Hazardous Goods Packaging Market Size, Share and Companies

Hazardous Goods Packaging Market Size (USD 21.38 Bn) by 2034

The Hazardous Goods Packaging Market Size to rise from USD 12.87 billion in 2025 and is projected to gain USD 17.06 billion by 2030. In 2023, Asia Pacific led the market, while North America is expected to see significant growth during the forecast period. The drums segment dominated the market by product type, and plastic was the leading material type. The chemicals & petrochemicals sector held the largest market share by end-use in 2023.

Hazardous Goods Packaging Market Size and Companies Growth Analysis

The global hazardous goods packaging market size reached US$ 11.50 billion in 2023 and is projected to hit around US$ 21.38 billion by 2034, expanding at a CAGR of 5.80% during the forecast period from 2024 to 2033. Increasing launch of the new pesticides is rising the demand for the hazardous goods packaging which is expected to drive the growth of the global hazardous goods packaging market over the forecast period.

Hazardous Goods Packaging Market Revenue 2024 - 2034

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Key Takeaways

  • Asia Pacific dominated the hazardous goods packaging market in 2023.
  • North America is expected to grow at a significant rate in the market during the forecast period.
  • By product type, drums segment dominated the market with the largest share in 2023.
  • By material type, plastic segment witnessed the significant growth over the forecast period in 2023.
  • By end use, chemicals & petrochemicals segment dominated the market in 2023.

Market Overview

The market for packaging hazardous materials is essential to guaranteeing the secure handling, storage, and transit of hazardous materials. It includes a broad range of packaging options made to abide by global laws and safeguard the environment and public health. This market provides services to businesses that handle and transport hazardous materials, such as manufacturing, chemicals, medicines, and oil and gas. In other words, the term "hazardous goods packaging" describes the specific materials and containers used for storing and moving hazardous materials. These products might contain hazardous, flammable, corrosive, or explosive materials that could explode or leak during transit, posing serious dangers.

The packing group of the item affects the appropriate packaging of hazardous materials as well. The United States Federal Aviation Administration defines a packing group as a collection of items arranged according to the level of risk they provide. The materials in the packing group are divided into three categories: items posing high hazard (packing group I), materials providing medium danger (packing group I), and moderate danger (packing group Ill).

Role of Hazardous Goods Packaging in the United States

Packing hazardous items for shipment is an essential step in the hazmat transportation process and is governed by regulations. The US Department of Transportation (DOT) or one of its agencies, such as the Federal Aviation Administration (FAA), the Pipeline and Hazardous Materials Safety Administration (PHMSA), or the Federal Motor Carrier Safety Administration (FMCSA), is in charge of supervising, enforcing, and monitoring these regulations. State and local laws pertaining to the transportation of hazardous chemicals may also apply, which the shipper is required to know about and abide with. According to law, it is the shipper's duty to properly classify and package the goods. To make sure that goods carrying hazardous items have the proper labeling and shipping documentation, there are a few measures that must be taken.

Even if there are, in reality, a lot of steps and procedures involved in preparing a hazardous substance for transportation, skilled professionals who are knowledgeable about the material's risks and the relevant packing rules should handle this operation. It's crucial to remember that hazardous materials laws have evolved considerably in recent years and are still being updated and modified when it comes to the latter. In particular, there have been numerous improvements in the field of international shipping, mostly to promote international trade. With these adjustments, US hazardous material laws and international norms should be more consistent.

Growth Factors

Emerging markets for hazardous goods packaging is expected to drive the growth of the global hazardous goods packaging market over the forecast period.

