Vietnam Plastic Bottles Market Size

Vietnam Plastic Bottles Market Analysis

The Vietnam Plastic Bottles Market size is estimated at USD 285.83 million in 2024, and is expected to reach USD 352.41 million by 2029, growing at a CAGR of 4.28% during the forecast period (2024-2029). In terms of production volume, the market is expected to grow from 0.31 million tonnes in 2024 to 0.38 million tonnes by 2029, at a CAGR of 4.18% during the forecast period (2024-2029).

The rising consumption of both alcoholic and non-alcoholic beverages is driving the demand for plastic bottles in the country. Plastic bottles are favored for their light weight and long shelf life, and they are commonly used to store and transport goods over long distances.

• Plastic bottles align with the mobile lifestyle of many local consumers. Their portability makes them ideal for outdoor events, festivals, and beach outings. The market's growth is also fueled by the surging popularity of energy drinks and the introduction of new products. The growing rate of urbanization across the country has resulted in demand for foods such as snacks, bakery sauces, and condiments. According to the World Bank, urbanization in 2023 reached 39.48% and increased from 37.34% in 2020. The two major growth factors behind this trend are the fast-growing middle class and the young population.
• Plastic bottles offer several advantages, like durability, lightweight nature, and cost-effectiveness. These features align well with the food industry’s demands. These containers provide barrier properties, protecting food products from moisture, light, and contamination. Moreover, plastic packaging allows for customized shapes and sizes, catering to diverse consumer preferences.
• The healthy growth of convenience stores such as coffee and snack outlets, retail establishments, hospitality, and others is expected to drive the need to produce plastic bottles. In Vietnam, the demand for plastic bottles is primarily fueled by the packaging requirements of various industries, such as food, personal care, household chemicals, and pharmaceuticals. Notably, the beverage sector has been instrumental in driving sales, especially with the increasing consumption of bottled water, carbonated drinks, and other beverages.
• According to Masan Group Corporation, in October 2023, Vietnam's retail sector is undergoing notable transformations as the economy rebounds. Domestic and international retailers seized business opportunities in Vietnam, expanding their scale and market presence. The retail industry's trajectory in 2023 and beyond will largely hinge on shifts in consumer shopping habits and the industry's embrace of digitalization. These changes redefine the retail landscape and show fresh shopping experiences and business prospects for numerous retailers in Vietnam. The rise in the retail industry is expected to drive the plastic bottles market in the country.
• The plastic bottle market in Vietnam also witnesses challenges, including environmental concerns. It becomes imperative for beverage companies to offer their products in sustainable packaging. Several brands are developing innovative solutions for their products that ensure convenience, food safety, and freshness and reduce their environmental impact.