Caps and Closures Market - By Material (Plastic, Metal, Rubber, Cork, Glass, and Others), By Closure Size (Less than 25mm, 25mm to 49mm, 50mm to 69mm, 70mm to 99mm, 100mm & above), By End Use & Forecast 2024 – 2032

Caps and Closures Market Size

Caps and Closures Market was valued at USD 74 billion in 2023 and is anticipated to register a CAGR of 4.8% between 2024 and 2032. The market is rapidly evolving, driven by the confluence of factors such as the development of the packaging industry, increasing industrial activities, growing population, and rapid urbanization.  
 

The packaging industry is experiencing a surge due to the rising demand for a diverse range of food products, as well as alcoholic and non-alcoholic beverages. Caps and closures play a crucial role by serving as barriers that protect packaged contents from exposure to ambient air and contaminants while facilitating easy dispensing. These packaging solutions are extensively used in various other industries including healthcare, personal care, home care, and automotive. For instance, Kraft Heinz uses resealable caps on ketchup bottles to ensure product freshness after opening, while Mondelez International utilizes easy-open caps on cheese slices for convenient consumption.
 

Furthermore, the increasing demand for caps and closures is closely tied to the rapid urbanization in the U.S. Urban consumers tend to prefer packaging solutions that offer convenience and are well-suited for on-the-go consumption of food & beverages. According to the UN, the world's urban population is expected to reach 68% by 2050. In the U.S., the Brookings Institution reported that over 80% of the population already resides in metropolitan areas. Fast-paced urban lifestyles necessitate portability. Caps and closures are essential in providing this convenience, ensuring easy opening and closing of products while preventing spills. Additionally, they create an airtight seal that maintains product freshness by preventing the entry of bacteria, addressing the growing concerns about safety and hygiene in food & beverage products, and reducing spoilage.
 

The volatility of raw material prices is a major concern for caps and closures manufacturers. Polymers, such as polypropylene (PP) and polyethylene (PE), the backbone of plastic caps and closures, are susceptible to price swings due to factors including oil price fluctuations and supply chain disruptions. According to Platts, a leading energy and commodities information provider, polypropylene prices fluctuated significantly in 2023, reaching a peak of over USD 2,000 per metric ton in March but then dipping to around USD 1,200 per metric ton in June. This volatility made cost planning challenging for manufacturers. Sourcing raw materials from multiple suppliers in different geographic regions can help mitigate risks. If prices rise in one region, manufacturers might be able to secure better deals elsewhere.
 

Caps and Closures Market Trends

Consumers are increasingly concerned about environmental impact, driving the demand for sustainable packaging solutions. This implies a rise in the use of bioplastics and recycled materials in caps and closures, which offer a more sustainable alternative to traditional plastics, potentially reducing reliance on fossil fuels and greenhouse gas emissions. According to credible sources, the global bioplastics market is expected to reach USD 48.51 billion by 2027. This indicates a shift toward the usage of eco-friendly materials. For instance, the Coca-Cola Company has pledged to use 100% recycled or renewable materials in its packaging by 2030. It is piloting bioplastic caps made from sugarcane derivatives on some of its bottled water products.
 

Busy lifestyles and on-the-go consumption are driving a significant trend in the caps and closures market: a focus on user-friendly features that enhance convenience and functionality. A report by the Bureau of Labor Statistics revealed that in 2022, an average American worked 47.8 hours per week. With limited time for meal preparation and household chores, consumers are increasingly reliant on convenient, single serve packaged food & beverages. This shift in consumer behavior necessitates packaging that caters to quick consumption and easy handling. Therefore, manufacturers have responded by introducing caps, which have single-hand opening mechanisms, such as twist caps, flip-tops, and pull tabs, to make accessing products effortless.
 

Furthermore, the integration of smart and interactive features into caps and closures is gaining traction. These closures become gateways to a wealth of information and functionalities and have enhanced consumer engagement with the incorporation of features such as QR codes, Near Field Communication (NFC) tags, and even microchips. Scannable codes can link users to detailed information about the product, ingredients, nutritional value, or even recipes in the case of food items. Companies can offer loyalty programs, promotions, or Augmented Reality (AR) experiences through these features. QR codes or NFC tags can be used to verify product authenticity and combat counterfeiting.
 

Smart closures can be embedded with sensors that monitor temperature, pressure, or even location during transportation and storage. This data can optimize logistics and ensure product quality. Also, the engagement data from QR code scans or app interactions can provide valuable insights into consumer behavior and preferences. For instance, Tetra Pak has introduced connected packaging technology that transforms caps and closures into data carriers. The QR codes on caps can be scanned by consumers to access detailed product information and verify authenticity.
 