  • Increasing focus on cost reduction and production efficiency can drive the specialty market growth further.
  • Increase in adoption of the advanced technology for the production of hazardous goods packaging is estimated to drive the growth of the global hazardous goods packaging market in the near future.
  • Increasing regulatory support is estimated to drive the growth of the market over the forecast period.
  • Increasing demand for the degradable tamper-evident caps and safe packaging for petrochemicals is estimated to drive the growth of the market over the forecast period.
  • The key players operating in the market are focused on adopting the inorganic growth strategies like merger for expansion of market according to trend which is expected to drive the growth of the global hazardous goods packaging market over the forecast period.
  • Increasing launch of the new policy like funding by the government to support hazmat packaging and raw material manufacturing is expected to drive the growth of the market over the forecast period.

Market Dynamics

Driver

Increasing Launch of Chemical and Petrochemical Industries

Petrochemicals are essential to raising living standards in developing nations and promoting sustainability in developed ones; they are found in most of the things use on a daily basis. Petrochemicals are used in electric cars, solar panels, wind turbines, batteries, insulation, and even can be made from recycled and renewable feedstock. Technological improvements, increased understanding of the products' applications, and population growth all have a significant impact on the growing demand for petrochemical products in developing nations like India. Moreover, increasing launch of the new chemical and petrochemical industries has risen the demand for the hazardous goods packaging and is estimated to drive the growth of the hazardous goods packaging market over the forecast period.

For instance,

  • In July 2024, Malaysian Investment Development Authority (MIDA) announced the launch of the RM7B Methanol Complex Tanjung Kidurong, Malaysia.

Restraint

Stringent Government Laws, Regulation and Compliance Cost

The key players operating in the are facing opposition from the government laws and strict regulation from regulatory bodies and high compliance cost, which is hampering the growth of the hazardous goods packaging market. Although laws are the primary force behind the hazardous packaging market, there can be difficulties because of the intricacy and rigor of these laws. Hazardous material makers and end users may find their total cost of hazmat packaging to rise as a result of the numerous, constantly-evolving rules that demand them to comply with. As a result, the strict laws and associated expenses may, in part, be a significant barrier to market expansion.

Opportunity

Technology Advancements

Advancements in packaging technology Advances in production, design, and packaging materials could bring about a significant transformation in hazardous material packaging. Opportunities arise from the development of high-performance materials with improved resistance to thermal, chemical, and physical hazards. Technological developments such as smart packaging technologies can provide real-time monitoring of hazardous substances, hence enhancing efficiency and safety during shipping. Therefore, it is expected that advancements in packaging technology will offer a strong chance for market expansion during the course of the estimated period.

Segment Insights

The Drums Segment to Hold Lion’s Share in the Market

The drums segment held the dominating share of the global hazardous goods packaging market in 2023. Drums are frequently used for both non-hazardous and hazardous material storage and transportation. In addition, there is an increasing need for drums for the transportation of hazardous materials due to the growth of numerous end-user sectors like chemicals, pharmaceuticals, and others.

Drums, which may hold around 200 liters, are used to store practically every kind of chemical, including medicinal liquids. For the past few years, manufacturers and logistics businesses have also reused the drums after taking significant safety measures as returnable shipment packaging. All of these factors are anticipated to increase demand for the hazardous goods packaging and estimated to drive the growth of the market over the forecast period.

The drums are strong and resistant to damage for transportation of hazardous material. Polyethylene and steel are the most common materials utilized for manufacturing drums for carrying hazardous goods. Even steel drums have several advantages as they are fairly resistant to collisions, fireproof, easy to reuse and strong in nature. Polythene drums or plastic drums are light-in-weight and also cost less for shipping. The key players operating in the market are focused on launching new drums for hazardous packaging which is estimated to drive the growth of the segment over the forecast period.

For instance,

  • In October, 2023, Berry Global Group, Inc., manufacturing and packaging products company revealed the introduction of the large drums for packaging of hazardous liquids. The Berry Global Group, Inc. company launched 20-25 litre drums which are manufactured of recycled material, that have UN Approval (United Nations approval for hazardous substances) for the transport of hazardous goods for five of the six model liquids in the UN assessment. The newly launched drums are manufactured of the 35% recycled high-density polyethylene.

