Demand for Beverage Cans Spurs Growth in Metal Packaging Coatings Market
DUBLIN, Ireland — A new study from research firm Fact.MR predicts the global market for metal packaging coatings will record a compound annual growth rate (CAGR) of approximately 5% during the forecast period of 2020 to 2030. Proper food and flavor protection, outstanding adhesion and flexibility in coating formulations have leveraged the demand for metal packaging coatings in the can manufacturing and coating formulating industries. The study expects that the preference for green manufacturing will create a robust environment for metal packaging coatings, as they are free from toxic chemicals like epoxy and BPA. A notable preference for aluminum and steel cans in the food and beverage industry is poised to drive market growth during the forecast period.
Key Takeaways of Metal Packaging Coatings Market Study
According to the report, acrylic resin is poised to remain a primary choice among metal packaging coating manufactures, accounting for over one fourth of the market share in 2030.
Coil process is projected to expand at a CAGR of about 4%, according to the report. Researchers expect this growth will create opportunities worth approximately $173 million by the end of 2030.
Based on form, liquids have led the market in terms of value in 2019. It is projected that this market segment will maintain its supremacy over powdered coatings, creating value of approximately $519 million by 2030.
According to the study, the increasing consumption of metal packaging coatings in the manufacturing of beverage cans will surpass the market valuation of $874 million in 2030.
In terms of value and volume, Europe is poised to maintain its dominance over other regions, accounting for over one third of the global demand through the forecast period.
“Burgeoning demand from canned alcoholic and non-alcoholic beverages is set to positively impact the growth of metal packaging coatings market during the forecast period,” said the report analyst.
Mergers and Acquisitions Remain Top Strategies for Uncertainty
Boasting of a highly consolidated market structure, key players such as Akzo Nobel N.V., Dow and PPG Industries Inc. accounted for over one third of the global sales in 2019. During the period from 2015 to 2019, prominent companies adopted numerous targeted strategies to expand their business across the globe. For instance, Henkel acquired the Darex Packaging Technologies business for over one billion dollars to strengthen its market presence. Beverage Can Makers Europe and European Metal Packaging, two European companies, merged to expand their global presence. Mergers will continue amidst this global emergency to offset the losses incurred during the COVID-19 pandemic.
Impact of COVID-19 on Market
The coronavirus outbreak has crippled industries globally. Nearly all countries have imposed lockdowns and strict social distancing measures. According to the study, this has forced shutdowns in almost every production plant across the globe. The beverage cans industry is an important application area for metal packaging coatings. A pronounced drop in the production of beverage cans has limited the market scope for metal packaging coatings.
The pandemic has generated disruptions with discrepancies in the supply and demand across multiple industries, causing a global economic meltdown. Europe has suffered huge losses in the first two quarters. However, the easing of lockdown restrictions in some European countries may uplift market growth in the third quarter. East Asia, the least affected region, is poised to assist the global market growth by the end of 2020.
Visit the Fact.MR website for more information about the report, Metal Packaging Coatings Market.