Kraft Paper

Global Kraft Paper Market to Reach US$23.1 Billion by 2030

The global market for Kraft Paper estimated at US$18.6 Billion in the year 2024, is expected to reach US$23.1 Billion by 2030, growing at a CAGR of 3.7% over the analysis period 2024-2030. Corrugated Boxes, one of the segments analyzed in the report, is expected to record a 4.2% CAGR and reach US$7.9 Billion by the end of the analysis period. Growth in the Grocery Bags segment is estimated at 3.6% CAGR over the analysis period.

The U.S. Market is Estimated at US$4.9 Billion While China is Forecast to Grow at 5.8% CAGR

The Kraft Paper market in the U.S. is estimated at US$4.9 Billion in the year 2024. China, the world`s second largest economy, is forecast to reach a projected market size of US$4.8 Billion by the year 2030 trailing a CAGR of 5.8% over the analysis period 2024-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 2.4% and 3.1% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 2.8% CAGR.

Global Kraft Paper Market - Key Trends and Drivers Summarized

How Is the Kraft Paper Market Evolving with Sustainable Packaging Demand?

Kraft paper, known for its durability and high tear resistance, is a staple in the packaging industry, especially in applications requiring eco-friendly and recyclable materials. As global awareness of environmental issues continues to rise, companies across various sectors are transitioning from plastic-based packaging to biodegradable alternatives like kraft paper. This shift has opened new avenues for kraft paper in sectors such as food and beverage, e-commerce, and retail. Kraft paper’s versatile nature, being used in everything from shopping bags to food wrappers, is also expanding its market reach. The demand for kraft paper is being further fueled by regulatory pressures and consumer preference for sustainable packaging options.

What Innovations Are Shaping the Kraft Paper Industry?

Technological advancements in paper production and processing have led to innovations in kraft paper manufacturing, improving the strength, texture, and barrier properties of the material. Enhanced pulping processes allow manufacturers to produce kraft paper that is not only stronger but also lighter, reducing transportation costs and the carbon footprint of products. The development of wet-strength kraft paper, which maintains its durability even when exposed to moisture, has expanded its applications, particularly in food packaging. Additionally, manufacturers are exploring ways to incorporate recycled content into kraft paper products without compromising quality, further bolstering the eco-friendly appeal of this material.

How Do Market Segments Define the Growth of Kraft Paper?

Grades include bleached and unbleached kraft paper, with unbleached kraft paper dominating the market due to its superior strength and lower environmental impact. Applications of kraft paper span across industrial packaging, food packaging, and consumer goods, with food packaging being the largest segment as the demand for sustainable materials in the food industry rises. End-use industries such as food and beverage, retail, and construction are key drivers of kraft paper consumption, with the e-commerce sector playing a particularly significant role due to the rising demand for recyclable and durable packaging solutions.

What Factors Are Driving the Growth in the Kraft Paper Market?

The growth in the kraft paper market is driven by several factors, including increasing environmental concerns, regulatory bans on plastic packaging, and the growing e-commerce industry. As governments worldwide enforce stricter regulations on single-use plastics, companies are turning to kraft paper as a sustainable alternative. The rise of online shopping has also amplified the demand for durable and recyclable packaging materials, further driving kraft paper adoption. Additionally, the food and beverage sector is increasingly utilizing kraft paper for packaging due to its biodegradable nature and ability to preserve product freshness. Innovations in manufacturing processes, which enhance the strength and recyclability of kraft paper, are also contributing to market growth.

SCOPE OF STUDY:

The report analyzes the Kraft Paper market in terms of units by the following Segments, and Geographic Regions/Countries:

Segments:
Form (Corrugated Boxes, Grocery Bags, Industrial Bags, Wraps, Other Forms); Application (Food & Beverage, Cosmetics & Personal Care, Pharmaceuticals, Building & Construction, Other Applications)

Geographic Regions/Countries:
World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.

Select Competitors (Total 42 Featured) -

• Canadian Kraft Paper Industries Ltd.
• Canfor Corporation
• CTI Paper Group Company
• DS Smith Plc.
• French Paper Co.
• Genus Paper & Boards Limited
• International Paper Compan
• Mondi Group Plc.
• Natron-Hayat d.o.o
• Pudumjee Paper Products
• WestRock Company

TARIFF IMPACT FACTOR

Our new release incorporates impact of tariffs on geographical markets as we predict a shift in competitiveness of companies based on HQ country, manufacturing base, exports and imports (finished goods and OEM). This intricate and multifaceted market reality will impact competitors by artificially increasing the COGS, reducing profitability, reconfiguring supply chains, amongst other micro and macro market dynamics.

We are diligently following expert opinions of leading Chief Economists (14,949), Think Tanks (62), Trade & Industry bodies (171) worldwide, as they assess impact and address new market realities for their ecosystems. Experts and economists from every major country are tracked for their opinions on tariffs and how they will impact their countries.

We expect this chaos to play out over the next 2-3 months and a new world order is established with more clarity. We are tracking these developments on a real time basis.

As we release this report, U.S. Trade Representatives are pushing their counterparts in 183 countries for an early closure to bilateral tariff negotiations. Most of the major trading partners also have initiated trade agreements with other key trading nations, outside of those in the works with the United States. We are tracking such secondary fallouts as supply chains shift.

To our valued clients, we say, we have your back. We will present a simplified market reassessment by incorporating these changes!

APRIL 2025: NEGOTIATION PHASE

Our April release addresses the impact of tariffs on the overall global market and presents market adjustments by geography. Our trajectories are based on historic data and evolving market impacting factors.

JULY 2025 FINAL TARIFF RESET

Complimentary Update: Our clients will also receive a complimentary update in July after a final reset is announced between nations. The final updated version incorporates clearly defined Tariff Impact Analyses.

Reciprocal and Bilateral Trade & Tariff Impact Analyses:

USA
CHINA
MEXICO
CANADA
EU
JAPAN
INDIA
176 OTHER COUNTRIES.

Leading Economists - Our knowledge base tracks 14,949 economists including a select group of most influential Chief Economists of nations, think tanks, trade and industry bodies, big enterprises, and domain experts who are sharing views on the fallout of this unprecedented paradigm shift in the global econometric landscape. Most of our 16,491+ reports have incorporated this two-stage release schedule based on milestones.

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