Plastic to be the Widely Utilized Material for Hazardous Goods Packaging

The plastic segment held the largest share of the hazardous goods packaging market in 2023. The plastic material is highly resistant to acids as well as other chemicals. Due to this reason, hazardous chemicals and goods are able to be stored in plastic containers. The plastic material does not react with content inside container and maintain the optimum shelf life of the product. Manufacturers are, however, moving toward the use of recycled plastic in tiny amounts to reduce the usage of virgin plastic production as a result of the growing concern from various governmental organizations on the problems associated with the development in plastic waste pollution. Therefore, if environmentally friendly alternatives are adopted and the majority of plastic waste is recycled during the forecast period, the plastic hazmat packaging industry is anticipated to grow.

For instance,

  • In June 2024, BASF SE, chemicals company, showcased mechanical recycling solutions for production of recycled plastic at the Conference Europe (PRSE) 2024 held in German, Europe. The company revealed all the strategic innovation which are assisting in production of the sustainable plastic for packaging of chemicals. The BASF SE company showcased chemical as well as mechanical process of recycling plastic and include it in manufacturing large containers.
  • In August 2023, AIMPLAS, plastic technology research center, initiated BioICEP project (Bio Innovation of a Circular Economy for Plastics) which helped in converting non-biodegradable plastics into biobased materials. The AIMPLAS researched technology combining biological and chemical methods to turn fossil-based plastic waste into natural, biodegradable substitutes to be utilized in the chemical pharma and packaging industries.

Chemical and Petrochemical Industries to Lead the Market

The chemical & petrochemicals segment witnessed the significant growth in 2023. Enclosing chemical materials for storage, distribution, sale, and use is known as chemical packing. Packaging protects, preserves, and labels the chemical that is being carried and kept. The primary growth driver of the hazmat packaging industry is the increase in demand from the petroleum and chemical sectors. To maintain the fierce competition, major firms are implementing a variety of tactics, including new launches and acquisitions. Specialized tools and containers are needed by the petrochemical industry to guarantee product safety during packing.

An illustration of this is the industry's propensity to use thicker containers to stop leaks. While the packaging and shipping arrangements for different chemical goods will vary, all items must be distributed in safe, robust packaging. Enough robust boxes and packing are essential for safe and effective shipping, especially when it comes to caustic chemicals.

Petrolium Feedstock Consumption (2023)

The expanding chemical sector, which produces petrochemicals, specialty chemicals, agrochemicals, and industrial chemicals, is fueling the segment's expansion. For instance, in 2023, the International Energy Agency projected that petrochemicals would surpass trucks, airplanes, and shipping to account for over half of the increase in oil demand through 2050 and more than a third through 2030. The spike in demand for petrochemical goods is the cause of this. The additional 56 billion cubic meters of natural gas required by petrochemicals by 2030 is roughly equivalent to Canada's current gas consumption.

image

Source - International Energy Agency

Moreover, the key players operating in the market are focused on adopting inorganic growth strategies like collaboration and partnership to develop sustainable packing solutions for chemicals and petroleum. For instance, in June 2024, AeroFlexx, a company that is involved in developing sustainable packaging industry signed a strategic collaboration with Chemipack, a privately held chemical company to provide eco-friendly liquid chemical packaging containers.

How Manufacturing Industries in Asian Countries Support the Hazardous Goods Packaging Market?

Asia Pacific dominated the hazardous goods packaging market with the largest share in 2023. Rapid urbanization and industrial growth in Asia Pacific region has driven the growth of the hazardous goods packaging market in the Asia Pacific region. Mainly because of the extensive manufacturing in nations like China, India, and Vietnam. Furthermore, a major factor in the growth of the chemical, pharmaceutical and automotive industries in the region is the population's fast urbanization. Furthermore, the Asia-Pacific hazmat packaging market is growing at a substantial rate because to the region's vast population base, increasing urbanization, and robust economic expansion.

Due to the growing end-user industries brought about by increased industrialization and urbanization, which in turn have led to severe penalties for violating shipping regulations pertaining to hazardous materials, end-users prefer hazmat packaging that conforms with the regulations. Additionally, the region's growing population and rising family income are anticipated to fuel demand from a variety of end-user sectors, including chemical, petrochemical, pharmaceutical, etc.  In addition, the region's growing population and rising standard of living are anticipated to fuel demand from a variety of end-user industries, including the chemical, pharmaceutical, and oil and gas sectors, offering the hazardous goods packaging market significant expansion prospects.

Increasing launch of the petrochemical industries in Asia Pacific has risen the demand for the hazardous goods packaging, which is estimated to drive the growth of the hazardous goods packaging market in the Asia Pacific region.

For instance,

  • In September 2023, Dushanzi Petrochemical Corp., a subsidiary of PetroChina Company Limited, gas company, revealed the initiation of the new plant Dushanzi Petrochemical Corp, Xinjiang, West China by investment of US$ 3.00 billion.

Moreover, in India due to increase in launch of new pesticides the demand for the hazardous goods packaging has risen eventually which is estimated to drive the growth of the hazardous goods packaging market over the forecast period.

For instance,

  • In June 2024, Best Agrolife Ltd., pesticide manufacturer based in India, revealed that the launch of the Nemagen to target resistant pests causing major damage to crop.
  • In March, 2024, Insecticides (India) Limited (IIL), nutrition and crop protection companies, revealed the launch of the patented insecticide called Turner with unique characteristics and residual control.
  • In June 2024, Seedlings India, subsidiary of Best Agrolife, unveiled that the company has received the license for the manufacture of Novaluron 11.5%, Emamectin Benzoate 1.5% and Chlorantraniliprole 4.5% by Central Insecticides Board & Registration Committee, non-profit organization.

Hazardous Goods Packaging Market in North America to Grow Rapidly

North America is expected to witness the fastest growth over the forecast period due to rapid industrialization as well as increasing launch of the new petrochemical and chemical industries is rising the demand for the hazardous goods packaging which is estimated to drive the growth of the hazardous goods packaging market during the forecast period. Increasing launch of the hazardous goods packaging and expansion of service offering which is estimated to drive the growth of hazardous goods packaging market over the forecast period.

For instance,

  • In January 2024, American Labelmark Company Inc., company focused on providing packaging solution revealed the expansion of the packaging business by launch of the range of the UN-certified plastic pails drums, and plastic containers from packaging producer Curtec.

The UN-certified containers launched by the American Labelmark Company Inc. company are developed to securely store, fill and transport a wide range of hazardous powders and solids. The newly launched curtec’s products are intent to ship a solid or powder in a regulated industry, such as speciality chemicals, pharmaceuticals, food products and agriculture.

Europe is estimated to be the second fastest growing region over the forecast period owing to increasing launch of the new hazardous goods packaging material and box which is expected to drive the growth of the hazardous goods packaging market in Europe over the forecast period.

For instance,

  • In March 2023, Electrolux Group, home appliance company, revealed the introduction of the paper-based material certified by the Forest Stewardship Council with 70% less ink. The corrugated paper based material is used for shipping AEG small appliances and Electrolux electrical home appliances.

