Global Corrugated Boxes Market - 2021-2028

Global Corrugated Boxes Market - 2021-2028

Market Overview

The global corrugated boxes market size was worth US$ XX million in 2020 and is estimated to reach US$ XX million by 2028, growing at a CAGR of XX% during the forecast period (2021-2028).

Corrugated boxes comprise multiple layers of paperboard and are the most well-known cardboard box. The boxes have a few external layers, with a folded 'medium' layer for added dependability and sturdiness and are made utilizing a creasing machine and adhesive to stick the layers together. Corrugated boxes come in single-wall, double-wall, triple-wall and anti-static. A few examples of corrugated boxes used daily are moving boxes, pizza boxes and crease delivering boxes.

The three layers of corrugated are inside liner, outside liner and a medium. Corrugated is a lightweight, resilient material that is important for shipping several packages.

Market Dynamics

The global push for sustainability is anticipated to boost the corrugated boxes market. In addition, the growing e-commerce market led to an increase in packaged goods and packaging is expected to drive the corrugated boxes market. However, the recent hike in the raw material cost is expected to restrain the market.

The global push for sustainability is anticipated to boost the corrugated boxes market

Sustainable packaging is making an impact on the planet and the e-commerce business. As an e-commerce business, one of the most significant factors in a business's growth and success is establishing a strong relationship with customers. Regarding the global push for sustainability, paper-based packaging such as corrugated boxes has witnessed a significant boost in the past few years. For instance, according to Corrugated.org, industry recovery rate for corrugated has been around 90% over the last eight years and 96% in 2018.

Moreover, there has been a global transformation towards more environmentally sustainable ways of working in recent years. The world's major companies are also increasingly disclosing their greenhouse gas emissions and different energy metrics. The trend is projected to continue further and contribute to the growth of the corrugated boxes market in the forecast period.

The growing e-commerce market led to an increase in packaged goods and packaging is expected to drive the corrugated boxes market

E-commerce has experienced accelerated growth since its humble beginnings, with e-commerce sales projected to grow to US$ 599,200 million by 2024. The COVID-19 outbreak saw e-commerce sales spike 25% in March 2020 alone. In addition, e-commerce permeates everyday life and presents significant opportunities for small, medium and large businesses and online investors. For instance, Amazon set the standard for customer-oriented websites and a lean supply chain, selling over 4000 items in a minute from SMBs alone.

The accelerated e-commerce industry results in demand for packaged goods. For instance, as per data received by Smithers's report, between 2018 and 2028, the global packaging market is set to increase approximately 3% per annum, reaching over US$ 1,200,000 million. Therefore, the growth of the packaging industry is projected to increase the market of corrugated boxes globally.

The hike in the raw material cost is expected to restrain the market

The sharp hike in the cost of raw material, i.e., kraft paper, constitutes 70-80% of their working capital requirement. The rise in kraft paper cost is due to the ""3Cs"" – China, COVID-19 lockdown and Containers. Due to the global supply chain disruption, only four are operational from the 16 sea lines and containers are stranded at ports. Therefore, imports of waste paper used to make kraft paper have been reduced. Moreover, due to lockdown, collection of scrap paper is not happening due to which the wasted cartons are not coming back into the supply chain for recycling.

Therefore, the increase in raw material cost by paper mills significantly increases the working capital requirement for the corrugated box firms.

COVID-19 Impact Analysis

COVID-19 has led to an increase in e-commerce and accelerated digital transformation. As lockdowns became the new normal, businesses and customers increasingly went digital, providing and purchasing more goods and services online, boosting e-commerce's share of global retail trade from 14% in 2019 to about 17% in 2020. According to UN General Assembly President, the trend towards e-commerce is likely to continue throughout the recovery from COVID-19. The increase in e-commerce led to the demand for packaging materials.

Segment Analysis

The global corrugated boxes market is segmented into single-face, single wall, double wall, and triple wall based on board type.

The most common corrugated boxes based on board are single-wall and double-wall boards. There is also a single-face board made up of one sheet of liner adhered to one sheet of corrugated medium. Its board style is typically sold in rolls and can wrap around products for protection and cushioning.

A single-wall box comprises an inner and outer liner surrounding one flute layer. A sheet of corrugated medium is glued between two sheets of a liner. The boxes are perfect for lightweight products and are preferred by online businesses. In addition, they are cost-effective, light and offer protection during transit. Therefore, single-wall is the most general type of board and can be utilized for everything from shipping boxes to retail displays.

Double-wall is when two sheets of a corrugated medium are glued between three liner sheets. The board is commonly used for heavier products or requires a stronger box for shipping. And lastly, triple-wall is when three sheets of the corrugated medium are glued between four liner sheets. The board is the strongest of all the board styles and is often used for industrial parts or produce bins.

Geographical Analysis

Based on geography, the global corrugated boxes market is segmented into North America, Europe, South America, Asia-Pacific and Middle East & Africa.

North America is to dominate the global market of corrugated box market. The region has the top players operating in the global corrugated boxes market, such as Global Paper Company, Georgia-Pacific LLC, WestRock Company and others. The corrugated box market in developed countries such as U.S. and Canada positively impacts the forecast. It can be because of the high demand for mailing containers and the e-commerce surge.

Furthermore, developing countries of Asia-Pacific are anticipated to witness high demand for packaging goods as they double–up as branding tools and help cut marketing costs.

Competitive Landscape

The global corrugated boxes market is competitive and fragmented with several end-use industries, resulting in high investment by multinational and local companies, contributing to the major share in the market growth. In addition, major players contributing to the market's growth are Mondi Group Plc, Global Paper Company, WestRock Company, DS Smith Plc, Smurfit Kappa Group and Rengo Co. Ltd., KapStone Paper and Packaging Corporation, Cascades Inc., Packaging Corporation of America, TGI Packaging Pvt. Ltd., Georgia-Pacific LLC and others. In addition, the companies are adopting growth strategies such as expansions, acquisitions, product launches and collaborations, contributing to the market growth globally.

Mondi Group Plc

Overview: Mondi Group Plc is a British packaging and paper company. The company is integrated across the packaging and paper value chain from pulp and paper manufacturing to converting packaging papers into corrugated packaging, industrial bags, extrusion coatings and release liner. It is headquartered in Addlestone, Surrey, England.

Product Portfolio: Mondi Group Plc offers a full range of corrugated products for automotive part transport from connectors to large spare parts and standard transport to constructive specialties.

Key Development:

On February 17, 2020, Mondi Group Plc Mondi partnered with Cartro, a leading provider of corrugated packaging in Mexico. With the partnership, Mondi Group Plc aims to enter the fresh produce segment with a new avocado box that is sustainable by design.

Why Purchase the Report?

Visualize the composition of the global corrugated boxes market segmentation by type, board type, board grade, flute profile, end-user and region, highlighting the key commercial assets and players.

Identify commercial opportunities in the global corrugated boxes market by analyzing trends and co-development deals.

Excel data sheet with thousands of data points of global corrugated boxes market-level 4/5 segmentation.

PDF report with the most relevant analysis cogently put together after exhaustive qualitative interviews and in-depth market study.

Product mapping in excel for the key product of all major market players

The global corrugated boxes market report would provide access to an approx. 77 market data table, 79 figures and 180 pages.

Target Audience

Manufacturers of Corrugated Boxes

Packaging Companies

Food & Beverage Companies

Supply Chain Businesses

Traders, Distributors and Suppliers of Corrugated Boxes

Investment Firms