Packaging Materials Market Size Hits USD 967.36 Bn at 4.45% CAGR

Packaging Materials Market Research Insight: Industry Insights, Trends and Forecast

According to forecasts, the global packaging materials market will grow from USD 625.68 billion in 2024 to USD 967.36 billion by 2034, with an expected CAGR of 4.45%. By raw material type, the rigid plastic segment held a dominant market share in 2024 and by product type, the boxes and cartons segment held a dominant market share in 2024.

Last Updated: 09 June 2025 Category: Material Packaging Insight Code: 5415 Format: PDF / PPT / Excel

The packaging materials market is forecasted to expand from USD 652.93 billion in 2025 to USD 967.36 billion by 2034, growing at a CAGR of 4.45% from 2025 to 2034.

Packaging Materials Market Size 2023 – 2034

Consumers widely accept this market due to the growing e-commerce platforms, which influence people to order products online that require safe packaging for storage and transportation. The rising demand for sustainable, multi-useable, and innovative packaging among consumers also boosts the development of the packaging materials market.

Key Takeaways

  • Asia Pacific led the packaging materials market with the highest share in 2024.
  • By raw material type, the rigid plastic segment held a dominant market share in 2024.
  • By product type, the boxes and cartons segment held a dominant market share in 2024.
  • By packaging format, the primary packaging segment led the market in 2024.
  • By application, the food & beverages segment held the largest share of the market in 2024.

Market Overview

The packaging materials market plays a significant role in various sectors such as e-commerce, healthcare, the food & beverages industry, and many others where the packaging of products boosts the business profoundly by enhancing the reliability of customers. Several brands try to create their unique packaging to attract a huge number of customers which allows companies to invest widely in this market. Continuous advancement in the packaging sector such as accessibility to a wide range of shapes and sizes of packages, sealable packages, personalized packaging, and many such advancements led to the development of the packaging material sector.

The rising focus on eco-friendly packaging, reusable packaging, biodegradable resources, and many such concerns has expanded the potential of this market. Growing concern for product safety while transporting to a longer distance to aesthetic packaging trends requires the market players to choose packaging materials carefully to fulfil the demand of the consumers. 

  • Eco-friendly and Sustainable Packaging: With the rising concern for the environment and accessibility of bioplastics, compostable, biodegradable, and paper packaging has influenced the packaging materials market. 
  • Refillable and Reusable Packaging: Several companies are adding policies to return bottles after using products to refill and reuse this attracts a huge number of customers and boosts the market development.
  • Smart Packaging: With the advancement in technology and convenience in packaging has grown this market.
  • Minimalist and Functional Design: The growing priority towards small travel-friendly packaging has improved the market potential.

AI Integration in the Packaging Materials Market

The incorporation of AI in the packaging materials industry has significantly influenced the market with its requirements for improved quality production of packaging products. AI can help to detect enhanced quality resources which can be moulded into desired shapes, sizes, and patterns of the packaging. AI is highly preferred in inventory management, quality control, predictive maintenance, and supply chain optimization.

The unique design of packaging requires high-quality material which can be easily predicted with artificial intelligence. This advanced technology integration helps in labelling automation, out-of-the-box designs, and smart packaging. To provide a personalization option in the product there is a huge role of AI in addition to techniques according to the packaging materials used.

Market Dynamics

Demand for Advanced Packaging Solutions, Industry to Witness Significant Driver

The growing demand for advanced technology packaging products has increased the focus of the market players towards the materials used for packaging purposes. This phenomenon can be accredited to a convergence of problems that are redesigning the global corporate landscape.

Firstly, the growing middle-class people in developing markets are progressively driving consumption. With the rise of disposable incomes, the demand for well-packaged products extended from personal care products to food and beverages and electronics. This rise in demand imposes effectual and operative packaging choices to preserve goods' quality, confirm safety, and improve shelf appeal.

