News

US bulk packaging demand

schutzecobulkgroupDemand for rigid bulk packaging in the US is projected to increase 4% a year to US$7.3 billion in 2018, according to a new report from The Freedonia Group.

Growth will represent an improvement on the performance of the 2008-2013 period as manufacturing output and construction activity recover further from post-recession troughs. The resurgence of these sectors will fuel rebounds in the production of chemicals and plastic materials, which will support heightened demand for related rigid bulk packaging.

Prospects will also benefit from trends that are increasing the competitiveness of the manufacturing sector in the US, including insourcing (also called reshoring or onshoring) and rising production of shale oil and gas. Plastic is the leading material for rigid bulk packaging, with steel and paperboard also used to a significant extent.

Rigid intermediate bulk containers (RIBCs) and material handling containers are expected to see the fastest growth through 2018.