Beverage Can Market Trends and Forecast
The future of the global beverage can market looks promising with opportunities in the carbonated soft drink, alcoholic beverage, and fruit & vegetable juice markets. The global beverage can market is expected to grow with a CAGR of 1.8% from 2025 to 2031. The major drivers for this market are the increasing demand for sustainable packaging, the growing popularity of ready-to-drink beverages, and the rising consumer preference for convenience.
• Lucintel forecasts that, within the type category, aluminum is expected to witness higher growth over the forecast period.
• Within the application category, carbonated soft drink is expected to witness the highest growth.
• In terms of region, APAC is expected to witness the highest growth over the forecast period.
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Emerging Trends in the Beverage Can Market
The can market for beverages is undergoing a revolutionary period fueled by a combination of changing consumer sentiments, growing environmental awareness, and far-reaching technology developments. As sustainability becomes the top priority in all industries, beverage cans gain increasing popularity due to their inherent recyclability and streamlined efficiency. This transition is not merely shaping manufacturing processes, but also motivating new designs and uses, thus broadening the market‘s penetration into new and diverse categories of beverages. The sector is working to respond to these forces by innovating along the value chain.
• Circular Economy and Sustainable Packaging: This is a key trend, as environmental issues propel requirements for packaging with minimal ecological impact. Beverage cans, especially aluminum cans, are strongly recyclable, reducing substantially waste and carbon emissions relative to some other options. The emphasis is on maximizing recycled content, enhancing collection and sorting infrastructure, and developing a genuinely circular economy in which materials are recycled endlessly, which is attractive to green consumers and addresses regulatory needs.
• Premiumization and Craft Drinks: The can for beverages is gaining wider acceptance among premium and craft drink categories such as craft beer, artisanal ciders, sparkling wines, and ready-to-drink (RTD) cocktails. This is due to the can providing protection of product quality, portability, as well as the make-up and creative possibilities presented by its printable surface. Brands use the uniqueness in can size, matte finishes, and intricate designs to send across the premium image to appeal to high-paying consumers willing to spend more for quality and aesthetics.
• Manufacturing Technology Advancements: Can manufacturing innovation is resulting in lighter, stronger, and more efficient production. This involves developments in lightweighting technologies that minimize the volume of metal for each can, specialized coatings that maximize product preservation and eliminate flavor interaction, and high-speed digital printing capabilities for individualized designs. Such technological advancements result in cost-effectiveness, sustainability, and increased flexibility for beverage companies in their packaging options.
• Entry into New Beverage Categories: Traditionally controlled by beer and soft drinks, beverage cans are quickly entering into a wider range of categories. These include bottled water, juice, iced teas, coffee, energy drinks, and functional beverages. The convenience, portability, and protective nature of cans present these expanding categories with an attractive option that fits the on-the-move lifestyles of consumers today and offers extended shelf life.
• Smart Packaging and Connectivity: The incorporation of smart technology in beverage cans is a developing trend. This entails options such as QR codes, NFC tags, or even temperature-sensitive inks that can offer consumers information on the product‘s source, nutritional content, or best serving temperature. This increases consumer interaction, openness, and traceability along the supply chain, value above containment, and promotes an interactive brand experience.
These new trends are deeply transforming the beverage can industry by repositioning cans as a convenient, sustainable, and technologically advanced packaging medium. The focus on recyclability, premium visual appeal, and use in an expanding scope of beverage categories is fueling innovation and encouraging manufacturers to implement more efficient and environmentally friendly practices. This transformation guarantees the ongoing popularity and expansion of beverage cans in a rapidly changing global marketplace.
Recent Development in the Beverage Can Market
The beverage can industry has seen a number of notable developments in recent times, driven by changing customer behavior, increased world-wide concern for the environment, and ongoing technological innovation. A once-mainstay option for carbonated beverages like soft drinks and beer, the beverage can is diversifying its uses, taking up new categories of beverages, and changing in design and manufacture. These trends reflect the industry‘s sensitivity to environmental necessity and its desire to keep up with the varied expectations of a contemporary, convenience-oriented consumer market.
