Market Trends of Pulp & Paper Chemicals Industry
This section covers the major market trends shaping the Pulp & Paper Chemicals Market according to our research experts:
Increasing Demand from the Packaging and Industrial Papers
- Paper packaging includes rigid and flexible paper packaging formats, such as paper sacks and bags, corrugated boxes, wrapping paper, cartons, display packaging, cups and trays, inserts and dividers, tapes and labels, and clamshells. Significant weight advantages of paper packaging ensure benefits in terms of distribution efficiencies and raw material inputs.
- Packaging performs an essential function by protecting goods from damage, from the point of manufacture to the final consumer. It prevents the wastage of goods and energy. Packaging meets stringent safety, technical, and hygienic requirements.
- A rise in the demand for flexible paper packaging, owing to growing consumer awareness regarding the harmful effects of plastic on the environment, along with the eco-friendly nature and economical form of paper packaging, is expected to propel pulp and paper chemicals market growth.
- The significant advantage of using recycled paper packaging is the associated reduction in the cost of packaging material by up to 40%. Stringent government regulations about environmental concerns and reduction in carbon emissions are also significant factors expected to fuel the consumption of recycled paper packaging across the end-user industries.
- The United States is one of the largest packaging markets in North America. Packaging production in the United States increased, reaching 676.2 million tons in 2022 compared to 646.1 million tons in 2021. The packaging industry is driven by the country's paper and paperboard packaging, which nearly accounts for around 40% of the packaging market.
- With the increasing environmental awareness, the demand for sustainable and eco-friendly packaging is also increasing, further boosting the demand for paper packaging. Similarly, owing to increasing global environmental concerns and the rising need to reduce toxic emissions, recycled paper packaging is used by the healthcare, personal care, and food and beverages industries.
- Hence, with the increasing demand for packaging and industrial papers, the pulp & paper chemicals market is also expected to register a noticeable growth in demand during the forecast period.
Understand The Key Trends Shaping This Market
Download Sample
China to Dominate the Asia-Pacific Region
- In the Asia-Pacific region, China is expected to drive the market for the paper packaging segment, with applications across industries like healthcare, personal care, home care, retail, and others. It, in turn, is driving the demand for the pulp and paper chemicals market in the coming years.
- The Chinese paper and paperboard packaging industry is the second-largest in the world and will showcase continuous growth owing to meet the higher demand from mass consumers. However, sustainable and eco-friendly packaging is likely to increase, thereby driving the market for Pulp & Paper Chemicals across the country.
- Due to the COVID-19 impact, the demand for retail e-commerce sales increased. E-commerce sales rose by 44% in China in 2020. It further registered as the largest e-commerce market in 2021, with a revenue of USD 1,542.6 billion, thereby increasing the demand for paper and board packaging across the country.
- The market size for the Chinese paper and paperboard manufacturing industry grew by 5% in 2022 to USD 218 billion. China's paper and paperboard manufacturing market increased by an average of 5.4% per year between 2017 and 2022. It is expected to drive the pulp and paper chemicals market demand during the forecast period.
- Increasing concern over food safety in the food and beverages sector propelled the need for high-quality food service boards and liquid packaging boards. Besides this, the development of e-commerce in China promoted the increase in express delivery, further driving the demand for packaging paper, thereby driving the demand for the pulp and paper chemicals market during the forecast period.
- The factors above may contribute to the increasing demand for pulp and paper chemicals in china during the forecast period.
Get Analysis on Important Geographic Markets
Download Sample