Moreover, the speedy urbanization and automation of all the developing areas contribute to the growth of the packaging industry. Urbanization contributes to better availability of modern retail stores, which results in a boost in the requirement for packaged goods. Additionally, the increase of online platforms, simplified by refining digital organization and connectivity, needs safe and attractive packaging choices to safeguard goods during transportation, improving the consumers' experience.

Rising Focus on Sustainable and Eco-friendly Products: Market’s Largest Opportunity

With the developing business site, sustainability has appeared as a supreme apprehension for both customers and enterprises. The packaging sector, an important constituent of the worldwide supply chain, is facing a noteworthy alteration as a consequence of this everchanging pattern. There is a growing demand for supportable and environment-friendly packaging choices, determined by heightened ecological consciousness and the authority to decrease natural footprint.

Customers, above all, are making mindful choices, and they are requesting that the goods they buy are not only of enhanced quality but also packed in a way that reduces damage to the atmosphere. Concurrently, industries are understanding the status of aligning with sustainable utility to meet regulatory needs and improve their brand image.

With such refined quality of packaging products, there is a huge rise in the pricing of the packaging which ultimately increases the charges of the product, this hinders the growth of the packaging materials market. Several market players are searching for ways that can help to use materials which are eco-friendly as well as low in price.

Segmental Insights

Durability and Versatility: Rigid Plastic Packaging Materials Market Segment Led in 2024

The rigid plastic packaging materials market is important in the raw material segment of this market during the predicted period. These types of packaging are extensively used in pharmaceutical sectors for packaging a variety of products that require long-term storage. Its high-strength bottles and other packaging are convenient to use for the customers. Such packaging is reusable and hence attracts a wide range of consumers and hence companies are majorly focusing on such packaging materials that can last longer and also be refilled and used multiple times. These rigid plastics can be easily recycled which makes them most preferable for both consumers and companies. 

Protection for Logistics: Boxes and Cartons Packaging Segment Led in 2024

Boxes and carton segment led the market in 2024 and is observed to sustain the position during the forecast period due to the rising demand for safe transportation of products. Boxes and cartons are versatile and fundamental packaging goods that play an important role in the packaging sector. These goods help as defensive methods of packaging for a variety of products, confirming safe storing, presentation, and transportation.

Boxes and cartons are manufactured in several materials, shapes, and sizes, making them flexible to a variety of packaging requirements. Boxes are generally made up of corrugated cardboard and are famous for their stackability and durability. They are usually used for storage, shipping, and show purposes. These packaging goods offer numerous benefits.

Preserving Freshness and Quality of Product: Primary Packaging Segment Led in 2024

The primary packaging segment led the market in 2024 and is observed to sustain the position during the predicted period. Primary packaging is in huge demand in the packaging sector, representing the preliminary layer of defence and control for a product. It includes the instant, direct packing of a product, frequently in direct interaction with its contents. Primary packaging is considered to protect the product's honesty, preserve its freshness, and safeguard its harmless usage. Common methods of primary packaging comprise pouches, jars, closures, bags, and many more. These resources are designated based on the precise necessities of the good, comprising factors such as their shelf life, nature, and intended usage.

Transportation of Perishable Goods: Food & Beverages Segment Led in 2024

The food & beverages segment held the largest share of the packaging materials market in 2024. The role of packaging materials in this industry ranges beyond inhibition, surrounding preservation, guard, marking, and sustainability deliberations. Packing materials for food & beverages must meet strong quality and safety ideals to guarantee that products continue uncontaminated and fresh. These materials comprise several forms of flexible packaging, specialized films, and rigid containers, often personalized to precise product necessities. They play an important role in spreading the shelf life of unpreserved items, avoiding degeneration, and defending against outside aspects such as light and moisture.

Presence of Industries: Asia Pacific to Sustain as Fastest Growing Region

Asia Pacific witnessed the largest share in the packaging materials market in 2024. With its huge and varied customer base, increasing online industry, and thriving manufacturing sectors, this region has developed as a focal point for invention, demand, and struggle within the market. This region is noticeable by its important economic development, led by countries such as China, India, South Korea, Thailand, and Japan which boost the manufacturing competencies and a growing middle-class population. Therefore, the demand for packaging choices like paperboard, flexible plastics, and corrugated materials has rushed, pushing the growth of the market.