• Growing Use of Aluminum Cans for Novelty Drinks: One of the developments is the growing use of aluminum cans for drinks other than the classic soft drinks and beer. This comprises a significant increase in demand from the sparkling water, craft beer, hard seltzer, ready-to-drink coffee and tea, and even wine and spirits segments. Aluminum is fueled by its limitless recyclability, light weight, and the fact that it keeps product fresh and tasting good, making it a desirable packaging option for more segments of beverages.
• Lightweighting and Material Minimization: The producers are continually working on reducing the amount of aluminum or steel employed per can without sacrificing structural strength. Such a "lightweighting" innovation has huge environmental and economic benefits. It minimizes the use of raw materials, decreases transportation expenses due to reduced weight, and lowers the production and logistics carbon footprint. Such innovation is paramount for achieving sustainability and remaining competitive.
• Innovative Printing and Decorative Technologies: New technologies have provided advanced printing methods and decorative coatings that enable more detailed and visually striking can designs. High-resolution images, tactile coatings, matte or glossy finishes, and even thermochromic inks (which adjust their color in response to temperature) are increasingly used. This allows brands to develop unique packaging that differentiates itself on shelves, communicates brand identity, and delivers a premium look, driving consumers and aiding marketing initiatives.
• Expansion in Circular Economy and Recycled Content Programs: The canning industry is investing significantly in driving more recycled content into new cans and developing strong recycling infrastructures to enable a circular economy. This is an important development for the environment, as recycling aluminum takes so much less energy than producing it from raw materials. Industry partnerships, public education campaigns, and deposit-return systems are on the rise to improve collection rates and close the loop on material use.
• Capacity Expansions: Major can manufacturers have been making large investments to expand their production capacities across various beverage segments and regions. The strategies involve building new plants, adding lines, or upgrading existing facilities. This expansion helps relieve supply chain pressures, deliver products on time to the beverage companies, and strengthen the beverage can market‘s growth platform in terms of volume demand.
These new trends are collectively driving the beverage can industry by cementing its status as a very sustainable and flexible packaging option. Emphasis on new liquid categories, lightweighting, sophisticated design, and strong recycling programs is fueling high investment and innovation, making beverage cans a popular and environmentally friendly choice for consumers and brands across the globe.
Strategic Growth Opportunities in the Beverage Can Market
The beverage can market is full of strategic opportunities for growth through varied applications, well beyond its historical strongholds. With lifestyle changes among consumers and sustainability taking center stage, specialized can solutions are fast becoming differentiators of importance. Identifying and leveraging these particular areas of application enables manufacturers and beverage companies to access new revenue streams, meet subtle demands from consumers, and reinforce market positions. The emphasis is on novel packaging that addresses functional demands but provides increased consumer appeal and environmental advantages.
• Growth in Non-Alcoholic RTD Drinks: The rapid growth in ready-to-drink (RTD) non-alcoholic drinks, such as premium bottled water, sparkling waters, functional drinks (e.g., with vitamins, probiotics), iced teas, and coffees, is a strong growth opportunity. Cans provide superior light protection and oxygen, keeping the drink fresh and flavorful, with good portability and chilling capabilities. Strategic collaborations with start-ups and established brands in these spaces can open up sizeable market share.
• Seizing Growth in Artisanal and Craft Alcoholic Drinks: The craft beer, hard seltzer, and artisanal spirits categories are all growing fast, and most of these brands are opting for cans as their primary package. Cans provide greater light and oxygen protection, which breaks down sensitive craft drink flavors, yet are lightweight and easily recyclable, a boon for consumers concerned about the environment. Manufacturers are able to provide specialized can sizes, proprietary finishes, and specialty printing options to meet the specific branding requirements of these high-end products.
• Health and Wellness Drink Solutions: As the world changes towards a more health and wellness lifestyle, there is a growing need for natural juices and smoothies as well as other healthy drinks. Cans are the perfect package for such offerings because they preserve vitamins and nutrients by keeping light out and do not break. Opportunity exists in creating cans with proprietary linings or smaller, single-serve sizes that fit into portion control and healthy living habits.
