Factors affecting the growth of demand for metal iron box packaging

The popularity and demand of metal iron box packaging is growing due to economic and social factors around the world and environmental awareness. The main sectors driving demand are the food and beverage industries.

Cans are still in demand

In all different kinds of metal packaging, such as cans, bottles, buckets, lids and lids, the popular one has always been cans. This trend will continue in the coming years. By 2026, the global canned market is expected to grow by 4.8%, worth US$10.1993 million. Demand for two-piece cans is expected to grow rapidly, followed by three-piece cans.

Aluminum, tin (tinplate) and steel are commonly used metals for canning, accounting for one-third of all metal packaging. Aluminum is expected to become a material widely used in the manufacturing of cans in the future.

New market sector

Although canned food is important, the aluminum packaging industry has been driven by the growth of non-traditional markets. Aluminum packaging is becoming more and more popular in the wine market. Now, they are popular among all wine bottle caps and are used in 30% wine bottles. This trend is particularly evident in the world's largest wine markets - Europe and the United States. Since young people prefer aluminum screw caps because they are easy to open and reclose, the preference for convenience drives this emerging trend.

Different uses

Canned food is widely used in food, beverages, cosmetics, medicines, paints, etc. Although the main global demand is the food and beverage industry, there are regional differences. In North America and Latin America, Europe and Japan, the main use of canned food is for beverages and processed foods. In the Asia Pacific region outside Japan (APEJ), canned food is used for packaging oils, while in the Middle East, canned food is used for non-food uses such as cosmetics, pharmaceuticals and industrial products.

APEJ is expected to become the leading market for canned food by 2022, worth US$27.456 billion.

Expanding the global food and beverage industry

The increasing global demand for ready-to-eat and packaged foods and beverages, especially alcohol and non-alcoholic beverages, is creating a new market for metal cans.

Emerging global market

The United States has always been and remains a large market for metal packaging. However, the increase in disposable income and urbanization levels in many developing countries around the world, especially in the Asia-Pacific region, is responsible for the increase in demand for packaged food and beverages. China, India and Brazil are countries where demand for canned foods leads to an increase in the use of metal packaging. It is expected that by 2022, China will become a large market for canned food and canned food.

Europe is famous for its safe food production and is an important exporter of food and specialty products, and is very popular among other countries, with European food exports doubled over the past decade.

In addition, a common EU market and policy support the easy circulation of goods within Europe, ensuring an effective food supply chain and improving market access. The penetration rate of the European food, beverage and alcoholic beverage market is expected to grow from 12% in 2018 to 16% in 2022. Even if these figures include fresh food, there is still a lot of room for metal packaging (especially beverages). The food and beverage market is expected to reach $38.699 billion by 2022, an increase of 8.7% from 2018.

All this growth in the food and beverage industry will drive demand for metal packaging as the EU is promoting aluminum packaging to achieve a circular economy.

Environmental considerations

Aluminum cans are considered more environmentally friendly compared to plastic cans, with recycling rates exceeding 70% in Europe, and the disposal of plastic poses a huge challenge to canning globally. In addition, great concern has been attracted due to the potential health effects of the chemical migration of plastic food and water containers and the internal plastic coatings in the tanks.

The company tries to beat its competitors by building a brand that represents sustainability. These companies are moving away from plastics and instead use new metal cans with healthy inner coatings. For example, the water sales industry in Nordic countries has chosen metal cans because it is healthier and more environmentally friendly.

Positive cycle

From consumers, product manufacturers to the packaging industry, aluminum, tinplate and steel packaging are becoming more and more popular at all economic levels. As demand for healthy metal packaging grows, so does innovation investment in this area. In addition to environmental protection, this in turn can produce packaging materials that meet consumer needs and tastes.