acquisitions.
For decades, pharma packaging has likely migrated away from plastic, the industry's main design and manufacturing material. However, the industry will continue to use polyethylene terephthalate (PET) because of its capacity to break down to PET at the molecular level.
In April 2022, Klockner Pentaplast, a manufacturer of recycled content products and high-barrier protective packaging, decided to expand its multi-million dollar production facility in Beaver, West Virginia, to add post-consumer recycled content (PCR) PET capacity in North America. Installing an extrusion line and two thermos formers will increase the company's sustainable innovation in the consumer health, pharmaceutical, and food packaging markets, producing 15,000 metric tonnes of new rPET/PET capacity. Over 20% of Klockner Pentaplast volumes are currently made with PCR material.
US Rigid PET Packaging Market Trends
This section covers the major market trends shaping the US Rigid PET Packaging Market according to our research experts:
Rigid PET Caps and Closures will Observe a Significant Growth
According to Silicon Valley Bank, premium wineries in the United States had a gross margin of 56.8 % as of 2020, with the average bottle price being USD 28. Hence, the usage of Rigid PET closures can be an advantage in reducing cost, being stronger than cork, and not susceptible to taint, which is why PET caps and closures are further fueling the growth of sales in the region.
According to the National Library of Medicine, in 2021, overall pharmaceutical expenditures in the US grew 7.7% compared to 2020, for a total of USD 576.9 billion. By 2022, overall prescription drug spending is expected to rise by 4.0% to 6.0%, whereas in clinics and hospitals it is anticipated to increase from 7.0% to 9.0% and 3.0% to 5.0%, respectively, compared to 2021. Due to the high consumption of drugs, there is a considerable rise in demand for more bottles, driving the growth of the caps and closures market.
Furthermore, nanotechnology in convenience food manufacturing has played a crucial role in improving critical functions, including preservation procedures, packaging methods, and finished goods processing. Thus, this trend is anticipated to play a significant role in increasing the usage of containers for packaged food products, which is expected to increase the demand for various kinds of closures.
Most manufacturers are considering caps and closures to provide seal-proof packaging and product protection, driving the market's growth. According to the USDA Foreign Agricultural Service 2020 report, fresh fruit export commodities included apples, grapes, oranges, strawberries, and cherries, which accounted for a combined USD 3.1 billion, with top markets including Canada and Mexico. The requirement for caps can be increased since they are most often used in juices.
Moreover, concerning the environmental issue and enhancing brand appeal, various manufacturers are replacing outer box products with rigid PET caps and closures made from recycled plastic and are concentrating more on design and high appeal for their brands. According to American Chemistry Council, 52 new plastics recycling projects have been announced in the United States between 2017 and 2020, with the combined value of projects being USD 4.8 Billion. The growing investments in the US advanced recycling technologies are making it probable to reuse more plastic types than was possible.
Food is One of the Significant Factor for Market Growth
Packaged food products, such as jams, mayonnaise, pickles, etc., are usually stored in bottles protected using various kinds of airtight Rigid PET closures. With an increase in the working population, there has been a substantial increase in the demand for easy-to-cook and packaged food. According to Global Organic Trade Guide, organic packaged food consumption in the region is expected to reach USD 21.39 Billion by 2026. It is expected to fuel the growth of rigid PET packaging.
Various initiatives were taken by the governments and the related regulatory bodies regarding food safety procedures and environmental issues that have led to the revision of the existing food packaging procedures. It has been done to promote the packaging industry to look for better options in terms of packaging materials, which is expected to drive the market players to comply with environmental regulations and provide environmentally sustainable packaging.
For instance, Fabri-Kal products are made with a minimum of 20-50% post-consumer recycled (PCR) PET material. Recyclable products are made in the United States. The PET Sip Lids are created for on-the-go consumption of cold drinks and transport safely without splashing, preventing the use of straws. The company's greenware products are made from PLA resin derived from plants.
Also, many governments are mandating stringent laws and regulations on the labeling and packaging of drugs and food products, further expanding the scope of the Rigid PET packaging market. For instance, the United States witnessed an increase in the demand for rigid packaging in the food industries, owing to the inability of an in-house packaging facility for a few companies in this region.
In 2021, transparency in food packaging had been trending. Beyond just the listed ingredients on the label, consumers also want to see the physical product before purchasing. Polyethylene terephthalate (PET) bottles are taking over for glass in the single-serve ketchup, condiments, and barbecue sauce markets. Many companies are choosing polyethylene terephthalate (PET) bottles, as PET is as clear as glass and less likely to break.