• Using Cans for Sports and Energy Drinks: Sports and energy drinks remain a fast-growing category, and cans are the leading package format because they are strong, chill quickly, and are convenient to consume on the move. Opportunities include creating new can designs that are different in a competitive marketplace, like re-sealable cans or slim cans, and partnering with brands to produce promotional packs for events and sponsorships, enhancing the connection with active lifestyles.
• Creating Can Solutions for Dairy and Plant-Based Milks: Although less conventional, there is a growing opportunity in packaging dairy and plant-based milk alternative formats in cans, particularly single-serve, shelf-stable formats. Cans provide superior barrier properties, with shelf life in the absence of refrigeration until opening, for distribution and consumer convenience. It does have specific internal coatings needed to stop it from coming into contact with the product, but it might find a significant and increasing market for dairy and non-dairy drinks.
These strategic growth prospects are having a major influence on the beverage can market by spurring diversification and innovation in different beverage categories. Through emphasis on the specific strengths of cans for various uses – from maintaining freshness in craft drinks to providing convenience for health and wellness beverages – the market is broadening its base and value proposition. This custom-driven strategy enables the beverage can market to ride changing consumer trends and achieve sustained growth in a competitive packaging environment.
Beverage Can Market Driver and Challenges
The drink cans market is influenced by a multifaceted interaction among different technological, economic, and regulatory determinants. This dynamic situation brings both high potential for growth and tough challenges that players have to overcome. Knowledge of these drivers and challenges is important for creating effective market strategy and ensuring sustainable growth. The development of the market is largely influenced by customers‘ demand for convenience and sustainability, innovation in production processes, and the constantly shifting dynamics of international trade and environmental regulations.
The factors responsible for driving the beverage can market include:
1. High Recyclability and Sustainability Appeal: One of the key drivers is the higher recyclability of aluminum and steel cans over other materials such as plastic. Aluminum has the ability to be recycled endlessly without degradation, consuming much less energy and emitting fewer greenhouse gases. This strong sustainability positioning appeals to eco-sensitive consumers and corporate environmental, social, and governance (ESG) aspirations, and cans are an attractive option for brands seeking to enhance their green credentials
2. Convenience and Portability Consumer Preference: Contemporary lifestyles require convenient, on-the-go beverages. Beverage cans are light, robust, and shatter-resistant, making them well-suited for portability, outdoor use, and rapid consumption. Their rapid chilling capability and ability to shield contents from light and oxygen further increase their attractiveness for consumers looking for fresh, easily available liquids, especially in growing categories such as ready-to-drink (RTD) coffees, teas, and functional drinks.
3. New Beverage Segments: Expansion of beverage segments beyond the classical carbonated soft drinks and beer is a key driver. This comprises the fast growth of craft beer, hard seltzer, sparkling water, pre-mix cocktails, and other functional beverages. Cans have specific benefits for these items, including great barrier protection, flexibility in branding, and appropriateness for single-serve formats, stimulating growing demand for can packaging for these varied and expanding segments.
4. Technological Development in Can Manufacturing: Ongoing innovation in manufacturing technologies for cans plays a crucial role in driving market growth. This involves developments in lightweighting technologies that minimize material use, better printing and decorative methods for enhanced brand attractiveness, and streamlined production lines for greater production and lower costs. These technology advancements allow manufacturers to produce more affordable, attractive, and eco-friendly packaging solutions.
5. Enhanced Shelf Life and Product Protection: Cans deliver a great barrier against light, oxygen, and moisture, allowing the preservation of the freshness, flavor, and nutritional quality of beverages. Such enhanced shelf life is especially important for sensitive products such as craft beers, juices, and some functional beverages. The better product protection of cans minimizes spoilage and wastage, to the advantage of both manufacturers in terms of minimized losses and consumers in terms of greater product quality.
