Protective Packaging Market - Forecasts from 2022 to 2027

The protective packaging market was valued at US$30.892 billion in 2020.

The growing global e-commerce industry is the major driver of the global protective packaging market. Growing internet penetration, rising purchasing power, and the increased proliferation of smartphones and other mobile devices are boosting sales through e-retailing channels, which is augmenting the demand for protective packaging solutions for packaged goods. Rising concerns regarding environmental sustainability along with the strict regulations regarding packaging waste are encouraging packaging manufacturers to invest in R&D and come up with sustainable yet effective packaging solutions, thereby positively impacting the market growth of protective packaging in the coming years. However, fluctuations in raw material prices will hinder the growth of the global protective packaging market during the forecast period.

By Product Type

By Product Type, flexible packaging will witness the fastest market growth, in terms of value, in 2016 due to its cost efficiency and ability to package a wide variety of goods. Increasing demand for processed food and beverages is boosting the market growth of flexible packaging. Moreover, online retailing of delicate products requires air pillows, protective mailers, and bubble packaging, which, in turn, will contribute to this growth during the forecast period.

By Geography

Geographically, North America held the largest share of the global Protective Packaging market in 2020 owing to the presence of a large number of key players in the region. End-use industries in developed economies such as the U.S. and Canada are increasingly using protective packaging for various applications. Asia Pacific region will witness the fastest regional market growth during the forecast period due to the growing e-commerce industry in emerging economies, especially in China and India. Increasing spending on processed food and beverage products will further boost the demand for protective packaging in this region. Rising demand for OTC drugs will require effective protective packaging solutions in the pharmaceutical sector, leading to significant growth of the Asia Pacific Protective Packaging market during the forecast period.

Key Developments

• July 2021: As per the July 2021 press release by Smurfit Kappa, in the northeastern Mexican city of Monterrey, there is a folding carton business called Cartonbox, which they had acquired. As a result, the company was able to compete in Mexico's market for paper packaging solutions and grow into four more folding carton locations market.
• January 2020: As per the January 2020 press release by Sealed Air Corporation, the packaging for the bubble wrap brand was updated by Sealed Air Corporation and now contains at least 90% recycled material. This variant of the bubble wrap brand's packaging was made from recycled materials made from post-industrial waste that would have otherwise ended up in landfills.

Impact of COVID-19 on the Protective Packaging Market

Imposed lockdowns and reduced demand from various end-use sectors reduced the demand for protective packaging solutions. Furthermore, limited and restricted trade between countries impacted the sales of protective packaging solutions. Protective packaging producers suffered in 2020 as a result of laws requiring business closures, societal conventions of segregation, and reduced municipal and state government office activity. Still, the recovery from the COVID-19 crisis with rapid vaccination campaigns across North America and Europe helped in the recovery of the demand for protective packaging solutions. Specific package styles used in the healthcare and pharmaceutical industries have seen a marked increase in sales, according to the global packaging industry. Additionally, the utilization of those materials is anticipated to raise R&D spending, which will aid in market expansion.

Segmentation

In this report, the Protective Packaging market is segmented by material type, product type, function, industry, and geography:

• By Material Type

Paper and Paperboard

Plastic

Foam Plastics

Others

• By Product Type

Rigid Protective

• Corrugated Box
• Molded Pulp
• Insulated Shipping Containers
• Paperboard Protectors
• Others

Flexible Protective

• Paper Fill
• Air Pillows
• Bubble Packaging
• Protective Mailers
• Others

Foam Protective

• Loose Fill
• Molded Foam
• Foam-in-Place
• Others
• By Function

Insulation

Wrapping

Blocking and Bracing

Cushioning

Void Fill

• By Industry

Food and Beverage

Consumer Electronics

Automotive

Healthcare

Others

• By Geography

North America

• U.S.
• Canada
• Mexico

South America

• Brazil
• Argentina
• Others

Europe

• UK
• Germany
• France
• Spain
• Italy
• Others

Middle East and Africa

• Saudi Arabia
• UAE
• Others

Asia Pacific

• Japan
• China
• India
• South Korea
• Taiwan
• Thailand
• Indonesia
• Others