Caps and Closures Market Forecasts to 2028 - Global Analysis By Product, Material, Type, Technology, Application, End User and Geography

According to Stratistics MRC, the Global Caps and Closures Market is accounted for $69.87 billion in 2022 and is expected to reach $107.83 billion by 2028 growing at a CAGR of 7.5% during the forecast period. Caps and closures usually used to keep the container sealed and the contents safe for the designated shelf life. They act as a barrier against dirt, moisture, and oxygen, and it keeps the items from being opened abruptly. It is primarily utilized in the packaging industry to protect commodities and increase shelf life. Plastic, metal, rubber, and wood are some of the materials used in the caps and closures sector to provide proper packaging.

According to data from The Food Industry Association released in January 2020, alcoholic beverage sales in supermarkets in the United States in 2018 were worth USD 24,313.51 million.

Market Dynamics:

Driver:

Increase demand for Bottled Water

One type of plastic bottle cap is a screw cap. It must create the inner ring of the cap's thread structure and securely link with the bottle thread. After the screw cap is tightened, the interaction force between the threads will allow you to take use of the benefits of the thread structure. The market for bottled water is expanding quickly. As a result, over the projected period, the market for caps and closures will be driven by the rising demand for bottled water.

Restraint:

Uncertainty in the price of raw materials & Availability of substitutes

The main reason preventing the market for caps and closures from expanding is the fluctuation in the cost of raw materials. Aluminium, steel, polypropylene, polycarbonate, and polycarbonate are some of the basic materials utilised in the production of caps and closures. The price of raw materials increases along with the demand for caps and closures, which has an impact on the price of producing the caps and closures. The market for caps and closures is under danger from the rising popularity of containers without closures, such as pouches. The packager benefits from a variety of factors, including minimal material prices, when using this style of packaging. The pouch packaging type is being used as a packaging innovation tool by several fast-moving consumer goods companies to give consumers additional convenience. Therefore, one of the biggest obstacles to the caps and closures market's expansion is the availability of alternatives.

Opportunity:

Demand from Pharmaceutical Packaging Sector

Healthcare items are packaged to prevent product contamination and to shield them from moisture, gas, light, and temperature changes. This contributes to the end-use industry for pharmaceuticals' need for caps and closures. Following the epidemic, there is an increasing daily need for medical supplies, healthcare facilities, and other associated goods. The need for caps and closures will rise in tandem with the healthcare sector's strong growth rate, which will undoubtedly benefit the caps and closures market.

Threat:

Stringent Government Regulations and Banning of Polymer Products

To confirm the safety of medical use plastics items like gloves, the FDA has put pressure on producers to submit data about the long-term health impact of inorganic chemicals in plastics, specifically hormonal impacts and contributors to antibiotic-resistant bacteria. PET is commonly used for packaging a range of edible items, including water, because to its low cost, ease of transportation, low weight, high resistance, absence of flavour and aesthetic concerns, and lack of these attributes. The biggest issue with plastic bottles is their endurance in the environment because they are not easily biodegradable. If not recycled properly, PET bottles that are thrown away pose a serious threat to the environment, especially in poor nations. Consequently, the market growth for caps and closures was hampered throughout the predicted period.

COVID-19 Impact:

The COVID-19 shutdown period caused multiple rises and falls in the industry for caps and closures. The food and beverage business was affected by COVID-19 in two ways: online food deliveries were accessible, while several offline food chains, such as cafes and restaurants, were totally shut down. The packaged food and beverage industry was seeing an increase in demand for meals and drinks that could be kept on the shelf, particularly milk products. The global food and beverage industry is made up of several offline and online food chains. This industry is made up of businesses that handle the processing of uncooked food materials, packaging, and distribution of prepared and packaged foods, as well as alcoholic and non-alcoholic drinks.

The Plastic segment is expected to be the largest during the forecast period

The Plastic segment is estimated to have a lucrative growth. Plastic caps and closures are the ideal material because of their great mechanical strength, stiffness, and resistance to wear and corrosion. Numerous polymers, including polyethylene terephthalate (PET), polypropylene (PP), polyethylene (PE), and polyvinyl chloride (PVC), are used in the production of plastic caps and closures. It is widely used in a variety of end-use industries because it can be bent into the required shape by applying pressure or heat. As a result, the availability of a broad variety of packaging options is boosting demand for the plastic industry, which will ultimately contribute to the domination of that industry throughout the forecasted period.

