Thailand Metal Packaging - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2024 - 2029)

The Thailand Metal Packaging Market size is estimated at USD 1.71 billion in 2024, and is expected to reach USD 2.16 billion by 2029, growing at a CAGR of 4.11% during the forecast period (2024-2029).

Key Highlights

• The metal packaging market is vital to the Thailand packaging industry, offering robust and reliable solutions across various sectors. The study delves into the intricate dynamics of the metal packaging market, categorizing it into two primary segments: the industrial and metal cans markets.
• The Thai metal packaging market demonstrates resilience and growth, driven by diverse factors such as increasing industrial activities, expanding food and beverage consumption, and growing environmental awareness. Industrial metal packaging, including IBCs, bulk containers, drums, and closures, witnesses steady demand from sectors like chemicals, lubricants, and agricultural products due to their durability and protective qualities.
• The metal cans segment is experiencing strong growth in the region, driven by the growing demand for storage cans for packaged food and beverages and aerosol cans for various end-users, including cosmetics, automotive and industrial, paints and varnishes, pharmaceuticals, etc. Adopting sustainable packaging solutions increases the demand for metal packaging, which is recyclable and eco-friendly. Consumer preferences are changing, and regulatory measures favor eco-friendly packaging.
• The Thai metal packaging market will continue to grow, providing new opportunities for innovation and cooperation between industry players worldwide. For instance, Toyo SC Holdings, the Japanese parent company of the specialty chemicals company Toyo Ink Group, announced that, on March 2023, it and its consolidated subsidiary, Toyo Ink Thailand, entered into a share purchase agreement to acquire 100% of Thai Eurocoat, a manufacturer of external paints for nonprinted cans in the Thai canned food market.
• Aluminium is a highly recyclable material. It is almost 100% recyclable with minimal loss. Ann aluminum soda can can can be recycled into a new can of nearly the exact same size. According to Thai Beverage Can Ltd.,nearly 75% of all aluminium produced over the years is still in use. In Thailand, aluminium cans can be recycled more than 90%.
• Metal packaging is facing a lot of competition from other packaging solutions. Materials like plastic packaging solutions are among the alternative packaging options in the industry. Plastic packaging is the main competitor of metal packaging in many industries for large-scale storage and transportation. The food and beverage industry, the primary user of metal cans, has started adopting recyclable plastic packaging solutions. Plastic cans are transparent, which helps brands to show their food's quality. Further, the government's efforts to promote environmentally friendly storage materials limit market growth.

Thailand Metal Packaging Market Trends

Can segment to Hold Significant Market Share

• Cans are perfect for alcoholic beverages like beer, especially those with a hint of foam. The airtight nature of the can makes it ideal for soft drinks, which have a higher acidity level and are pressurized. Carbon dioxide cannot pass through metal than other materials, so the gas concentration can increase over time, providing consumers with a much more “fizzy” experience.
• Companies recognize the immense potential of premium beverage packaging in cans, a trend poised to drive market growth. For instance, the Carabao Group, a significant player in the beverage industry, has entered the beer market with its first product, “Lager,” with 4.9 percent alcohol content. In November 2023, it launched Carabao Beer and Tawan Daeng Beer, two new beer brands in Thailand, in metal cans.
• Further, per the Office of Industrial Economics (Thailand) data, total beer sales in Thailand increased gradually in December 2023 to USD 435.6 million, up from USD 286.7 million in July 2023. With the growing consumption, beer sales also show significant demand, directly impacting the demand for metal cans for packing beer due to its characteristics. These trends collectively contribute to a dynamic and expanding market, offering opportunities for established players and emerging brands in the region.
• As Thailand's personal care and cosmetics sector grows, the need for environmentally friendly packaging has significantly increased. This is because personal care and cosmetic items contain chemicals that can react to sunlight and air, leading to the use of aerosol metal cans for their packaging. As a result, major companies are now launching aerosol cans made from aluminum, particularly for items like hair sprays and deodorants. Moreover, consumers who care about the environment are choosing recyclable packaging that can break down naturally, which is helping to boost the sales of aerosol cans.

Beverage Segment is Expected to Hold a Significant Market Share

• The beverage industry encompasses many drinks, including carbonated soft drinks and juices, coffee and tea, and more. It caters to consumers with changing preferences for refreshing and indulgent beverages. Health and wellness concerns have prompted consumers to look for healthier beverages. Functional drinks such as functional water, sports drinks, vitamins and minerals-fortified drinks, probiotics, and more are rising.
• Further, consumers are becoming more conscious of their sugar consumption and how it affects their health and well-being. With this in mind, there is an increasing demand for sugar-free, natural, organic drinks. The changing landscape of the beverage industry has been one of the driving forces behind the expansion of the can market in beverage packaging.
• Ready-to-drink beverages (RTDs) are one of the latest trends in functional drinks for both established and up-and-coming brands. As more people seek new and innovative ways to enjoy their favorite beverages, RTDs have become the go-to choice for many. Cans are easy to transport, keep drinks cold and fresh longer, and are unbreakable, making them ideal for constantly moving people.
• The purpose of the beverage can is to maintain the freshness of the juice's ingredients. It is also convenient and easy to consume on the go. Cans provide a long shelf life, keep the flavor, and allow consumers to store, stack, and maintain their supply. The fruit juices' sales value increased significantly in Thailand in February 2024. It was USD 57.7 thousand, which increased from USD 44.2 thousand in October 2023, showing the increasing demand for Juice in the region, creating a market for different metal cans.
• Sleek and slim-style cans are more accessible to grip and look good. They also act as a barrier to light and air, which helps keep your energy drinks fresh longer and allows them to cool down faster. These eco-friendly cans are sleek, slim, stackable, lightweight, and 100% infinitely recyclable like all beverage cans. Thus, there is a high demand for energy de=rink cans in the young generation, creating an opportunity for the manufacturers. For instance, in June 2023, TCP Group’s new “refreshment booster” segment launches “Red Bull Energy soda” in can packaging in the region.

Thailand Metal Packaging Industry Overview

The competitive landscape of the Thailand Metal Packaging Market is fragmented, with several players, such as Toyo Seikan Group Holdings, Ltd., Showa Denko K.K. (SDK), Crown Holdings, Inc., Lohakij Rung Charoen Sub Co., Ltd., Thai Beverage Can Ltd., and more. As the market participants spend on R&D, their products become more distinct, and the idea of product differentiation is to gain a competitive edge.

• September 2023 - Thai Beverage Can Ltd. opened the fifth aluminum can production line at the Thai Beverage Can two plant in the WHA Industrial Area. This new production facility can produce aluminum cans and bottles to meet customer demand. Initially, the production will include 500 ml regular cans and DWI (Drawn and wall-ironed) aluminum bottles, which are thinner yet solid and lightweight, available in modern designs of 310 ml and 510 ml sizes.
• July 2023 - With its Twentyby30 sustainability initiative to promote ethical supply chains, Crown Holdings, Inc. has broadened its Aluminium Stewardship Initiative (ASI) certifications across the Asia Pacific. The Thailand Nong Khae and Crown TCP beverage packaging facilities recently received the ASI Performance Standard certification.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

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