Global Uncoated Paper Market - 2023-2030

Overview

Global Uncoated Paper Market reached US$ 20.2 billion in 2022 and is expected to reach US$ 35.0 billion by 2030, growing with a CAGR of 7.2% during the forecast period 2023-2030.

The uncoated paper market is witnessing a growing trend towards sustainability and eco-friendliness. Consumers and businesses alike are increasingly valuing products that have a minimal environmental impact. Uncoated paper is recyclable and biodegradable, which aligns well with these preferences and expands the uncoated paper market.

Consumers' growing awareness of environmental concerns is leading to rising demand for sustainable paper products. Uncoated paper is associated with being environmentally friendly compared to coated paper due to its lower chemical usage and could benefit from this trend. With the growth of e-commerce, there is increased demand for uncoated paper for packaging purposes. Sustainable packaging solutions are further driving the growth of this market segment.

According to the Observatory of Economic Complexity, Uncoated Paper held the 301st position among the world's most traded products in 2021, boasting a cumulative trade value of $12.8 billion. From 2020 to 2021, exports of uncoated paper exhibited notable growth, expanding by 8.57% from US$11.8 billion to US$12.8 billion. It's noteworthy that uncoated paper's trade activities constitute a small yet noteworthy fraction of the global trade landscape, accounting for approximately 0.061% of the total world trade volume.

Uncoated paper is well-suited for customization and personalization due to its texture and print compatibility. The market is seeking an uptick in demand for personalized stationery, invitations, and other printed materials, as consumers seek unique and tailored experiences. Advances in paper manufacturing technology are leading to the development of specialty uncoated papers with enhanced features leading it to contribute nearly 41.3% in 2022. Some products offer improved durability, print quality, and color reproduction, expanding the applications for the uncoated paper market.

Dynamics

Increasing Sustainable Packaging Demand

The growing preference for sustainable packaging is anticipated to result in the broader adoption of uncoated paper across various industries. This increased adoption will contribute to the expansion of the uncoated paper market. Consumers are increasingly making purchasing decisions based on the environmental impact of products and their packaging. This shift in consumer behavior is impacting the demand for sustainable uncoated paper solutions.

Companies are recognizing the market advantage of positioning themselves as environmentally responsible brands. Utilizing uncoated paper for packaging allows businesses to differentiate themselves positively in a competitive market. Regulatory authorities are imposing stricter regulations on packaging materials to address environmental concerns. The uncoated paper market is benefiting as sustainable alternatives to traditional packaging materials.

Companies are investing in the market to boost the sustainable packaging industry. For instance, on November 9, 2022, WestRock Company, a prominent provider of eco-friendly paper and packaging solutions, announced an agreement to fully divest its ownership stake in RTS Packaging, LLC, to its joint venture collaborator Sonoco Products Company Products Company. This transaction, valued at US$ 330 million, is subject to standard price adjustments.

Growing Digital Print Compatibility

The growing compatibility of uncoated paper with digital printing technology is expanding the global uncoated paper market. A lot of industries have adopted digital printing, and the demand for suitable paper options like uncoated paper will increase. Uncoated paper's surface texture and absorbency can enhance color reproduction and print quality in digital printing. This feature is appealing to industries that require precise color rendering and high-quality prints.

Digital printing is used for a diverse range of applications, from brochures and labels to packaging and personalized products. Uncoated paper's versatility in accommodating different applications drives its demand in the market. Digital printing allows for cost-effective short print runs and personalized printing. Uncoated paper's compatibility with digital printing supports these trends, as brands seek customizable and unique packaging and marketing materials.

The uncoated paper market's responsiveness to the demand for digital print compatibility by offering a wide range of uncoated paper grades optimized for digital printing will directly influence market growth. Continuous developments in digital printing technology are making it a viable choice for various applications such as marketing materials, and publications. Uncoated paper's compatibility with these advancements it a preferred choice for digital printing projects.

Increasing Digitalization and Adoption of E-Reading

The rising preference for digital content over printed materials led to a contraction in the global uncoated paper market. Physical materials are produced, and the demand for uncoated paper used in those materials decreases. The popularity of e-books and digital publications eliminates the need for physical books and printed materials. This shift in consumer behavior can lead to reduced demand for uncoated paper used in traditional book printing.

Online platforms, blogs, and e-reading applications provide convenient access to content without the need for printed materials. This trend negatively impacts the demand for uncoated paper used in printing. Consumers become more eco-conscious, and the paperless movement gains momentum. The reduced reliance on printed materials aligns with sustainability goals and restricts the uncoated paper market.

Segment Analysis

The global uncoated paper market is segmented based on type, properties, application, and region.

