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1056148

United States Metal Cans Market - Growth, Trends, COVID-19 Impact, and Forecasts(2022 - 2027)

Published: | Mordor Intelligence Pvt Ltd | 114 Pages | Delivery time: 2-3 business days

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United States Metal Cans Market - Growth, Trends, COVID-19 Impact, and Forecasts(2022 - 2027)
Published: January 17, 2022
Mordor Intelligence Pvt Ltd
Content info: 114 Pages
Delivery time: 2-3 business days
  • Description
  • Table of Contents

The United States Metal Cans Market is expected to grow at a CAGR of 0.81% during the forecast period (2021-2026). As growing environmental concerns around the world have resulted in increasing awareness about the type of packaging materials utilized. The recyclability of metal is one of the primary factors influencing the consumption of metal cans in the market.

Key Highlights

  • The food and beverage industry is constantly evolving. In recent years, consumer preference towards convenience food has shown an upward trend owing to the ever-changing lifestyle of the people in the region.
  • Metal cans provide many benefits, such as rigidity, stability, and high barrier properties, due to which they are used to store goods that have a longer shelf life and be transported for long distances. Steel and aluminum are mostly preferred. These materials have significant properties, such as being softer and lightweight, due to which the manufacturers are able to save costs associated with logistics.
  • Moreover, consumer trends, such as a preference for small-size and multi-pack packaging formats, are also supporting the volume growth of the metal cans market in the region. Metal cans are one of the perfect packaging solutions for the on-the-go lifestyle of many consumers in the country, and their convenience is topping the benefits list. These can be easily transported or carried to festivals, beaches, and outdoor and sporting events, whereas glass is mostly restricted due to its breakability.
  • The pandemic has led to an increase in the consumption of canned food and frozen dinners in the United States, which indicates a positive outlook on the market. According to a 2020 survey published by Store Brands, the consumption of canned food due to the Covid-19 pandemic increased by 96% in the United States. Also, frozen dinners consumption also increased by 71%.
  • Furthermore, the companies are constantly expanding their footprint in the region to meet the growing demand for metal can packaging from different end-users. For instance, in August 2020, Ball Corporation announced to expand its North American aluminum further can production capacity beyond its previously announced 6-billion-unit volume increase planned by the end of 2021.

Key Market Trends

Recyclability of the Metal Cans to Act as a Major Driving Factor for the Growth of the Market

  • Metal cans are important for the preservation of food without microbial spoilage. The high energy consumption of packaging manufacturing is one of the factors pushing recycling. Diminishing natural reserves, global warming, and the impact of plastics on the environment are the key trends influencing consumer demand.
  • Metal cans, especially aluminum, are the most recycled packaging units across the world. They can be recycled at the end of their lifecycle without degradation in the quality, and that makes them the preferred packaging material for brands across the industries, ahead of other materials, such as plastic and paper. In the United States, 105,784 aluminum cans are recycled each minute, leading to an overall recycling rate of nearly 50%, the highest recycling rate for any beverage container.
  • Most cans recycled in the United States get turned into new cans. If not turned into new cans, used beverage cans (UBC) are also used to make products in the transportation and construction markets.
  • Additionally, metal cans have an average 70% collection rate, higher than any other packaging material available in the market. The energy consumed to process recycled metal cans is 5% more than that used in manufacturing primary metal cans. Thus, the industry is making a strong push toward adopting recycling, while government initiatives and consumer support boost this trend.

Cosmetics & Personal Care to Hold Significant Market Share

  • The cosmetics and personal care industry is a science-driven and highly innovative sector that makes large product and packaging development investments. Some of the products that come in metal cans include hair sprays, hair care mousse and gels, shaving foams, and self-tanning sprays. The growth in the annual expenditure on cosmetics, perfumes, and bath preparation products in the country directly influence the growth of aerosol metal cans.
  • According to the Bureau of Labor Statistics, the average annual expenditure on cosmetics, perfumes, and bath preparation products increased from USD 197.01 in 2019 to USD 199.17 in 2020.
  • The growing beautification trend has resulted in an increase in demand for skincare, haircare, personal care products, especially by the female population, which is driving the segment's demand. Ongoing urbanization, rising disposable incomes, and increasing awareness regarding beauty products is also a factor driving the segment's growth.
  • Additionally, due to frequent product innovation in the market, consumers are being introduced to new types of products and trying them out, which is also contributing to the growth of the market studied.

