North America Paper Packaging Market Size
| Study Period | 2023 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 72.51 Billion |
| Market Size (2029) | USD 94.25 Billion |
| CAGR (2024 - 2029) | 4.32 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
North America Paper Packaging Market Analysis
The North America Paper Packaging Market size is estimated at USD 72.51 billion in 2024, and is expected to reach USD 94.25 billion by 2029, growing at a CAGR of 4.32% during the forecast period (2024-2029).
- Paper packaging stands out as a leading choice among eco-friendly packaging solutions. Its versatility allows it to be produced in various sizes while maintaining a compact footprint, making it an ideal fit for nearly every end-user industry, especially when compared to bulkier alternatives.
- According to the US Census Bureau, in 2024, pulp mills are expected to generate a revenue of USD 6.11 billion. Also, paperboard mills are expected to generate a revenue of USD 34.02 billion, and paper mills are expected to generate a revenue of USD 39.55 billion in the same year. With e-commerce evolving as an increasingly critical element of retail, paper packaging stands to benefit substantially.
- Moreover, the region emerges as one of the largest markets for corrugated packaging as the area has several foodservices and packaged food companies, including ready-to-eat, convenience, and ready-to-make meals. The high demand for out-of-home food due to busy work-life schedules and convenience is also a key factor driving the market growth. According to the International Franchise Association, the number of quick-service restaurants (QSRs) in the United States is estimated to reach 199,808 units by the end of 2024.
- Consumers are increasingly aware of the environmental risks associated with packaging, leading them to favor more eco-friendly purchasing choices. This shift is further amplified by pressures from consumers, the government, and the media on manufacturers to adopt greener practices in their products, packaging, and processes. Notably, consumers are willing to pay a premium for eco-friendly packaging. As a result of these trends, the paper packaging market is poised for growth.
- However, deforestation poses significant challenges to the paper packaging industry, including supply chain risks, environmental concerns, regulatory pressures, and the need for sustainable innovation. Addressing deforestation requires collaboration among stakeholders, including governments, companies, consumers, and environmental organizations, to promote responsible forest management and sustainable sourcing practices in the paper packaging industry.
North America Paper Packaging Market Trends
Environmental Concerns Creating Demand for Paper Packaging
- Over the decades, due to numerous government initiatives and increasingly stringent regulations, there has been growing awareness regarding the environmental hazards related to the disposal and recycling of packaging materials. The American Forest and Paper Association reported that the recycling rate for paper and paperboard in the United States reached approximately 68% in 2022.
- Notably, cardboard, often referred to as corrugated in the industry, stands out as the top recycled packaging material in the United States. In fact, around 34 million tons of cardboard were recovered for recycling. Moreover, about 50% of the material used nationwide for producing new boxes is sourced from recycled paper.
- In recent years, there has been a significant push for more ecological packaging of common things, particularly food and beverages. This has mostly taken the form of campaigns to drastically restrict the use of single-use plastics, a subject that has gathered massive public support in the previous five years.
- Consumers are using their purchasing power more readily to force major foodservice brands to change, choosing brands with sustainable commitments and even being willing to pay more for sustainable choices. Major foodservice brands are moving away from plastics and toward alternatives like recyclable fiber and paper packaging. North American governments are enacting plastic-free regulations, which is causing merchants and consumer brands to reconsider their supply chains and packaging options.
- The most evident trends in the packaging industry revolve around a circular economy. Currently, the packaging industry is dominated by paperboards that are 100% recyclable, which caters to environmental safety and standards to eliminate pollution. The liquid packaging market is expected to grow at a higher rate owing to the surge in demand for various beverages, such as organic drinks, fruit juices, tender coconut water, energy drinks, and non-dairy drinks (almond and soy milk).
The Expanding E-commerce and Pharmaceutical Industries Creating Demand for Various Paper Packaging Types
- As more consumers shift toward online shopping, there is a corresponding increase in the need for packaging materials to deliver these products to customers safely. Corrugated and folding carton packaging are among the primary materials used for packaging goods in the e-commerce industry due to their versatility, durability, and cost-effectiveness.
- The increasing demand for e-commerce is driving the growth of the North American paper packaging market by necessitating packaging materials suitable for online retail, customizable, sustainable, and optimized for efficient logistics and fulfillment operations. According to the US Census Bureau, in the second quarter of 2024, retail e-commerce sales in the United States amounted to roughly USD 291.6 billion, marking an increase compared to the previous quarter.
- With higher demand for prescription drugs, there will be a corresponding increase in the requirement for secondary and tertiary packaging solutions to store, transport, and display these medications safely. This increased demand for packaging materials is expected to benefit companies in the North American paper packaging market, as they play a crucial role in providing packaging solutions for the pharmaceutical industry.
- According to the Canadian Institute for Health Information (CIHI), in 2023, the total expenditure on non-prescription drugs in Canada amounted to CAD 6.7 billion (USD 4.9 billion), while spending on prescription drugs increased to CAD 41.1 billion (USD 30.27 billion). According to the same source, in 2020, the expenditure on prescription drugs was recorded at CAD 35.3 billion (USD 26 billion).
North America Paper Packaging Industry Overview
The North American paper packaging market is competitive with several influential players. Some of these important players in terms of market share are currently leading the market. These influential players with significant market shares are focused on expanding their customer base abroad. Some of the key players in the market include International Paper, Smurfit Westrock, Graphic Packaging International, Cascades Inc., and Canadian Paper and Packaging Co. Ltd.
- March 2024: ProAmpac, a global leader in flexible packaging and material science, acquired UP Paper, a leading producer of recycled kraft paper. Established in 2016, UP Paper swiftly became a top North American producer of 100% unbleached recycled kraft paper, serving diverse packaging needs. Leveraging their expertise in fiber and film-based material science, ProAmpac and UP Paper are set to innovate and deliver eco-friendly flexible packaging solutions.