Challenges in the beverage can market are:
1. Raw Material Price Volatility: The volatility in aluminum and steel prices, the two major raw materials used for beverage cans, is a key challenge. International supply chain disruptions, geopolitics, and demand-supply mismatches can cause erratic price hikes, thus affecting manufacturing costs and margins directly for can manufacturers. Such volatility requires tactical hedging and long-term buying contracts to manage financial risks.
2. Alternative Packaging Materials Competition: The canned beverage market is subject to strong competition from other packaging forms, mainly plastic (PET) bottles and glass bottles. Although cans have environmental benefits, plastic bottles typically present lower-cost production and greater design flexibility, while glass bottles are seen as upscale for some drink types. This competition demands ongoing innovation and aggressive marketing from the can sector to emphasize its specific benefits and support market share.
3. Large Capital Outlay for New Production Lines: Opening new plants for beverage can manufacturing or expanding the existing ones considerably demands huge capital investment. The involved machinery and infrastructure are very specialized and costly. This high entry barrier can prevent new entrants and decelerate capacity buildup in reaction to surprise demand spikes, which may cause supply shortages and affect market responsiveness.
The can market for beverages is marked by a high demand that is fueled by sustainability, convenience, and diversification of beverage types all supported by technology. It nevertheless is faced with key challenges in raw material price fluctuations, high competition from other packaging, and heavy capital cost of production. Successful management of these dynamics demands strategic vision, ongoing innovation, and unwavering dedication to sustainability practices in order to drive ongoing growth and resilience in the world packaging market.
List of Beverage Can Companies
Companies in the market compete on the basis of product quality offered. Major players in this market focus on expanding their manufacturing facilities, R&D investments, infrastructural development, and leverage integration opportunities across the value chain. With these strategies beverage can companies cater increasing demand, ensure competitive effectiveness, develop innovative products & technologies, reduce production costs, and expand their customer base. Some of the beverage can companies profiled in this report include-
• The Ardagh Group
• Crown Holdings
• Toyo Seikan Group
• CPMC Holdings
• Can-Pack
Beverage Can Market by Segment
The study includes a forecast for the global beverage can market by type, application, and region.
Beverage Can Market by Type [Value from 2019 to 2031]:
• Aluminum
• Steel
Beverage Can Market by Application [Value from 2019 to 2031]:
• Carbonated Soft Drinks
• Alcoholic Beverages
• Fruit & Vegetable Juices
• Others
Beverage Can Market by Region [Value from 2019 to 2031]:
• North America
• Europe
• Asia Pacific
• The Rest of the World
Country Wise Outlook for the Beverage Can Market
The market for beverages in cans is currently experiencing tremendous worldwide change, spurred by the intersection of several variables such as consumer demand for convenience increasing, expanding environmental awareness, and advances in manufacturing technologies. The inherent recyclability and light weight of steel and aluminum cans give them a strong competitive advantage over other packaging materials. This market is experiencing a strong growth in the development of new beverage categories, as well as can design and manufacturing innovation to improve sustainability and consumer attractiveness. Cans are being used more to preimmunize and differentiate brands.
• United States: The United States beverage can market is showing strong growth, especially driven by the growth of ready-to-drink (RTD) beverages, such as craft beers, sparkling waters, and functional beverages. Strong consumer demand for aluminum cans exists from their high recyclability and mobility. Innovation is concentrated on lightweighting cans to minimize material use and transportation costs, complemented by advancements in decorative print and specialty finishes to boost brand attractiveness on the shelf. Continuing focus on sustainable packaging ensures that demand for aluminum keeps outpacing demand for other materials.
• China: China‘s can market for beverages is one of rapid growth, driven mainly by the growth in urbanization, disposable incomes, and demand for convenient and healthy drinking beverages. Carbonated soft drinks are a dominant category, but there is considerable expansion in energy drinks, juice, and even alcoholic drinks in cans. Companies are investing in higher production capacity and innovative printing techniques to meet varied consumer demands and brand differentiation, with sustainability also taking center stage.