Recent Developments

  • In January 2024, Bormioli Pharma, pharmaceutical and medical devices packaging company, signed partnership with Loop Industries, Inc., company providing cleaning technology solution, to manufacture pharmaceutical packaging bottles which are 100% resistant to chemicals and sustainable.
  • In May 2024, The Dow chemical company, signed partnership with Sealed Air, packaging solution providing company and Changchun FAWSN Automotive Technology Research and Development Co., Ltd., automotive industry and research center.  Sealed Air and Dow have jointly launched a line of e-commerce packaging that contains more recycled materials. By adopting Dow's REVOLOOP" post-consumer recycled (PCR) resins, both parties will sign partnership agreement to build more e-commerce packaging, providing a practical means of protecting products and lowering carbon footprint by using less virgin plastics. A new partnership between Dow and Changchun FAWN automobile Technology Research and Development Co., Ltd. aims to investigate the automobile industry's use of POE-based 3D Loop solutions and artificial leather made of polyolefin elastomer (PO). POE artificial leather provides performance benefits without the use of harmful ingredients and is 25% to 40% lighter than Polyvinyl chloride (PVC) leather.

Hazardous Goods Packaging Market Key Companies

  • Greif, Inc.
  • Sicagen India Limited
  • Peninsula Drums
  • Great Western Containers Inc.
  • Myers Container
  • Balmer Lawrie & Co. Ltd.
  • Schtz GmbH & Co. KGaA
  • THIELMANN US LLC
  • Mauser Group
  • Fibrestar Drums Limited
  • Air Sea Containers, Inc.
  • Eagle Manufacturing Company
  • Hoover Ferguson Group, Inc.
  • Meyer Steel Drum, Inc.

Hazardous Goods Packaging Market

Product Type

  • Drums
  • Intermediate Bulk Containers (IBCs)
  • Pails
  • Bottles
  • Cartons & Boxes
  • Flexi Tanks
  • Others

Material Type

  • Plastics
  • Metals
  • Corrugated Paper

End-Use

  • Chemicals & Petrochemicals
  • Automobile
  • Oil & Gas
  • Pharmaceutical
  • Agricultural
  • Others

Region

  • North America
    • U.S
    • Canada
  • Europe
    • Germany
    • UK
    • France
    • Italy
    • Spain
    • Sweden
    • Denmark
    • Norway
  • Asia Pacific
    • China
    • Japan
    • India
    • South Korea
    • Thailand
  • Latin America
    • Brazil
    • Mexico
    • Argentina
  • Middle East and Africa (MEA)
    • South Africa
    • UAE
    • Saudi Arabia
    • Kuwait
  • Insight Code: 5245
  • No. of Pages: 150
  • Format: PDF/PPT/Excel
  • Published: September 2024
  • Report Covered: [Revenue + Volume]
  • Historical Year: 2021-2022
  • Base Year: 2023
  • Estimated Years: 2024-2033

About The Author

Asmita Singh is a distinguished author and consultant in the packaging industry, recognized for her unwavering passion for knowledge discovery and her commitment to providing actionable insights. She holds an MBA from the University of Mumbai and a degree in Packaging Engineering from the Indian Institute of Packaging (IIP), equipping her with a solid foundation in both business and technical aspects of packaging. With extensive experience in packaging consulting, Asmita has successfully implemented advanced research methodologies across various packaging categories, including flexible packaging, rigid packaging, sustainable packaging, and smart packaging. She generates high-quality data and delivers meaningful results that drive innovation and efficiency. Her expertise spans the globe, offering valuable consulting services to businesses seeking to enhance their packaging strategies. Asmitas work is characterized by a dedication to excellence and a keen understanding of the latest trends and technologies shaping the future of packaging.

FAQ's

The global hazardous goods packaging market size is projected to hit around USD 21.38 billion by 2034.

5.80% is the growth rate of the hazardous goods packaging industry.

Greif, Inc., Sicagen India Limited, Peninsula Drums, Great Western Containers Inc., Myers Container, Balmer Lawrie & Co. Ltd., Schütz GmbH & Co. KGaA, THIELMANN US LLC, Mauser Group, Fibrestar Drums Limited, Air Sea Containers, Inc., Eagle Manufacturing Company, Hoover Ferguson Group, Inc., Meyer Steel Drum, Incare the prominent players operating in the hazardous goods packaging market.

Asia Pacific region leads the global hazardous goods packaging market.