Steel Drums Market Outlook
The steel drums market is intended to expand at a moderate pace over the forecast period. The growing trend of reconditioned steel drums is a truly green product that could decrease the packaging costs and help the environment by decreasing the number of materials being dispensed with and virgin materials being utilized.
The uptake of steel drums for the transport of several chemicals is anticipated to upsurge with rapidly growing cross border trade from rising economies. End-users’ attraction for reconditioning of drums, the constant expansion of IBC containers as well as the usage of plastic drums might slow down the expansion of the steel drums market in the upcoming future. Key players of steel drums are expected to enter the reconditioning industry.
Key steel drums players are following the strategy of acquisition along with the development of several reconditioning or production companies, to boost their market impression. For instance,
Mauser packaging solutions acquired by EuroVeneta Fusti (EVF) via joint venture NCG-Maider in Italy. The acquisition will help Mauser to extend its offering of steel drum packaging and plastic industrial packaging in addition to reconditioning IBC services in Italy. From two strategic reconditioning locations, Mira (near Venice) and Villastellone (near Turin), Mauser Packaging Solutions increases its impression to serve the consumer base better for supply and collections of reconditioned packaging. Both sites are outfitted with wash lines for steel drums, HDPE, and reconditioning IBC, in addition to the HDPE plastics recycling.
During the COVID-19 outbreak, certified LGBTBE® suppliers are engaged in extremely valuable relief efforts all over a variety of fields. For instance, Skolnik Industries, a Chicago-based manufacturing company which mainly produces stainless steel container drums helping with their products to use across the country as medical professionals work to advance a COVID-19 vaccine. The company has sold a huge stainless steel drum order which is being utilized to contain products for the development of a COVID-19 vaccine.
Carbon Steel Drums Capture over 90% of Total Sales
Carbon steel easily aligns with the demand for light-weight and durable packaging material, as such, continues to be the material of choice for manufacturing steel drums over the projection period. Despite being a niche category in the manufacturing world, its economical nature is fueling its adoption for transportation of heavy-duty packages. In 2019, carbon steel drums worth around US$ 11 Bn were sold and the number is likely to increase at a steady pace.
East Asia - The Mecca of Market Growth
At present, East Asia is the trade hub for steel drums market, capturing half of total demand, while the adoption in South Asia is soaring at a rapid CAGR of 5.1%. Represented by China and India respectively, the market growth in these developing regions is attributable to swelling chemical and steel production.
Moreover, abundance of raw materials, and cheaper manufacturing processes are influencing manufacturers to shift their production lines to the developing Asia. This study estimates that the Asian steel drums market will register a collective revenue of around US$ 10 Bn by the end of foreseeable timeframe.
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RFID Technology for Cost Cutting and Better Customer Service
Manufacturers are equipping steel drums with various track and trace technologies such as radio-frequency identification (RFID) that automatically identify and record data about the location and availability of steel drums. RFID technology bridges the supply-demand gap that occurs due to delay in supply of steel drums, as well as allow suppliers to validate the availability of steel drums to avoid unnecessary costs of expendable forms of packaging formats. This, in turn, boosts overall efficiency, and improves commercial ties between manufacturers and customers.
How Growth will Unfold
Adoption of steel drums in cargo shipping and freight transportation of chemicals will remain strong going forward through 2029, owing to rising chemical trade activities. Particularly in commodity chemicals, use of steel drums in this end-use category currently accounts for nearly 35% market share and the trend is expected to grow promisingly in the opportune time. On the other hand, manufacturers are also viewing petroleum & lubricants as a lucrative application, despite capturing relatively lesser share in market revenues.
FREQUENTLY ASKED QUESTIONS ABOUT GLOBAL STEEL DRUMS MARKET
What are the key factors accelerating growth of the steel drums market?
Booming chemical industry, increasing cross-border trades, and surging demand for sophisticated containers intended for bulk liquid transportation are the factors supporting the growth of the steel drums market.
Which material will have significant revenue growth in the next five years?
Adoption of carbon steel expected to see a promising growth during the forecast period on grounds of its lightweight, durable, and cost-efficient attributes over stainless steel.
What are the major challenges for the steel drums market?
High cost of steel drums compared to their plastic counterparts, and availability of cost-effective alternatives are hindering the growth of the global steel drums market.
What are future prospects of the steel drums market?
The global steel drums market is envisioned to grow at a moderate pace over the next ten years. The global steel drums market was valued at US$ 10.9 Bn in 2018, and is anticipated to expand 1.4X by 2029.
Which companies are investing significantly in the development of innovative products?
Leading players in the steel drums market include Greif Inc., Mauser Packaging Solutions, and SCHÜTZ GmbH & Co. KGaAm.
Which region is expected to be the lucrative for steel drums market?
East Asia and South Asia are likely to offer high growth prospects for manufacturers of steel drums. Accelerated production of chemicals and steel in the developing countries of the region is boosting the steel drums market.
Steel Drums Market Report Scope
Historical Data Available for
US$ Mn for Value and Mn Units for Volume
Key Regions Covered
North America, Latin America, Europe, Middle East and Africa (MEA), East Asia, South Asia and Oceania
Key Countries Covered
U.S, Canada, Mexico, Brazil, Argentina, Rest of Latin America, Germany, Italy, France, Spain, United Kingdom, Benelux, Russia, Rest of Europe, India, Japan, Indonesia, Malaysia, Singapore, Thailand, Rest of South Asia, Australia, New Zealand, GCC, Turkey, North Africa, South Africa, and Rest of MEA, China, South Korea
Key Segments Covered
Capacity , Head Type, Material, and Region
Key Companies Profiled
Market Overview, Key Market Trends, Key Success Factors, Demand Analysis, Market Background, COVID-19 Analysis, Segmental Analysis, Regional Profiling, Market Structure & Competition Analysis
Customization & Pricing
STEEL DRUMS MARKET TAXONOMY
The global steel drums market is segmented in detail to cover every aspects of the market and present a complete market intelligence approach to readers.
- 55 Gallon
- Other than 55 Gallon
- Tight Head
- Open Head
- Carbon Steel
- Stainless Steel
- Petroleum & Lubricants
- Paints, Inks, & Dyes
- Food & Beverages
- Edible Oil
- Liquid Food Ingredients
- Building & Construction
- Healthcare & Personal Care
- North America
- Latin America
- South Asia
- East Asia