China Market Trends

China packaging materials market is driven by the strong manufacturing infrastructure in the country. China has large-scale, integrated manufacturing hubs that reduce production costs. A well-developed ecosystem for raw materials (plastics, paper, aluminium, etc.) supports efficient packaging production. High demand for packaged goods in food, electronics, e-commerce, and healthcare fuels the need for packaging. China's leadership in online retail (e.g., Alibaba, JD.com) has driven rapid growth in packaging needs.

China country support for domestic industries through favourable policies, including tax breaks and infrastructure investments. China investment in Industry 4.0 has enabled more efficient, high-quality packaging production. Although labor costs have risen, China still offers competitive labor compared to Western nations, especially in mid-range manufacturing. China is a global supplier of packaging materials, exporting to Southeast Asia, Europe, Africa, and North America. Many companies control multiple stages of the packaging process from raw material processing to finished products enhancing efficiency and profitability.

North America’s Advanced Manufacturing Technology to Project Steady Growth

North America is seen to grow at a notable rate in the foreseeable future. North America region has high demand for packaged goods in food, beverage, healthcare, personal care, and electronics. E-commerce giants like Amazon create continuous demand for protective and sustainable packaging. North America region has well-established distribution networks enable rapid and efficient movement of packaged goods. North America’s cold chain logistics support demand for temperature-sensitive and specialized packaging (especially for pharmaceuticals and fresh food). Multinational packaging firms headquartered in the U.S. and Canada (like International Paper, Ball Corporation, and WestRock) lead global innovation and market influence. Corporate ESG goals (Environmental, Social, and Governance) are pushing brands to adopt low-carbon and reusable packaging solutions.

The U.S. Packaging Materials Market Trends

The U.S. plays a significant role in the global packaging materials market. This is stemming from its substantial market share and a projected growth rate, as it is considered a major producer and consumer of packaging materials, including paper and paperboard, spurring the market, particularly for e-commerce. Also, the presence of International Paper and WestRock is among the top packaging companies in the U.S. and globally, fostering the market growth. The U.S. market is also influenced by factors like sustainability trends and advancements in packaging materials.

  • In February 2025, DaklaPack U.S. announced the launch of its new website. This launch has been designed to offer a diverse range of sustainable packaging solutions with increased accessibility and the introduction of easy-to-navigate service categories. Thereby delivering a more immersive and user-friendly experience with innovation in recyclable and compostable packaging solutions. Source: Packaging Strategies)

Ecological and Recyclable: Europe to Grow Rapidly

Europe is estimated to grow at a rapid rate in the packaging materials market during the forecast period. With a sturdy importance on ecological awareness, countries are foremost responsible towards environmentally friendly and recyclable packaging choices, pouring a noteworthy change in the direction of biodegradable resources, and decreasing the business's carbon footprint.

The packaging materials market in this region is pushed by a strong manufacturing industry, mainly in the UK, Germany, Sweden, France, Denmark, Norway, and Italy, which are predictable for their unconventional technologies and high-quality manufacturing processes. Moreover, the growing e-commerce sector has enlarged the demand for sturdy and defensive packaging materials to safeguard the harmless transportation of products, fostering the acceptance of strong yet sustainable packaging choices.

Germany Packaging Materials Market Trends

Germany plays a significant role in the packaging materials market due to its strong manufacturing base together with major players in packaging technology like Bosch Packaging Technology and Krones AG., and regulatory framework. As Germany is a leader in promoting circular economy principles along with recycling and waste reduction programs, it is more focused on sustainable solutions. The Packaging Act and its quotas have led to increased responsibility for manufacturers and distributors in managing packaging waste by creating a favorable environment for sustainable packaging development.

  • In March 2022, ALPLA Group expanded its PET bottle recycling capacity in Germany by 75,000 tonnes annually with the acquisition of recycling company Texplast and all its shares of the joint venture PET Recycling Team Wolfen. This acquisition helps to produce PET pellets and flakes from used PET bottles, used for preforms for new PET bottles, while the colourful PET flakes produced during the process are used by FROMM to produce packaging straps.