Caps and Closures Market Analysis

Based on material type, the market is segmented into plastic, metal, rubber, cork, glass, and others. The plastic segment dominated the market in 2023, generating a revenue exceeding USD 33.4 billion, and is expected to reach USD 51.6 billion by 2032. This dominance can be attributed to the functionality and cost-effectiveness of plastics. Plastic closures can be designed to create airtight and leak-proof seals, crucial for preserving product integrity and preventing spoilage. Certain types of plastics, such as Low-density Polyethylene (LDPE) or High-density Polyethylene (HDPE), offer good barrier properties. This means they have a low permeability to gases and liquids, preventing air and moisture from entering the package.
 

Additives, such as plasticizers or elastomers, can be incorporated into the plastic to enhance flexibility and create a tighter seal against the container's rim. Plastic bottles with screw-on caps often utilize a combination of HDPE plastic, LDPE liners, and tamper-evident rings to create a seal that prevents leaks and keeps beverages fresh. For instance, The Coca-Cola Company primarily uses HDPE for its plastic bottle bodies. HDPE offers good strength, clarity, and barrier properties, making it suitable for containing carbonated beverages. Furthermore, the dominance of plastic in the caps and closures market can be attributed in large part to its significant cost advantage over alternative materials such as metal or glass. Plastic resins, particularly those used for caps and closures, such as HDPE and Polypropylene (PP), are generally cheaper to produce compared to raw materials for metal or glass. This translates into lower upfront costs for manufacturers.
 

For instance, Nestle’s instant coffee containers often incorporate plastic lids with resealable features. Plastic allows them to offer this functionality at a lower cost compared to metal lids, which could potentially increase the price of their product.
 

Based on closure size, the market is classified into less than 25mm, 25mm to 49mm, 50mm to 69mm, 70mm to 99mm, and 100mm & above. The less than 25mm closure segment dominated the market in 2023, with revenue exceeding USD 22.6 billion, and is expected to reach USD 37.1 billion by 2032. This dominance can be attributed to a confluence of factors that prioritize portion control and convenience. Single-serve beverages, snacks, and personal care items are often packaged in containers less than 25mm in diameter. Closures that match this size are ideal for these products, maintaining a proportional and user-friendly design. Smaller portions cater to individuals with specific dietary needs such as calorie counting or portion control for weight management. They also allow for variety in one's diet by enabling the consumption of multiple single-serve items with different ingredients. Smaller closures with single-serve portions help consumers manage their intake and reduce the likelihood of leftover food spoiling.
 

Small packages with closures less than 25mm easily fit into handbags, backpacks, or gym bags for easy access to snacks or beverages throughout the day. Single-serve packets with small closures are ideal for travel, allowing for portion control and avoiding the need for bulky full-sized containers. For instance, a travel-sized bottle of hand sanitizer with a small flip-top cap is more portable than a large pump dispenser bottle. Companies, such as L'Oreal and Procter & Gamble, have introduced travel-sized bottles of shampoo, lotion, or hand sanitizer that typically have closures under 25mm, ideal for portability and controlled application.
 

Based on end use, the market is categorized into pharmaceutical, household goods, food & beverages, cosmetics, and others. In 2023, the food & beverages segment emerged dominant, accounting for a substantial revenue of USD 22.5 billion, and is expected to reach USD 35.9 billion by 2032. This dominance can be attributed to several factors including the increased focus on hygiene and contaminant control in the food & beverage industry. The food & beverage industry manufactures vast quantities of products to cater to a global consumer base. This includes bottled water, soft drinks, juices, dairy products, condiments, and snacks.
 

According to credible sources, the global food market size is projected to reach USD 8.3 trillion by 2027. Due to the high volume, F&B companies leverage economies of scale to produce caps and closures at a lower cost per unit. This allows them to maintain competitive pricing while ensuring product safety and functionality. Single-serve options help consumers manage calorie intake or cater to specific dietary needs. Smaller packages with closures less than 25mm fit easily into bags, purses, or lunchboxes for on-the-go consumption. Therefore, food & beverage manufacturers require a constant supply of cost-effective, functional closures to meet the demand for their single-serve offerings.
 

North America emerged as the dominant region, generating a substantial revenue of USD 25.3 billion, and is expected to reach USD 35 billion by 2032. The surge of caps and closures in North America can be attributed to a confluence of factors that resonate strongly with the evolving needs and priorities of regional consumers. North America has a large and affluent population with high disposable income.
 

According to the Organization for Economic Co-operation and Development, the average disposable income in the U.S. in 2021 was USD 44,814. This translates into a significant demand for packaged goods, requiring a vast number of caps and closures. A large and affluent population creates a high demand for packaged food & beverages, in turn, necessitating a vast quantity of caps and closures for bottling, cartoning, and other packaging formats. According to the American Beverage Association, bottled water consumption in the U.S. alone reached 140.3 billion gallons in 2022. Each gallon of bottled water requires a cap or closure, highlighting the volume associated with a single product category.
 

