Caps and Closures Market Size
Caps and Closures Market was valued at USD 74 billion in 2023 and is anticipated to register a CAGR of 4.8% between 2024 and 2032. The market is rapidly evolving, driven by the confluence of factors such as the development of the packaging industry, increasing industrial activities, growing population, and rapid urbanization.
To get key market trends
Rising demand for a wide variety of food goods as well as alcoholic and non-alcoholic beverages is driving a boom in the packaging business. By acting as barriers shielding packaged contents from exposure to ambient air and pollutants and allowing simple distribution, caps and closures are absolutely vital. Other sectors including healthcare, personal care, home care, and automotive make great use of these packaging solutions. For example, Mondelez International employs easy-open caps on cheese slices for practical eating; Kraft Heinz uses resealable tops on ketchup bottles to guarantee product freshness after opening.
Indeed, this is a human-like approach of rewriting the book maintaining the meaning intactThe demand for simple, handy packaging is likewise rising as our cities expand. City dwellers are constantly on the go, hence they seek for simple meals and beverages to carry with them and consume or drink while on their way. According to UN projections, 68% of people living on Earth will be city dwellers by 2025. The Brookings Institution estimates that over 80% of Americans already reside in metropolitan regions. City life can be hectic and fast-paced; convenience is therefore quite important when people are continually on the go. Food and drink containers are simple to carry about and open and seal thanks to caps and closures. By locking out germs, they also prevent spills from occurring and generate an airtight seal that maintains food and drink fresh. Given people's growing worries about food safety and hygiene, this is particularly crucial today.
| Report Attribute | Details |
|---|---|
| Base Year | 2023 |
| Caps and Closures Market Size in 2023 | USD 74 Billion |
| Forecast Period | 2024 to 2032 |
| Forecast Period 2024 to 2032 CAGR | 4.8% |
| 2032 Value Projection | USD 112.32 Billion |
| Historical Data for | 2021 - 2023 |
| No. of Pages | 135 |
| Tables, Charts & Figures | 49 |
| Segments covered | Product Type, Material, Technology, Closure Size, End Use |
| Growth Drivers |
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| Pitfalls & Challenges |
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What are the growth opportunities in this market?
Cap and Closure Makers Battle Rollercoaster Raw Material Prices Raw material costs' volatility causes great concern for companies which produce caps and closures. Mostly composed of polymers like polypropylene (PP) and polyethylene (PE), plastic caps and closures can be costly should the price of oil change or if issues arise getting them to locations they require. For instance, polypropylene prices fluctuated greatly last year, according to Platts, which provides information on energy and other sectors. Polypropylene sold for more over $2,000 per ton in March; in June it dropped to roughly $1,200 per ton. Manufacturers struggled to grasp how much items would cost as a result. Manufacturers can reduce their risk by purchasing raw goods from many sources all across the globe. Should prices rise in one area, producers could be able to locate better offers in another.
Caps and Closures Market Trends
People are seeking for ways to lessen their influence as they grow more conscious of the surroundings. This has created a rising market for environmentally friendly packaging. Businesses are answering with sustainable packaging, including caps and closures made of recycled materials and bioplastics. Since they don't depend on fossil fuels and generate less greenhouse gases than conventional plastics, these substitutes are gentler to the surroundings. The worldwide bioplastics industry is predicted to be worth $48.51 billion by 2027, according to experts, indicating a significant change toward environmentally friendly materials. For instance, Coca-Cola has committed by 2030 to pack its goods entirely using recycled or renewable materials. On several of their bottled water products, they have already begun experimenting sugarcane caps.
The packaging business has suffered greatly from our hectic schedules and the ease with which on-the-go snacks and beverages can be obtained. More and more businesses are producing caps and lids that are more user-friendly since consumers desire easily opened and used products. For instance, according to a recent analysis, Americans will work 48 hours on average in 2022. We are eating more packed meals and snacks hence we have less time for cooking and cleaning. This shift in human behavior calls for packaging that is quick to grab and use as well as simple. Companies are thus designing caps with one hand that you can open using twist-offs, flip-tops, pull-tabs. These let you easily and hassle-free reach your snacks and beverages.
Moreover, it is becoming more and more popular to include interactive elements into caps and closures. These closures have improved customer interaction by including QR codes, Near Field Communication (NFC) tags, and even microchips, therefore opening doors to a multitude of information and capabilities. In the case of food products especially, scannable codes can link consumers to comprehensive knowledge on the product, components, nutritional value, or even recipes. Through these tools, businesses can present loyalty programs, specials, or augmented reality (AR) experiences. Product authenticity can be checked using QR codes or NFC tags, therefore helping to fight counterfeiting.
Sensors monitoring temperature, pressure, or even location during transportation and storage allow smart closures to be included. This information guarantees product quality and helps to maximize logistics. Furthermore, the engagement statistics from QR code scans or app interactions can reveal interesting consumer preferences and behavior. Tetra Pak has developed connected packaging technology, for example, which converts closures and caps into data carriers. Consumers can scan the QR codes on caps to receive comprehensive product information and confirm authenticity.
Caps and Closures Market Analysis
Learn more about the key segments shaping this market
The market is separated depending on material type into plastic, metal, rubber, cork, glass, and others. With a revenue more than USD 33.4 billion and projected to reach USD 51.6 billion by 2032, the plastic sector dominated the market in 2023. Plastics' usefulness and economy help to explain this dominance. Crucially for maintaining product integrity and avoiding spoilage, plastic closures can be made to produce airtight, leak-proof seals. Good barrier qualities are provided by several kinds of plastics, notably Low-density Polyethylene (LDPE) or High-density Polyethylene (HDPE). Their low permeability to gases and liquids so helps to keep air and moisture out of the packaging.
Plastic can have additives including elastometers or plasticizers added to improve flexibility and provide a closer seal against the rim of the container. To make a seal that stops leaks and keeps liquids fresh, plastic bottles with screw-on lids sometimes include HDPE material, LDPE liners, and tamper-evident rings. For its plastic bottle bodies, for example, The Coca-Cola Company mostly relies on HDPE. Good strength, transparency, and barrier qualities make HDPE appropriate for storing carbonated beverages. Moreover, the predominance of plastic in the caps and closures industry may be mostly ascribed to its major cost advantage over other materials, such metal or glass. Usually less expensive to manufacture than raw materials for metal or glass, plastic resins—especially those used for caps and closures—such as HDPE and Polypropylene (PP—are For manufacturers, this translates into less initial expenses.
For instance, Nestle’s instant coffee containers often incorporate plastic lids with resealable features. Plastic allows them to offer this functionality at a lower cost compared to metal lids, which could potentially increase the price of their product.
Learn more about the key segments shaping this market
Based on closure size, the market is classified into less than 25mm, 25mm to 49mm, 50mm to 69mm, 70mm to 99mm, and 100mm & above. The less than 25mm closure segment dominated the market in 2023, with revenue exceeding USD 22.6 billion, and is expected to reach USD 37.1 billion by 2032. This dominance can be attributed to a confluence of factors that prioritize portion control and convenience. Single-serve beverages, snacks, and personal care items are often packaged in containers less than 25mm in diameter. Closures that match this size are ideal for these products, maintaining a proportional and user-friendly design. Smaller portions cater to individuals with specific dietary needs such as calorie counting or portion control for weight management. They also allow for variety in one's diet by enabling the consumption of multiple single-serve items with different ingredients. Smaller closures with single-serve portions help consumers manage their intake and reduce the likelihood of leftover food spoiling.
Small packages with closures less than 25mm easily fit into handbags, backpacks, or gym bags for easy access to snacks or beverages throughout the day. Single-serve packets with small closures are ideal for travel, allowing for portion control and avoiding the need for bulky full-sized containers. For instance, a travel-sized bottle of hand sanitizer with a small flip-top cap is more portable than a large pump dispenser bottle. Companies, such as L'Oreal and Procter & Gamble, have introduced travel-sized bottles of shampoo, lotion, or hand sanitizer that typically have closures under 25mm, ideal for portability and controlled application.
Based on end use, the market is categorized into pharmaceutical, household goods, food & beverages, cosmetics, and others. In 2023, the food & beverages segment emerged dominant, accounting for a substantial revenue of USD 22.5 billion, and is expected to reach USD 35.9 billion by 2032. This dominance can be attributed to several factors including the increased focus on hygiene and contaminant control in the food & beverage industry. The food & beverage industry manufactures vast quantities of products to cater to a global consumer base. This includes bottled water, soft drinks, juices, dairy products, condiments, and snacks.
According to credible sources, the global food market size is projected to reach USD 8.3 trillion by 2027. Due to the high volume, F&B companies leverage economies of scale to produce caps and closures at a lower cost per unit. This allows them to maintain competitive pricing while ensuring product safety and functionality. Single-serve options help consumers manage calorie intake or cater to specific dietary needs. Smaller packages with closures less than 25mm fit easily into bags, purses, or lunchboxes for on-the-go consumption. Therefore, food & beverage manufacturers require a constant supply of cost-effective, functional closures to meet the demand for their single-serve offerings.
Looking for region specific data?
North America emerged as the dominant region, generating a substantial revenue of USD 25.3 billion, and is expected to reach USD 35 billion by 2032. The surge of caps and closures in North America can be attributed to a confluence of factors that resonate strongly with the evolving needs and priorities of regional consumers. North America has a large and affluent population with high disposable income.
According to the Organization for Economic Co-operation and Development, the average disposable income in the U.S. in 2021 was USD 44,814. This translates into a significant demand for packaged goods, requiring a vast number of caps and closures. A large and affluent population creates a high demand for packaged food & beverages, in turn, necessitating a vast quantity of caps and closures for bottling, cartoning, and other packaging formats. According to the American Beverage Association, bottled water consumption in the U.S. alone reached 140.3 billion gallons in 2022. Each gallon of bottled water requires a cap or closure, highlighting the volume associated with a single product category.