The food and beverage segment is expected to have the highest CAGR during the forecast period

The food and beverage segment is anticipated to witness the fastest CAGR growth during the forecast period, due to growing popularity of packaged food items, ready-to-eat meals, and portable snacks. It is anticipated that more non-alcoholic beverages will be consumed, which will aid in the segment's growth. In the food and beverage sector, they are used to safeguard the product, improve safety, extend shelf life, and decrease leakage, spoilage, and contamination. A sizable portion of the worldwide market for caps and closures is accounted for by the pharmaceutical industry because of the rising demand from pharmaceutical packaging. It is anticipated that the introduction of functional beverages in cans made of plastic, metal, or glass will drive the segment's growth.

Region with highest share:

Asia Pacific is projected to hold the largest market share during the forecast period owing to rapid industrialization and the popularity of waste management in nations like China, Japan, and India. Due to the expanding packaging business, plastic use has also expanded. More than 50% of plastic is recycled in the Asia-Pacific area, with the majority of this activity occurring in the unorganised market and concentrating on recycling single-use plastic. On the other hand, the region's packaging business is directly impacted by the rising demand for high-quality water and health-conscious drinking habits, which is predicted to increase the use of bottled water.

Region with highest CAGR:

North America is projected to have the highest CAGR over the forecast period. The market for caps and closures in North America has been dominated by carbonated soft drinks over the past ten years. On the other side, people in this area are focused on drinking water and juices as they become more health conscious. This change increased the demand for juices and healthful beverages, which benefited the market for caps and closures. An improved level of life and the availability of famous US manufacturers who produce these biodegradable and recyclable caps and closures are two key factors contributing to the market's expansion in the area. The widespread acceptance and use of high-tech retail packaging solutions is blamed for the surge.

Key players in the market:

Some of the key players profiled in the Caps and Closures Market include Amcor plc, Ball Corp., Sonoco Products Company, Silgan Holding, Inc., Nippon Closures Co. Ltd., BERICAP, Berry Global Inc., Crown Holdings, Inc., AptarGroup Inc., GCL Holdings S.C.A., Reynolds Group Ltd and Innovative Polymers Pvt. Ltd.

Key Developments:

In December 2021, Hexcel Corp. (Stamford, Conn.) and Metyx Composites (Istanbul, Turkey) entered into a partnership to produce high-performance carbon fiber pultruded profiles for the wind energy sector using polyurethane (PU) resin and unidirectional (UD) carbon fiber.

Products Covered:

• Crown Closures
• Dispensing Caps
• Aerosol Closures
• Screw Closures
• Easy-open Can Ends
• Metal Lug Closures
• Peel-off Foils
• Metal Crowns
• Corks
• Other Products

Materials Covered:

• Metals
• Plastic
• Compression Molding
• Other Materials

Types Covered:

• Continuous Thread Closures
• Tamper-Evident Closures
• Dispensing Closures
• Bar-Top Closures
• Child-Resistant Closures
• Snap-On Closures
• Other Types

Technologies Covered:

• Post-mold TE Band
• Injection Molding
• Compression Molding

Applications Covered:

• Wine
• Carbonated Soft Drinks
• Beer
• Bottled Water
• Other Applications

End Users Covered:

• Pharmaceutical
• Food & Beverages
• Healthcare
• Automotive
• Cosmetics & Toiletry
• Packaging
• Beverages Packaging
• Food Packaging
• Personal care
• Other End Users

Regions Covered:

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • Italy
  • France
  • Spain
  • Rest of Europe
• Asia Pacific
  • Japan
  • China
  • India
  • Australia
  • New Zealand
  • South Korea
  • Rest of Asia Pacific
• South America
  • Argentina
  • Brazil
  • Chile
  • Rest of South America
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Qatar
  • South Africa
  • Rest of Middle East & Africa

What our report offers:

• Market share assessments for the regional and country-level segments
• Strategic recommendations for the new entrants
• Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
• Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
• Strategic recommendations in key business segments based on the market estimations
• Competitive landscaping mapping the key common trends
• Company profiling with detailed strategies, financials, and recent developments
• Supply chain trends mapping the latest technological advancements

Free Customization Offerings:

All the customers of this report will be entitled to receive one of the following free customization options:

• Company Profiling
  • Comprehensive profiling of additional market players (up to 3)
  • SWOT Analysis of key players (up to 3)
• Regional Segmentation
  • Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
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