North America: The U.S. dominated the North America caps and closures market with a revenue of around USD 20.2 billion in 2023 and expected to reach around USD 27.3 billion by 2032. It is a leader in e-commerce, and according to credible sources online sales are projected to reach USD 1.4 trillion by 2025. Caps and closures that can withstand transportation and delivery are needed to ensure product integrity for online purchases. Consumers increasingly turn to online platforms for purchasing a wide range of products including food, beverages, cosmetics, and household goods. This directly impacts the demand for caps and closures used in packaging these products for e-commerce processes.
 

Europe: Germany led the Europe caps and closures market with a revenue of around USD 4.4 billion in 2023 and is expected to reach around USD 6.4 billion by 2032, growing at a CAGR of 4.2%. Germany is the economic powerhouse of Europe, with a strong focus on innovation and manufacturing excellence. This translates to a well-developed caps and closures industry within Germany. The country is a major exporter of various goods including packaged food & beverages. This necessitates a high volume of caps and closures for their products.
 

Asia Pacific: China spearheaded the Asia Pacific caps and closures market with a revenue of around USD 3.8 billion in 2023 and is expected to reach around USD 6.5 billion by 2032. The country's rapid e-commerce sector is experiencing phenomenal growth, and this has significant implications for the caps and closures market. According to Statista, China's e-commerce sales are projected to reach USD 7.2 trillion by 2025, solidifying its position as the world's leading e-commerce market. The massive volume of e-commerce shipments translates into a high demand for caps and closures that can effectively seal and protect products during transportation. A study by the China E-commerce packaging committee suggests that product damage during domestic e-commerce deliveries can range from 2% to 8%. Therefore, caps and closures need to be robust enough to withstand the rigors of China's complex e-commerce fulfillment process, which might involve multiple handling points, long-distance travel, and potential variations in storage conditions.
 

Caps and Closures Market Share

The global caps and closures market is fragmented, with prominent players, such as Amcor plc, Crown Holdings Inc, AptarGroup Inc., Berry Global Group Inc, and Silgan Holdings Inc, holding a market share of 20-30%. Manufacturers are adopting strategic steps, such as mergers, acquisitions, partnerships, and collaboration, to consolidate their position in the market. For instance, in July 2022, Berry Global Group Inc, acquired Promens' plastics division for around USD 90 million to expand in reusable plastic crate and pallet solutions.
 

Caps and Closures Market Companies

Major players operating in the caps and closures industry include:

• Amcor plc
• Crown Holdings Inc
• AptarGroup Inc.
• Berry Global Group Inc
• Silgan Holdings Inc
• RPC Group Plc
• Reynolds Group Holdings Limited
• Closure Systems International Inc
• Guala Closures Group
• Bericap GmbH & Co. KG
• O.Berk Company, LLC
• ALPLA Werke Alwin Lehner GmbH & Co KG
• Comar, LLC
• Pact Group Holdings Ltd.
• TriMas Corporation (Rieke Packaging Systems)
   

Caps and Closures Industry News

• In April 2023, AptarGroup acquired Closer Packaging Solutions, a manufacturer of closures and dispensing solutions for the beauty, personal care, and home care markets
   
• In January 2023, Berry Global Group, Inc., a leading supplier of caps and closures, acquired Seal for Life, a Dutch manufacturer of sustainable closures for the food & beverage industry. The acquisition enhanced Berry's closures capabilities and expanded its product offerings.
   
• In September 2022, Silgan Holdings Inc., a leading supplier of rigid packaging solutions, announced a strategic investment in Closure Systems International (CSI), a manufacturer of plastic closures and capping equipment. The investment aimed to strengthen Silgan's position in the caps and closures market.
   
• In July 2022, Crown Holdings, Inc., a leading supplier of metal packaging products, introduced a new line of premium closures for the wine and spirits’ market. The closures, designed for both glass and aluminum bottles, offer enhanced functionality and premium aesthetics to meet the growing demand for innovative packaging solutions in the beverage industry.
   

The caps and closures market research report includes in-depth coverage of the industry, with estimates & forecast in terms of revenue (USD Billion) and volume (Million Units) from 2018 to 2032, for the following segments:

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Market, By Material

• Plastic
• Metal
• Rubber
• Cork
• Glass
• Others

Market, By Closure Size

• Less than 25mm
• 25mm to 49mm
• 50mm to 69mm
• 70mm to 99mm
• 100mm and above

Market, By End Use

• Pharmaceutical
• Household goods
• Food & beverages
• Cosmetics
• Others

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada 
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Malaysia
  • Indonesia
  • Rest of Asia Pacific 
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America 
• MEA
  • Saudi Arabia
  • UAE
  • South Africa
  • Rest of MEA