North AmericaThe U.S. dominated the North America caps and closures market with a revenue of around USD 20.2 billion in 2023 and expected to reach around USD 27.3 billion by 2032. It is a leader in e-commerce, and according to credible sources online sales are projected to reach USD 1.4 trillion by 2025. Caps and closures that can withstand transportation and delivery are needed to ensure product integrity for online purchases. Consumers increasingly turn to online platforms for purchasing a wide range of products including food, beverages, cosmetics, and household goods. This directly impacts the demand for caps and closures used in packaging these products for e-commerce processes.
Europe Germany led the Europe caps and closures market with a revenue of around USD 4.4 billion in 2023 and is expected to reach around USD 6.4 billion by 2032, growing at a CAGR of 4.2%. Germany is the economic powerhouse of Europe, with a strong focus on innovation and manufacturing excellence. This translates to a well-developed caps and closures industry within Germany. The country is a major exporter of various goods including packaged food & beverages. This necessitates a high volume of caps and closures for their products.
China's dominance in the caps and closures market in the Asia Pacific region is undeniable. In 2023, it's a mighty $3.8 billion business, and it's projected to hit a whopping $6.5 billion by 2032. Why is this happening? China's e-commerce rocket ship is taking off faster than you can say "online shopping." Statista says China will lead the pack worldwide, with e-commerce sales soaring to $7.2 trillion by 2025. And here's the kickerall that e-commerce means millions of packages flying around, which means a huge need for caps and closures to keep everything secure. In China, though, it's not just about any caps and closures; they need to be tough as nails. Product damage on e-commerce deliveries in China can be as high as 8%! So, those caps and closures have to be ready for the bumpy ride—multiple stops, long journeys, and who knows what kind of warehouse storage conditions. It's a tough job, but someone's got to do it.
Caps and Closures Market Share
The global caps and closures market is fragmented, with prominent players, such as Amcor plc, Crown Holdings Inc, AptarGroup Inc., Berry Global Group Inc, and Silgan Holdings Inc, holding a market share of 20-30%. Manufacturers are adopting strategic steps, such as mergers, acquisitions, partnerships, and collaboration, to consolidate their position in the market. For instance, in July 2022, Berry Global Group Inc, acquired Promens' plastics division for around USD 90 million to expand in reusable plastic crate and pallet solutions.
Caps and Closures Market Companies
Major players operating in the caps and closures industry include
- Amcor plc
- Crown Holdings Inc
- AptarGroup Inc.
- Berry Global Group Inc
- Silgan Holdings Inc
- RPC Group Plc
- Reynolds Group Holdings Limited
- Closure Systems International Inc
- Guala Closures Group
- Bericap GmbH & Co. KG
- O.Berk Company, LLC
- ALPLA Werke Alwin Lehner GmbH & Co KG
- Comar, LLC
- Pact Group Holdings Ltd.
- TriMas Corporation (Rieke Packaging Systems)
Caps and Closures Industry News
- In April 2023, AptarGroup acquired Closer Packaging Solutions, a manufacturer of closures and dispensing solutions for the beauty, personal care, and home care markets
- In January 2023, Berry Global Group, Inc., a leading supplier of caps and closures, acquired Seal for Life, a Dutch manufacturer of sustainable closures for the food & beverage industry. The acquisition enhanced Berry's closures capabilities and expanded its product offerings.
- In September 2022, Silgan Holdings Inc., a leading supplier of rigid packaging solutions, announced a strategic investment in Closure Systems International (CSI), a manufacturer of plastic closures and capping equipment. The investment aimed to strengthen Silgan's position in the caps and closures market.
- In July 2022, Crown Holdings, Inc., a leading supplier of metal packaging products, introduced a new line of premium closures for the wine and spirits’ market. The closures, designed for both glass and aluminum bottles, offer enhanced functionality and premium aesthetics to meet the growing demand for innovative packaging solutions in the beverage industry.
The caps and closures market research report includes in-depth coverage of the industry, with estimates & forecast in terms of revenue (USD Billion) and volume (Million Units) from 2018 to 2032, for the following segments
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Market, By Material
- Plastic
- Metal
- Rubber
- Cork
- Glass
- Others
Market, By Closure Size
- Less than 25mm
- 25mm to 49mm
- 50mm to 69mm
- 70mm to 99mm
- 100mm and above
Market, By End Use
- Pharmaceutical
- Household goods
- Food & beverages
- Cosmetics
- Others
The above information is provided for the following regions and countries
- North America
- U.S.
- Canada
- Europe
- Germany
- UK
- France
- Italy
- Spain
- Rest of Europe
- Asia Pacific
- China
- Japan
- India
- South Korea
- Australia
- Malaysia
- Indonesia
- Rest of Asia Pacific
- Latin America
- Brazil
- Mexico
- Rest of Latin America
- MEA
- Saudi Arabia
- UAE
- South Africa
- Rest of MEA
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