Competitive Landscape

The United States Metal Cans Market is Moderately Competitive owing to the presence of several players (both regional and global) in the region. The stable profitability and demand for metal cans in the region are encouraging the vendors to increase investments in capacity expansion and products development. Some of the key players operating in the region include Crown Holdings Inc, Ball Corporation, Silgan Containers LLC, and Ardagh Group SA, among others.

  • September 2021 - Crown Holdings, Inc. reported that its previously announced Southwestern United States aluminum beverage could manufacturing facility will be located in Mesquite, Nevada. This two-line state-of-the-art plant will supply standard and specialty beverage cans to the Company's customers serving a variety of categories, including carbonated soft drinks, sparkling water, energy drinks, hard seltzers, beer, and ready-to-drink cocktails.
  • September 2021 - Ball Corporation announced a new U.S. Beverage Can plant in Nevada for supporting the long-term growth of the customers. The company's scheduled plan is to begin this production line in late 2022, creating closely 180 manufacturing jobs, and this plant is to serve the demand for recyclable aluminum containers.

Additional Benefits:

  • The market estimate (ME) sheet in Excel format
  • 3 months of analyst support
Product Code: 72442

TABLE OF CONTENTS

1 INTRODUCTION

  • 1.1 Study Assumptions and Market Definition
  • 1.2 Scope of the Study

2 RESEARCH METHODOLOGY

3 EXECUTIVE SUMMARY

4 MARKET INSIGHTS

  • 4.1 Market Overview
  • 4.2 Industry Attractiveness - Porter's Five Forces Analysis
    • 4.2.1 Threat of New Entrants
    • 4.2.2 Bargaining Power of Buyers
    • 4.2.3 Bargaining Power of Suppliers
    • 4.2.4 Threat of Substitute Products
    • 4.2.5 Intensity of Competitive Rivalry
  • 4.3 Industry Value Chain Analysis
  • 4.4 Assessment of the Impact of COVID-19 on the Metal Can Market

5 MARKET DYNAMICS

  • 5.1 Market Drivers
    • 5.1.1 High Recyclability Rates of Metal Packaging
    • 5.1.2 Convenience and Lower Price offered by Canned Food
  • 5.2 Market Restraints
    • 5.2.1 Presence of Alternate Packaging Solutions

6 MARKET SEGMENTATION

  • 6.1 By Can Types
    • 6.1.1 Food
      • 6.1.1.1 Vegetables
      • 6.1.1.2 Fruits
      • 6.1.1.3 Pet Food
      • 6.1.1.4 Soups
      • 6.1.1.5 Coffee
      • 6.1.1.6 Other Foods
    • 6.1.2 Aerosols
      • 6.1.2.1 Cosmetics and Personal Care
      • 6.1.2.2 Household
      • 6.1.2.3 Pharmaceutical/Veterinary
      • 6.1.2.4 Paints and Varnishes
      • 6.1.2.5 Automotive/Industrial
      • 6.1.2.6 Other Aerosols

7 COMPETITIVE LANDSCAPE

  • 7.1 Company Profiles
    • 7.1.1 Crown Holdings Inc.
    • 7.1.2 Ball Corporation
    • 7.1.3 Silgan Containers LLC
    • 7.1.4 Mauser Packaging Solutions
    • 7.1.5 Ardagh Group SA
    • 7.1.6 DS Containers Inc.
    • 7.1.7 CCL Containers Inc.
    • 7.1.8 Independent Can Company
    • 7.1.9 Technocap Group
    • 7.1.10 Can-Pack SA
    • 7.1.11 Allstate Can Corporation
    • 7.1.12 Envases Group

8 INVESTMENT ANALYSIS

9 FUTURE OF THE MARKET