Featuring up-to-the-minute data on global and regional volumes; market structure; raw material trends; market characteristics by substrate; and projected future growth, the report forecasts growth in global production in the short- to medium-term at between 4-5%. Regional differences are, however, noted and documented.
Today, the Asian region is the key driver, as its countries – particularly China – continue to develop packaging sophistication to meet increased consumer buying power. There is now significant demand for flexible packaging, which is complementing continuing interest in labeled premium products. Growth in metalized papers and boards – essentially focused on transfer metalizing – also remains relatively strong, driven by cigarette packaging and by exports of materials such as holographic giftwrap and label papers. China and India are major producers and exporters of vacuum metalized materials, both for domestic regional use and for low-cost exports to North America and Europe.
In South America, the economic instability of recent years has led to major GDP growth declines, but GDP is now expected to recover at a rate of 1.6% in 2017 to 2.6% in 2019, with healthy 2016 growth in vacuum-coated products fed by continuing investment in vacuum coating technologies and end-use markets.
Africa and the Middle East offer considerable potential for further development – currently frustrated by local economic and political considerations, except in the major, more developed label markets of Israel and South Africa.
The markets in North America and Europe are certainly maturing. In 2016, they grew respectively by 3% and 2%. In both markets, metalized paper is experiencing serious competition from alternative materials and packaging styles. Metalized film growth is, however, healthy, with developments in higher-value-added coatings and coating combinations. Turkey is now a strong producer of metalized films – especially OPP – and a key supplier to the wider European market and for exports to USA.
In North America, there is a particular trend toward the use of vacuum coated films in technical applications such as aerospace, window films, and security, as well as in flexible packaging. Metalized papers remain focused on labels, and both North America and Europe are experiencing a slowdown in the production of metalized paper for giftwrapping.
Overall, the AWA Vacuum Coated & Metallized Products Market Review 2017 documents the fact that vacuum coating and metalizing remains a growing technology choice around the world, with plenty of future opportunities for new applications. Full details are available via the AWA Alexander Watson Associates website, where the report may also be ordered online.