Packaging Materials Market Top Companies

Packaging Materials Market Companies

New Advancements in Packaging Materials Industry

  • In May 2025, Oroville Flexible Packaging, LLC, Oroville Flexible Packaging, LLC, a RE:CIRCLE Solutions firm and a pioneer in flexible plastics and packaging solutions for foodservice and retail clients, officially launched "Oroflex," a sustainable flexible plastics, packaging, and recycling system. Oroflex is a flexible packaging system that supports companies' operational efficiency and sustainability goals. It offers extensive, tailored, domestic production and recycling services along with transparent audit trails for retail and foodservice customers.
  • In February 2025, Tetra Pak, food processing and packaging solutions company, asserts that it is the first company in India's food and beverage packaging sector to use ISCC PLUS certified recycled polymers in its packaging materials, in compliance with new national laws pertaining to the management of plastic waste. According to reports, the components include 5% ISCC PLUS certified recycled polymers that were procured and distributed using the ISCC mass balance attribution method. The polymers, in turn, are produced using a combination of chemically recycled and virgin ingredients; the recycled material is said to be of the same quality as its fossil-based counterpart and to comply with the same international food contact standards.
  • In July 2024, founder and chief executive of 2M Group expressed, “as the world shifts towards sustainable material technologies, 2M will maintain its commitment to sustainability by focusing on areas where it has established a strong reputation. With the launch of Sustainable Packaging Technologies, we will play a crucial role in driving innovation and fostering collaboration in this field.”

Recent Developments

  • In July 2024, 2M Group announced the launch of bio-based packaging, to build a portfolio of biomaterial technologies and solutions that can be integrated into existing packaging manufacturing processes.
  • In March 2024, TOPPAN announced the launch of the Indian Production of BOPP-based GL-SP Barrier film. It is a barrier film that uses biaxially oriented polypropylene (BOPP) as the substrate, and will soon launch production and sales.

Packaging Materials Market Companies

By Material Outlook

  • Rigid Plastics
  • Flexible Plastics
  • Paper & Paperboard
  • Metal
  • Glass
  • Wood

By Product Outlook

  • Jars & Containers
  • Bags & Sacks
  • Bottles & Cans
  • Closures & Lids
  • Films & Wraps
  • Drums & IBC
  • Boxes & Cartons
  • Crates & Pallets

By Packaging Format

  • Primary Packaging
  • Secondary Packaging
  • Tertiary Packaging

By End Use

  • Food & Beverages
  • Pharmaceuticals & Healthcare
  • Personal Care & Cosmetics
  • Automotive
  • Electrical & Electronics
  • Chemicals
  • Household Products

By Region Covered

  • 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
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  • Insight Code: 5415
  • No. of Pages: 150
  • Format: PDF/PPT/Excel
  • Last Updated: 09 June 2025
  • Report Covered: [Revenue + Volume]
  • Historical Year: 2021-2023
  • Base Year: 2024
  • Estimated Years: 2025-2034

Meet the Team

Vidyesh Swar is a Senior Research Analyst at Towards Packaging, bringing over 4 years of dedicated expertise in market intelligence and strategic analysis across the dynamic world of packaging technologies and solutions.

Learn more about Vidyesh Swar

Aditi Shivarkar, with 14+ years in packaging market research, specializes in food, beverage, and eco-friendly packaging. She ensures accurate, actionable insights, driving Towards Packaging 's excellence in industry trends and sustainability.

Learn more about Aditi Shivarkar

Related Insights

FAQ's

Asia Pacific led the packaging materials market with the highest share in 2024 and is expected to sustain its leading position.

Rigid plastics held the dominant share by raw material type in 2024, favored for durability, reusability, and recyclability.

Boxes and cartons dominated the market by product type in 2024 due to their versatility and protective qualities.

The food & beverages segment held the largest market share in 2024 due to the need for product freshness and safety.