US Rigid PET Packaging Industry Overview
US rigid pet packaging market is moderately consolidated, with a few major companies. The companies continuously invest in strategic partnerships and product developments to gain more market share. Some of the recent developments in the market are
April 2021: Berry Global Group, Inc. announced an investment of more than USD 70 million to support continued growth in consumer packaging films, primarily for e-commerce, food, and beverage applications. The investment supports new multi-layer blown film lines, infrastructure upgrades, and other equipment that will come online in 2021 and 2022 across multiple sites in the North American manufacturing system. Beyond the traditional infrastructure upgrade, the film lines will support the anticipated increased customer demand for recycled content.
February 2021: Berry Global launched a polyethylene terephthalate (PET) spirit bottle for e-commerce businesses. The 50ml PET bottle addressed the increasing demand for online spirit sales, especially gin.
US Rigid PET Packaging Market Leaders
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CCL Industries, Inc.
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Amcor Limited
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Mondi Group
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Smurfit Kappa Group PLC
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Berry Plastics Group
*Disclaimer: Major Players sorted in no particular order
US Rigid PET Packaging Market News
November 2021 - In conjunction with America Recycles Day, Amcor Rigid Packaging (ARP) announced a technological advancement that makes it possible for billions of small bottles to be recycled. ARP, known for its designed-to-be-recycled packaging, is always looking for ways to increase the amount of material that makes it through the recycling process.
July 2021 - Printex Transparent Packaging's Eco-PET 100 is made from 100% Recycled Post-Consumer Recycled (PCR) PET and is Recycled and Manufactured domestically in North America, specifically in the United States, to the point of contributing to Sustainability and recycling.
US Rigid PET Packaging Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions and Market Definition
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
- 4.1 Market Overview
- 4.2 Industry Supply Chain Anlaysis
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4.3 Market Drivers
- 4.3.1 Growing use of PET bottles & containers in the Pharmaceutical sector
- 4.3.2 Recent material-related advancements and use of recycled PET
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4.4 Market Challenges
- 4.4.1 Environmental concerns & fluctuations in raw material pricing
- 4.5 Market Opportunities
- 4.6 Key alternatives to the use of PET - PO, PS, etc.
- 4.7 Key Standards & Regulations
- 4.8 Maior types of filling technology - Hot Fill, Cold Fill, Aseptic Fill, etc.
5. ASSESSMENT OF COVID-19 IMPACT ON THE US PLASTIC PACKAGING INDUSTRY
6. MARKET SEGMENTATION
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6.1 By Product Type
- 6.1.1 Bottles & Jars
- 6.1.2 Caps & Closures
- 6.1.3 Trays
- 6.1.4 Others
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6.2 By End-User Industry
- 6.2.1 Food
- 6.2.2 Beverages
- 6.2.3 Pharmaceuticals
- 6.2.4 Cosmetics
- 6.2.5 Other End-user verticals (Industrial & Agriculture)
7. COMPETITIVE LANDSCAPE
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7.1 Company Profiles
- 7.1.1 CCL Industries, Inc.
- 7.1.2 Amcor Limited
- 7.1.3 Mondi Group
- 7.1.4 Smurfit Kappa Group PLC
- 7.1.5 Berry Plastics Group
- 7.1.6 Graham Packaging Company
- 7.1.7 Dunmore Group
- *List Not Exhaustive
8. INVESTMENT ANALYSIS
9. FUTURE OF THE MARKET
US Rigid PET Packaging Industry Segmentation
The study tracks the demand for PET-based rigid end packaging products traded across major end-user verticals such as food, beverage, pharmaceutical, etc. Flexible, rigid packaging products such as films and wraps are not included in the scope of work. The study considers the impact of COVID-19 on PET Packaging and the broader Plastic Packaging Market, specifically based on the increase in the demand for single-use packaging.
| By Product Type | Bottles & Jars |
| Caps & Closures | |
| Trays | |
| Others | |
| By End-User Industry | Food |
| Beverages | |
| Pharmaceuticals | |
| Cosmetics | |
| Other End-user verticals (Industrial & Agriculture) |
US Rigid PET Packaging Market Research FAQs
What is the current United States Rigid PET Packaging Market size?
The United States Rigid PET Packaging Market is projected to register a CAGR of 4.35% during the forecast period (2024-2029)
Who are the key players in United States Rigid PET Packaging Market?
CCL Industries, Inc., Amcor Limited, Mondi Group, Smurfit Kappa Group PLC and Berry Plastics Group are the major companies operating in the United States Rigid PET Packaging Market.
What years does this United States Rigid PET Packaging Market cover?
The report covers the United States Rigid PET Packaging Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the United States Rigid PET Packaging Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
United States Rigid PET Packaging Industry Report
Statistics for the 2024 United States Rigid PET Packaging market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. United States Rigid PET Packaging analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