Increasing Adaption of Uncoated Groundwood Paper in Various Sectors

Uncoated groundwood paper held the largest share of nearly 56.7% in the global uncoated paper market. Uncoated groundwood paper's versatility allows it to capture a substantial market share by catering to a wide range of applications, from publishing and printing to packaging and office supplies. Its affordability and printability are making uncoated groundwood paper a popular choice for educational materials including textbooks, workbooks, and exercise books, driving a significant portion of the market.

Uncoated groundwood paper is often more affordable to produce than higher-grade paper, making it a cost-effective choice for applications where premium printing quality is not the primary concern. The uncoated groundwood paper market is adapting to changing consumer demands by offering a variety of grades, sizes, and finishes to cater to specific applications, further solidifying its market share.

Geographical Penetration

Strong Presence of Uncoated Paper Industrial Infrastructure in North America

North America region is dominating the global uncoated paper market covering nearly 1/3rd of the market through a combination of robust industrial infrastructure, diverse applications, and a well-established consumer base. Its supremacy is evident in the market's extensive use of uncoated paper across various sectors. The region's publishing and printing industries are significantly contributing to this dominance, with uncoated paper finding application in textbooks, magazines, and newspapers.

Furthermore, North America's commitment to sustainable practices aligns with the eco-friendly image of uncoated paper, bolstering its popularity in packaging solutions and corporate initiatives. The market's adaptability to evolving consumer preferences, coupled with advanced production capabilities, is allowing North America to lead in both the supply and consumption of uncoated paper.

Competitive Landscape

The major global players include: Appleton Coated, Asia Pulp & Paper, Case Paper, Domtar, Finch Paper, Glatfelter, International Paper, Lecta, Mondi, and Sonoco Products Company.

COVID-19 Impact Analysis

Lockdowns and restrictions led to decreased demand for printed materials like magazines, newspapers, and marketing collateral, negatively affecting the uncoated paper market. Remote work reduced the need for office supplies, including printed documents, reports, and notepads made from uncoated paper, resulting in decreased market demand.

However, the surge in e-commerce during the pandemic led to an increased demand for packaging materials, positively impacting the uncoated paper market as it is commonly used for eco-friendly packaging solutions. The pandemic highlighted environmental concerns, prompting a heightened focus on sustainability. Uncoated paper, being a recyclable and biodegradable option, gained favor as a more environmentally friendly choice in packaging and printing.

Russia-Ukraine War Impact

The conflict has disrupted supply chains and trade routes, potentially affecting the availability of raw materials and manufacturing processes in the uncoated paper market. The geopolitical instability resulting from the conflict has led to economic uncertainty, impacting consumer behavior, and business decisions, which in turn can affect the demand for printed materials using uncoated paper.

Economic instability caused by the conflict can lead to fluctuations in demand for various goods and services, including printed materials like books, magazines, and packaging that use uncoated paper. The conflict's impact on consumer sentiment and purchasing power can influence the demand for printed materials, such as books and marketing collateral, using uncoated paper.

By Type

• Uncoated Groundwood Paper
• Uncoated Woodfree Paper
• Others

By Properties

• High Smoothness
• Resistance to Ageing
• Low Dusting Tendency
• Others

By Application

• Advertising
• Commercial
• Directories
• Security And Brand Protection
• Transactional
• Packaging
• Others

By Region

• North America
  • U.S.
  • Canada
  • Mexico

• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Rest of Europe

• South America
  • Brazil
  • Argentina
  • Rest of South America

• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific

• Middle East and Africa

Key Developments

• On November 9, 2022, WestRock Company, a prominent provider of eco-friendly paper and packaging solutions, announced an agreement to fully divest its ownership stake in RTS Packaging, LLC, to its joint venture collaborator Sonoco Products Company Products Company. This transaction, valued at US$ 330 million, is subject to standard price adjustments. WestRock has also inked a definite agreement for the sale of its uncoated recycled paperboard (URB) mills situated in Eaton, Indiana, and Aurora, Illinois, to Ox Industries.
• On October 6, 2022, Sonoco Products Company introduced its latest venture, Project Horizon, which involves the unveiling of a cutting-edge Uncoated Recycled Paperboard Machine. This strategic initiative is rooted in securing the enduring viability and sustainability of Sonoco Products Company's historic Hartsville Mill Complex, which has contributed significantly to the production of nearly one-third of the Company's U.S. and Canadian Uncoated Recycled Paperboard (URB).
• On March 22, 2023, UPM introduced its strategic intentions to align its uncoated publication paper capacity with the sustained and profitable demand from customers. This involves a targeted approach to reducing capacity, with the adjustments slated for implementation in Germany and Austria.

Why Purchase the Report?

• To visualize the global uncoated paper market segmentation based on type, properties, application, and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of uncoated paper market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global uncoated paper market report would provide approximately 102 tables, 110 figures, and 181 Pages.

Target Audience 2023

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies