Containerboard Market to Register a CAGR of 2.4% During 2022-2029; Rising Demand from Electronics, Consumer Goods, and Food & Beverage to Aid Growth

The global containerboard market size reached USD 126.66 billion in 2021. The market value is estimated to increase from USD 129.73 billion in 2022 to USD 153.51 billion in 2029 at a CAGR of 2.4% in 2022-2029. This information is published by Fortune Business Insights™, in its report, titled, “Containerboard Market Size, Share & COVID-19 Impact Analysis, By Material (Virgin and Recycled), By End-User (Food & Beverage, Personal Care & Cosmetics, Industrial, and Others), and Regional Forecast, 2022-2029”

Disrupted Supply Chains & Volatility in Raw Material Packaging to Limit Market Growth

The ongoing pandemic resulted in a disrupted supply chain and fragmented transportation sector global trade routes were operating at an irregular manner. The value chain of the containerboard was put on hold as many nations and countries imposed lockdowns. As lockdowns were put in place at an unstandardized manner, the workforce was disrupted, which led to dominant players operating at a less-than-optimal capacity.

Additionally, as the pandemic loomed on, lockdowns were loosened and players in the market began ramping up their production capacities. However, after the lockdown manufacturing was hampered as raw materials required for recycling were sparse. To add to the disparity in the demand-supply chain, increased activity through the e-commerce mode of distribution led to an accelerated usage of corrugated packaging.

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https://www.fortunebusinessinsights.com/containerboard-market-102801

Rengo Co. Ltd Announces Integrating Additional Production Capacity in Vietnam

Rengo recently announced increasing its capacity in the form of a joint venture paper mill in Vietnam by initiating the construction of additional containerboard manufacturing capacity. With the added capacity, Vina Kraft Paper Co. Ltd is expected to be Vietnam’s primary provider and record sustainable growth in the country.

This acquisition is aimed at strengthening their production system from containerboard production towards corrugated packaging solutions. The latest production capacity is expected to increase the production volume to 243,000 tons/annum or 489,000 tons in total/annum. The equity participation for the following deal will be Rengo Co. Ltd to own 30% while the rest of the shares will be managed by Siam Kraft Industry Co. Ltd.

Expanding Food & Beverage Sector to Drive Accelerated Growth During Forecast Period

Rising demand from sectors such as food & beverages, chemicals, electronics, consumer products, and glassware coupled with the constantly changing lifestyle of the working population will boost the containerboard market growth during the forecast period. Additionally, increasing inclination of frozen and packaged foods will increase the footprint of the market.

The rapid expansion of the e-commerce industry will fuel the growth of the market due to the rising use case of product-specific corrugated boxes. An ongoing trend of cosmetics, electronics, and personal care products will expand the boundaries of the market towards a new horizon. Additionally, rising recyclability for manufacturing and increasing standards and regulations of government for protecting the environment will further boost the growth of the market. 

Key Industry Development:

• May 2021: Mondi’s PM19 paper machine at Slovakia is delivering Kraft Top White, an innovative and sustainable new grade. The product offers a solution with strength, printability, and on-shelf appeal. The new machine has a production capacity of 300 KT per annum and is part of Mondi’s USD 419.6 million investments to reduce its environmental footprint. The mill uses more than 200 KT of paper for recycling from Slovakia and supports the circular economy by keeping materials in circulation and preventing waste.

List of Players in the Report:

• Mondi Group (U.K.)


• SCG PACKAGING PUBLIC COMPANY LIMITED (Thailand)


• DS Smith (U.K.)


• Lee & Man Paper Manufacturing Ltd. (China)


• Smurfit Kappa (Ireland)


• International Paper (U.S.)


• Oji Fibre Solutions (NZ) Ltd. (Australia)


• WestRock Company (U.S.)


• Rengo Co., Ltd. (Japan)


• Georgia-Pacific LLC (U.S.)


• Hamburger Containerboard (Austria)


• Nine Dragons Paper (Holdings) Limited (Hong Kong)


• Stora Enso (Finland)

Further Findings:

• Food & beverage accounted for a significant market share in terms of segmental growth during the forecast period owing to increasing demand for transportation in storage processes. Additionally, rising attributes such as toughness, ability to get resist crushing, and increased resistance towards stacking & vibration will increase the footprint of the share during the forecast period.


• Asia Pacific will witness the largest containerboard market share owing to rapid industrialization and rising consumer preference for ready-to-make and packaged food & beverages due to a busy lifestyle. North America will hold a considerable market share during the forecast period due to containerboard offering durable and lightweight packaging.

Table of Segmentation: