United States Lidding Film Industry Outlook for (2023 to 2033)
Lidding film sales in the United States totaled US$ 721.7 million in 2022 and are set to exhibit Y-o-Y growth of 4.2% in 2023. Over the forecast period, lidding film demand in the United States is predicted to increase at a CAGR of 4.9%.
As per the latest lidding film industry analysis, demand for lidding films in the United States is set to rise steadily. Total revenue in the country is projected to increase from US$ 755.4 million in 2023 to US$ 1,222.3 million by 2033.
The food segment accounted for more than 64% share in value at the end of 2022. With an estimated share of more than 26%, the PE segment leads within the material category.
Attributes
Key Insights
United States Lidding Film Sales in 2022
US$ 721.7 million
Estimated United States Lidding Film Revenue (2023)
US$ 755.4 million
Projected Value (2033)
US$ 1,222.3 million
Value CAGR (2023 to 2033)
4.9%
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Key Highlights
United States Revenue to Expand 1.6X through 2033
Revenue in the United States is expected to expand over 1.6X through 2033, amid a 2.1% increase in estimated CAGR compared to the historical one. This is due to rising demand for packaged food products, growing popularity of flexible packaging, and the escalating need to extend the shelf life of food and pharmaceutical items.
Food Industry to Remain Leading Consumer of Lidding Films
As per the latest report, the United States food sector is projected to remain the leading end user of lidding films during the forecast period. This is attributable to growing demand for ready-to-eat meals, snacks, and other food items and rising emphasis on protecting and extending the life of food items.
The spending on packaged food products and pharmaceuticals is rising significantly across the United States. This is due to changing lifestyles and eating habits, increasing disposable income, and growing incidence of lifestyle diseases. Driven by this, demand for packaging like lidding films is set to rise steadily.
High Barrier Lidding Films to Sweep United States
The high barrier lidding films are expected to remain dominant category despite the rising popularity of dual-ovenable and specialty lidding films. This is attributable to widening usage of these films across diverse industries due to their ability to provide excellent protection to packed content.
High barrier lidding films are versatile and offer optimal protection against moisture and other environmental factors that can degrade pharmaceutical products. This makes them ideal for ensuring the safety and efficacy of food items and pharmaceuticals.
Manufacturers Using Sustainable Materials to Stay Ahead
Leading manufacturers are focusing on using sustainable materials for producing lidding films. For instance, they use renewable resources like plant-based polymers (such as PLA - polylactic acid) and bio-based raw materials derived from agricultural waste to develop biodegradable and compostable films.
Growing popularity of sustainable lidding films is expected to boost revenue in the United States. Adoption of sustainable materials will also help companies to comply with environmental regulations.
Overview of the Lidding Films in the United States
Lidding films are made by extruding a thin layer of plastic material onto a substrate, such as paper or foil. The plastic material can be a variety of different types, such as polyethylene (PE), polypropylene (PP), or polyester (PET).
The substrate provides support and structure to the lidding film and additional properties, such as barrier protection or printability. Lidding films are utilized to package a wide variety of products, including food, pharmaceuticals, and medical devices.
Lidding films can provide packaged items protection, preservation, and tamper-evident features. As a result, they are used in packaging products like dairy items, ready-to-eat meals, and other perishable products.
Rising demand for lidding films from food & beverage, personal care, and pharmaceutical industries is expected to boost sales in the United States. Subsequently, growing focus on extending the shelf life of sensitive food & pharmaceutical items will likely fuel lidding film demand.
Historical Performance vs. United States Lidding Film Industry Analysis
Lidding film sales in the United States grew a CAGR of 2.8% between 2018 and 2022. Total revenue reached US$ 721.7 million in 2022. For the assessment period, a CAGR of 4.9% has been predicted for the United States.
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Historical United States Lidding Film Industry Outlook from 2017 to 2022
Sales of lidding films in the United States increased at a CAGR of around 2.8% during the historic period. Total value at the end of 2022 reached US$ 721.7 million. This was due to several factors, including:
COVID-19 Impact
The COVID-19 pandemic’s impact led to an increased demand for convenience and packaged foods, simultaneously emphasizing food safety. This prompted manufacturers and suppliers, especially the food industry, to use packaging solutions like lidding films.
Manufacturers emphasized providing protective and environmentally friendly packaging options, enabling hassle-free purchasing and consuming food products. Driven by this, sales of lidding films rose at a steady pace between 2018 and 2022.
Rise of E-commerce Platforms
The growing use of e-commerce platforms in the United States also translated into increasing requirements for lidding films. These films witnessed high demand from the food, personal care, and cosmetics industries, and the trend is expected to continue through 2033.
Semi-annual Update
Particular
Value CAGR
H1
5.1% (2022 to 2032)
H2
5.4% (2022 to 2032)
H1
4.5% (2023 to 2033)
H2
4.6% (2023 to 2033)
Lidding Film Sales Forecast in the United States
Lidding film demand in the United States is forecast to thrive at a steady CAGR of 4.9% during the assessment period. According to the latest United States lidding film industry analysis, total revenue in the country is predicted to reach US$ 1,222.3 million by 2033.
Several factors are expected to drive lidding film demand in the United States during the assessment period. These include:
Convenience
Consumer preferences for convenience have prompted a shift towards ready-to-eat and packaged food products. This is necessitating efficient and eco-friendly packaging solutions like sustainable lidding films.
Americans are more concerned when it comes to convenience. Their fast lifestyle creates room for products like ready-to-eat and frozen ones, which require packaging solutions like lidding films.
Convenience will continue to play a critical role in boosting lidding film sales in the United States. The stringent regulations and quality standards in the food sector have also made secure, tamper-evident packaging a necessity, with lidding films providing a reliable solution.
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High Popularity of Online Food Delivery Services
The increasing trend of online food delivery services heightens the need for packaging that preserves freshness and ensures hygienic delivery. This is expected to drive demand for lidding films in the United States food.
Lidding film demand is also increasing due to the popularity of grocery shopping across the country and the growing emphasis on consumer convenience. Americans are showing a keen inclination towards purchasing products for online groceries.
Online grocery shopping is experiencing sustained growth and significant investments from several stakeholders. For instance, in December 2021, the U.S. Department of Agriculture (USDA) announced a $5 million grant to expand the SNAP online grocery shopping platform. This will create growth opportunities for manufacturers of lidding films.
Growing Usage in Non-food Industries:
Industries like pharmaceutical and personal care are also witnessing growing demand for packaging films owing to stringent compliance and hygiene requirements. The versatility and cost-effectiveness of such films also encourage their adoption in a wide range of non-food industries.
Key United States Lidding Film Trends and Drivers
Rising demand for packaged food products due to changing lifestyles and increasing incomes is expected to boost sales in the United States
Growing focus on protecting food and pharmaceutical products as well as extending their shelf life is set to uplift lidding film demand
Development of sustainable and eco-friendly lidding films will create future prospects for lidding films in the United States
Growth of e-commerce is anticipated to create opportunities for lidding film manufacturers
Increasing consumer preference for convenient packaging solutions is likely to fuel demand for lidding films
Rising awareness about food safety and hygiene will create opportunities for lidding film manufacturers in the United States
Challenges Faced by Lidding Film Manufacturers in the United States
Difficulty in recycling and redesigning multilayer lidding films could hamper growth
Fluctuation in raw material prices is also negatively impacting lidding film sales
Comparative View of Adjacent United States Lidding Film Businesses
The United States lidding film business is likely to be impacted by the tangential or peer businesses in the packaging sector. These include other businesses like breathable lidding film packaging and functional films.
Analysis of these related industries can provide deeper insights that may be helpful for developing unique differentiating strategies to pursue for growth and opportunity. For instance, increasing demand for breathable lidding films in the country will eventually create prospects for lidding film companies.
United States Lidding Film Industry Outlook:
Attributes
United States Lidding Film Industry Outlook
CAGR (2023 to 2033)
4.9%
Estimated Value (2023)
US$ 755.4 million
Growth Factor
Rising need for protecting and extending shelf life of food and pharmaceutical products is a prominent factor driving demand for lidding films in the United States.
Key Trend
Ongoing technological advancements and product innovation in lidding films are key lidding film trends in the United States impacting growth.
Breathable Lidding Film Packaging Sales:
Attributes
Breathable Lidding Film Packaging Sales Forecast
CAGR (2023 to 2033)
7.2%
Estimated Value (2023)
US$ 598.82 million
Growth Factor
The need for making fresh produce last long is the key driver for the sales of breathable lidding film packaging.
Key Trend
Rapid growth of e-commerce and online retailing, increasing consumer demand for product safety and protection, and growth in international trade and globalization are expected to fuel demand.
Functional Film Demand Outlook:
Attributes
Functional Film Demand Outlook
CAGR (2023 to 2033)
7.2%
Estimated Value (2023)
US$ 2,7090.1 million
Growth Factor
Growing demand for touchscreens in everyday activities, such as residences, supermarkets, autos, and restaurants, is driving need for improved functional films.
Key Trend
New product developments with enhanced features are expected to boost revenue.
Category-wise Insights
The below section highlights the prediction for the high barrier lidding films segment, which is expected to hold a prominent share based on product type. It is poised to exhibit a CAGR of 4.1% through 2033.
Based on material type, PE segment is expected to lead the United States. It will likely progress at 4.8% CAGR during the assessment period.
Excellent Product Protection Make High Barrier Lidding Films Popular
Top Segments (Product)
Projected Value (2033)
High Barrier Lidding Films
US$ 449.08 million
Dual-ovenable Lidding Films
US$ 317.80 million
Based on the product, the high barrier lidding films segment is anticipated to hold around 36.7% share by the end of 2033. This is owing to rising usage of high barriers lidding films in the thriving pharmaceutical industry in the United States.
High barrier lidding films provide appropriate protection against moisture, oxygen, and other environmental factors that can degrade pharmaceutical products. This makes them essential for ensuring the safety and efficacy of these products.
High-barrier lidding films also meet the stringent regulations imposed by the U.S. Food and Drug Administration (US FDA), further pushing their demand upwards. Hence, growing adoption of high barrier lidding films to package pharmaceutical products like tablets, capsules, and liquids will drive their sales through 2033.
Rising demand for high barrier packaging films from the food industry will further boost the target segment. As per the latest American lidding film industry analysis, high barrier lidding films segment is set to thrive at 4.1% CAGR, totaling a valuation of US$ 449.08 million by 2033.
Dual-ovenable lidding films are also expected to witness high demand due to increasing usage in the food & beverage industry. These films are widely used to package prepared meals, frozen foods, and other products that require to be heated in a microwave or oven.
Dual-ovenable lidding film demand will likely rise at 5.9% CAGR during the forecast period. The target segment is predicted to total a valuation of US$ 317.80 million by 2033.
Attractive Features Offered by PE Making it Highly Preferred Material Type
Material Type
PE
Predicted Value (2033)
US$ 321.5 million
Lidding films are generally made from materials liek PE, PET, PP, PVC, polyamide, EVOH, aluminum, and others. Among these, polyethylene (PE) remains the most preferred material used by manufacturers for producing lidding films.
The PE segment is poised to exhibit a CAGR of 4.8% during the forecast period, totaling a valuation of US$ 321.5 million by 2033. This is due to excellent barrier properties, flexibility, cost-effectiveness, transparency, and good heat sealability of PE.
PE lidding films offer several advantages, including excellent barrier protection and versatility. Polyethylene prices in the United States have remained low since last year, making them one of the most cost-effective raw materials for manufacturing lidding films.
PE lidding films are used for packaging a wide range of food products, including fresh produce, frozen foods, dairy products, meat & poultry, etc. They also find applications across industries like pharmaceuticals.
The EVOH segment, however, is poised to witness a higher CAGR of 6.8% over the forecast period. The demand for EVOH or Ethylene Vinyl Alcohol is rising owing to its transparency and chemical resistance properties.
EVOH-based lidding films have grown popular in the food industry for packaging oxygen-sensitive products such as meat and cheese. This high usage of EVOH lidding films in the food industry will improve share of the target segment.
Competitive Landscape
The United States landscape is highly competitive, with several key players holding a dominant share. Prominent lidding film companies in the United States include Amcor Plc, Sonoco Product Company, Berry Global, Inc., and Mondi PLC.
Key manufacturers of lidding films in the United States are concentrating on increasing their production capacity to meet the increasing end user demand. They are exploring alternative packaging materials and designs to reduce environmental impact. Besides this, companies are adopting strategies like acquisitions, mergers, partnerships, and facility expansions to strengthen their presence.
Recent Developments:
In February 2023, the launch of a line of extended shelf-life refrigerated meals was announced by Preferred Packaging.
In January 2022, Sonoco Products Company further enhanced its food packaging portfolio through the acquisition of Ball MetalPack, a leading manufacturer of metal food and household packaging.
Scope of Report
Attribute
Details
Estimated Value (2023)
US$ 755.4 million
Projected Size (2033)
US$ 1,222.3 million
Anticipated Growth Rate (2023 to 2033)
4.9% CAGR
Historical Data
2018 to 2022
Forecast Period
2023 to 2033
Quantitative Metric Tonnes
Revenue in US$ Million, Volume in Metric Tonnes and CAGR from 2023 to 2033