• Germany: Germany‘s market for beverage cans is heavily shaped by the highly restrictive environmental laws and a strong consumer focus on sustainability and recycling. Aluminum cans are very popular as a consequence of a well-developed recycling system in Germany and the fact that recycling rates are very high. The market experiences consistent demand from the traditional beer and carbonated soft drink segments, while interest in canned craft beer and non-alcoholic versions is increasing. Lightweighting and recycled content use are the major development opportunities.
• India: India‘s market for beverage cans is witnessing a vibrant change with rising urbanization, a youthful population, and an on-the-go consumption preference. Aluminum cans are winning favor with their recyclability, premium image, and longer chiller effect in hot weather. The market is growing in segments such as craft beer, energy drinks, and flavored water. Domestic manufacturing and emphasis on circular economy efforts are the major trends.
• Japan: The Japanese market for beverage cans is extremely mature and advanced technologically, where product quality, convenience, and specialty packaging are essential. Japan has one of the world‘s highest recycling rates for beverage cans due to high environmental consciousness. Its recent innovations include ultra-lightweight aluminum cans and can coatings to maintain beverage flavor. The market offers different tastes, ranging from the conventional teas and coffees to numerous types of alcoholic and non-alcoholic beverages.
Features of the Global Beverage Can Market
Market Size Estimates: Beverage can market size estimation in terms of value ($B).
Trend and Forecast Analysis: Market trends (2019 to 2024) and forecast (2025 to 2031) by various segments and regions.
Segmentation Analysis: Beverage can market size by type, application, and region in terms of value ($B).
Regional Analysis: Beverage can market breakdown by North America, Europe, Asia Pacific, and Rest of the World.
Growth Opportunities: Analysis of growth opportunities in different type, application, and regions for the beverage can market.
Strategic Analysis: This includes M&A, new product development, and competitive landscape of the beverage can market.
Analysis of competitive intensity of the industry based on Porter’s Five Forces model.
FAQ
Q1. What is the growth forecast for beverage can market?
Answer: The global beverage can market is expected to grow with a CAGR of 1.8% from 2025 to 2031.
Q2. What are the major drivers influencing the growth of the beverage can market?
Answer: The major drivers for this market are the increasing demand for sustainable packaging, the growing popularity of ready-to-drink beverages, and the rising consumer preference for convenience.
Q3. What are the major segments for beverage can market?
Answer: The future of the beverage can market looks promising with opportunities in the carbonated soft drink, alcoholic beverage, and fruit & vegetable juice markets.
Q4. Who are the key beverage can market companies?
Answer: Some of the key beverage can companies are as follows:
• The Ardagh Group
• Crown Holdings
• Toyo Seikan Group
• CPMC Holdings
• Can-Pack
Q5. Which beverage can market segment will be the largest in future?
Answer: Lucintel forecasts that, within the type category, aluminum is expected to witness higher growth over the forecast period.
Q6. In beverage can market, which region is expected to be the largest in next 5 years?
Answer: In terms of region, APAC is expected to witness the highest growth over the forecast period.
Q7. Do we receive customization in this report?
Answer: Yes, Lucintel provides 10% customization without any additional cost.
This report answers following 11 key questions:
Q.1. What are some of the most promising, high-growth opportunities for the beverage can market by type (aluminum and steel), application (carbonated soft drinks, alcoholic beverages, fruit & vegetable juices, and others), and region (North America, Europe, Asia Pacific, and the Rest of the World)?
Q.2. Which segments will grow at a faster pace and why?
Q.3. Which region will grow at a faster pace and why?
Q.4. What are the key factors affecting market dynamics? What are the key challenges and business risks in this market?
Q.5. What are the business risks and competitive threats in this market?
Q.6. What are the emerging trends in this market and the reasons behind them?
Q.7. What are some of the changing demands of customers in the market?
Q.8. What are the new developments in the market? Which companies are leading these developments?
Q.9. Who are the major players in this market? What strategic initiatives are key players pursuing for business growth?
Q.10. What are some of the competing products in this market and how big of a threat do they pose for loss of market share by material or product substitution?
Q.11. What M&A activity has occurred in the last 5 years and what has its impact been on the industry?
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