- February 2024: Graphic Packaging divested its bleached paperboard manufacturing facility in Augusta, United States, selling it to Clearwater Paper for USD 700 million. Clearwater Paper perceives this acquisition as a strategic move to bolster its presence in the paperboard manufacturing industry. With an Adjusted EBITDA valuation of approximately USD 100 million, the deal underscores Graphic Packaging's commitment to refining its portfolio.
North America Paper Packaging Market Leaders
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International Paper
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Canadian Paper and Packaging Co. Ltd.
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Smurfit Westrock
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Graphic Packaging International, Inc.
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Cascades Inc.
*Disclaimer: Major Players sorted in no particular order
North America Paper Packaging Market News
- July 2024: Suzano, a leading global pulp producer, announced its acquisition of industrial assets from Pactiv Evergreen in the United States. This move not only expands Suzano's footprint in North America but also marks its entry into the region's consumer and foodservice packaging industries. The deal, valued at USD 110 million, includes two mills located in Pine Bluff, Arkansas, and Waynesville, North Carolina, both focusing on producing liquid packaging boards and cupstock.
- March 2024: Mondi Group completed its acquisition of the Hinton Pulp mill situated in Alberta, Canada. This strategic acquisition marks Mondi's foray into the Canadian market and highlights its dedication to growth through modernization, sustainability, and facility expansion. With ambitious plans for the mill, Mondi is poised to invest approximately USD 432 million. A standout feature of this investment is the installation of a new kraft paper machine, set to produce 200,000 tons annually. This expansion is designed to meet the rising demand for sustainable packaging solutions and is expected to align the mill's operations with Mondi's paper bag plants throughout the Americas.
North America Paper Packaging Market Report - 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 Bargaining Power of Suppliers
4.2.2 Bargaining Power of Consumers
4.2.3 Threat of New Entrants
4.2.4 Threat of Substitutes
4.2.5 Intensity of Competitive Rivalry
4.3 Industry Value Chain Analysis
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Increasing Growth of E-commerce Creating Demand for Various Paper Packaging Types
5.1.2 Regulations on Plastic-based Packaging Products Contributes to Higher Demand
5.2 Market Restraints
5.2.1 Effects of Deforestation on Paper Packaging
6. MARKET SEGMENTATION
6.1 By Product Type
6.1.1 Folding Cartons
6.1.2 Corrugated Boxes
6.1.3 Other Product Types
6.2 By End-user Industry
6.2.1 Food
6.2.2 Beverage
6.2.3 Healthcare
6.2.4 Personal Care and Household Care
6.2.5 E-commerce
6.2.6 Electrical Products
6.2.7 Other End-user Industries
6.3 By Country
6.3.1 United States
6.3.2 Canada
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles
7.1.1 International Paper Company
7.1.2 Smurfit Westrock
7.1.3 Cascades Inc.
7.1.4 Packaging Corporation of America
7.1.5 Graphic Packaging International Inc.
7.1.6 Mondi PLC
7.1.7 DS Smith PLC
7.1.8 Sealed Air Corporation
7.1.9 ProAmpac Holdings Inc.
7.1.10 Canadian Paper and Packaging Co. Ltd
7.1.11 Clearwater Paper Corporation
- *List Not Exhaustive
8. INVESTMENT ANALYSIS
9. FUTURE OUTLOOK OF THE MARKET
North America Paper Packaging Industry Segmentation
Various end-user industries commonly utilize paper and paperboard for packaging. Paperboard packaging comes in numerous grades, with folding cartons being the most prevalent container made from it. The manufacturing process of paperboard involves several steps, including pulping, optional bleaching, refining, sheet forming, drying, calendaring, and winding. Unlike metals and plastics, paper packaging materials offer ease of reuse and recycling. These characteristics position paper packaging as both an eco-friendly and cost-effective choice.
The North American paper packaging market is segmented by product type (folding cartons, corrugated boxes, and other product types), end-user industry (food, beverage, healthcare, personal care and household care, e-commerce, tobacco, and other end-user industries), and country (the United States and Canada). The report offers market sizes and forecasts in terms of value (USD) for the above-mentioned segments.
| By Product Type | |
| Folding Cartons | |
| Corrugated Boxes | |
| Other Product Types |
| By End-user Industry | |
| Food | |
| Beverage | |
| Healthcare | |
| Personal Care and Household Care | |
| E-commerce | |
| Electrical Products | |
| Other End-user Industries |
| By Country | |
| United States | |
| Canada |
North America Paper Packaging Market Research Faqs
How big is the North America Paper Packaging Market?
The North America Paper Packaging Market size is expected to reach USD 72.51 billion in 2024 and grow at a CAGR of 4.32% to reach USD 94.25 billion by 2029.
What is the current North America Paper Packaging Market size?
In 2024, the North America Paper Packaging Market size is expected to reach USD 72.51 billion.
Who are the key players in North America Paper Packaging Market?
International Paper, Canadian Paper and Packaging Co. Ltd., Smurfit Westrock, Graphic Packaging International, Inc. and Cascades Inc. are the major companies operating in the North America Paper Packaging Market.
What years does this North America Paper Packaging Market cover, and what was the market size in 2023?
In 2023, the North America Paper Packaging Market size was estimated at USD 69.38 billion. The report covers the North America Paper Packaging Market historical market size for years: 2023. The report also forecasts the North America Paper Packaging Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
North America Paper Packaging Industry Report
Statistics for the 2024 North America Paper Packaging market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. North America Paper Packaging analysis includes a market forecast outlook 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
