Metal Cans Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

Metal Cans Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The metal cans market was valued at USD 53.37 billion in 2020 and is expected to reach USD 61.37 billion by 2026, registering a CAGR of 2.23% over the forecast period (2021 - 2026). The product is gaining prominence due to its distinct features, such as resistance to transportation, hermetically sealed cover, and irregular handling, and easy recyclability.

Key Highlights

• The high recyclability of metal cans is one of the significant drivers of the market. Making products from recycled metals uses less energy, reduces carbon emissions, and uses less water compared with using raw materials.
• Owing to the increasing consumption of both alcoholic and non-alcoholic beverages, such as beer and carbonated drinks, in the European region, there is significant demand for metal cans in the region. According to Brewers of Europe, in 2018, the volume of beer produced in Europe was 421,721 thousand hectoliters. Also, according to the can makers, approximately 9.7 billion beverage cans are shipped each year from the United Kingdom can manufacturing plants.
• Moreover, consumer trends, such as a preference for small-size and multi-pack packaging formats, are also supporting volume growth of the metal cans market in the region. For instance, in July 2019, Ardagh launched European-first 187ml slimline wine can, claiming it was the first European slimline can for beverage packaging.
• The rise in consumer awareness concerning the application of non-carcinogenic materials in packaging and increased demand for lightweight packing is generating high growth prospects for the metal cans market.However, due to the replacement possibility of polymer-based packaging materials, including polyethylene and polyethylene terephthalate (PET), metal cans are witnessing a challenge in their usage.
• in response to the COVID-19 pandemic's impact on demand, European steelmakers have swiftly reduced supply, with the first-quarter production falling 10% year over year. Also, the non-ferrous metals industry is a key supplier of essential value chains, including food packaging. COVID-19 is causing significant and growing economic impacts on the European non-ferrous metals sector, caused by major demand reduction in key-value chains, supply disruptions, and transport difficulties.

Key Market TrendsCanned Food Consumption to Drive the Market Growth

• The growing trend in the canned food market is innovations in packaging. With an increase in demand for chemical-free canned foods, manufacturers are focusing on innovations in packaging. Many brands of canned food products have started offering food in BPA-free containers.
• The demand for sealed and tamper-proof steel container food is high, as they protect food from harmful bacteria. Also, due to hectic and busy lifestyles of consumers, canned food is expected to gain more importance.
• Canada has created a huge variety of products, ranging from ready-mixed frozen vegetables to concentrated fruit juices to frozen french fries. The demand for Canada's pre-packaged, fresh-cut fruits and vegetables has soared in recent years. Current trends are driving the development of new products with longer shelf life and excellent sensory and processing qualities and the Canadian industry are in continuous improvements in its manufacturing processes to provide customers with the safest, premium quality products.
• Due to innovations in packaging, less preparation time and free from harmful bacteria, the canned food product is a good source of nutrients and will enhance the growth of metal can market in future.

North America to Hold a Significant Share in the Market

• Due to the rising demand for various healthy beverages, carbonated soft drinks, health drinks, and sucralose juices, North America is projected to positively impact the metal cans market demand over the forecast period. Also, industry growth is influenced by widespread promotional activities and research developments by various key players.
• In the United States, the food and retail industry is the key source driving the demand for the product. The number of superstores and grocery stores in the country is increasing and the increasing number of smaller households is the key factor for the growth in the food and retail sector of the country. Thus, it is directing the demand for smaller packaging units.
• The demand for metal cans has grown because of the lifestyle of people in the United States. People are busy with their hectic schedules, which gives them less time for cooking preparations and they prefer nutritious food that is ready-to-eat and can be prepared easily. Canned food serves this purpose by providing convenient packaging and ready-to-use food items. The growth of metal cans market will increase in future because of their ability to preserve the freshness and quality of food for a long time.

Competitive Landscape

The metal cans market is highly fragmented, owing to the presence of various global and local industry players. Vendors in this market participate on the basis of product portfolio, differentiation, and pricing. Key players in the market are SKS Bottle & Packaging, Inc., Silgan Containers LLC, Ball Corporation, etc. Recent developments in the market are -

• January 2020 - Ardagh Group announced its purchase of a facility in Huron, Ohio facility to start manufacturing its metal cans and has planned to start production in late 2020. The company has aimed to produce beverage cans in multiple sizes for a variety of categories, including sparkling water, soft drinks, teas, and alcoholic beverages.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

Companies Mentioned

IBM Corporation
Oracle Corporation
Internap Corporation
Packet Inc. (An Equinix Inc. Company)
Scaleway Inc.
Amazon Web Services Inc
Rackspace Inc.
CenturyLink, Inc.
LightEdge Solutions, Inc

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