The global strapping materials market size was valued at USD 4.54 billion in 2016. Plastic materials (ingredients) can be recycled, making it a sustainable packaging substitute. This is expected to be a key factor driving market growth over the forecast period.
Plastic ingredients are derived from petroleum-based feedstock like polyester and polypropylene, while metal ingredients are manufactured using steel. Plastic straps exhibit various advantageous properties such as high elongation and tension resistance Steel straps, on the other hand, show high tensile strength, which renders them useful in packaging of metal and building and construction materials.
There has been a rise in demand for consumer electronics, household appliances, pharmaceutical products, medical devices, and textile goods, which is projected to result in an increase in demand for strapping material as a suitable packaging material. Growth in mail orders and the logistics business, along with expansion of the e-commerce industry, is projected to further boost the demand for strapping materials.
The e-commerce industry uses corrugated cardboard and paper as a retail-ready packaging option at the point of purchase, display, and sale as they protect goods from damages and vibration while handling or shipping. As an application segment, corrugated cardboard and paper are witnessing growth owing to expansion of the e-commerce industry.
The strapping materials market in the U.S. was valued at USD 968.0 million in 2016 and is anticipated to register a CAGR of 6.3% from 2017 to 2025. Rise in demand from the food and beverage industry followed by continuous innovation in food and beverage packaging in the U.S. is expected to boost market growth. The growth of packaged food in the U.S. on account of the on-the-go lifestyle of consumers is expected to promote the packaging industry.
There is rising awareness among consumers regarding sustainable and environment-friendly packaging. Consumers also expect innovative designs from manufacturers of corrugated cardboard and paper, which will eventually boost the application segment over the forecast period. However, these materials lack the ability to protect products from damage resulting from rain, frost, or moisture. This may pose a challenge to the growth of this segment.
• Plastic ingredients serve as a sustainable packaging solution as they can be recycled
• Expansion of the e-commerce sector has resulted in greater demand for corrugated cardboard and paper
• Rise in demand for packaged food in the U.S. will increase the consumption of strapping materials
Steel, polypropylene, and polyester are among the most commonly used strapping materials. As polyester straps help maintain uniform tension on load during transportation of goods, they are increasingly being used in rigid loads. Shrinking type load, on the other hand, requires the use of polypropylene as it exhibits greater elongation recovery. This implies that it elongates or shrinks from its original size and shape as per requirement.
Steel straps are used in the metal and building and construction sectors, where high tensile strength is required for heavy-duty loads. These straps possess lesser elongation recovery, which helps withstand rough handling of heavy loads during transportation. However, in cases where the load shrinks during transportation, negligible elongation can be a downside for steel straps as they will loosen over time.
These straps are used in packaging and handling metal bars, rods, and coils as they ease product storage and handling in the metal industry. Brick and concrete paver industries also make use of steel straps due to their higher tensile strength.
• Polypropylene is the largest material segment, with a 45.63% share in 2016. This cost-effective, lightweight, and easy-to-recycle strapping material is in high demand in Asia Pacific.
Industrial logistics and warehouse was the largest application segment for strapping materials in 2016 and accounted for 26.68% of the global revenue. There is enormous growth potential for industrial logistics and warehousing in developed economies such as the U.K. and Germany. Germany is one of the significant logistics hubs in Europe due to its central location, which provides logistics services to about 500 million European residents.
As per a 2016 report on Logistics Performance Index of 160 countries by the World Bank, Germany was the top performer with annual revenue in the logistics business amounting to approximately USD 279.22 billion. According to the Federal Logistics Associations Statistics Office, Germany is likely to gain significant growth in this sector over the forecast period, with rise in air cargo and waterway transport. Driven by Germany’s strong performance, the demand for strapping materials in the logistics and warehouse application segment is sure to rise.
In emerging economies, the newspaper and graphics segment has been growing due to an increase in production and circulation of various magazines and print advertisements. This can be attributed to a rise in the number of pages in a newspaper on specific occasions and rapid urbanization. Newspapers and magazines are often used in the packaging industry and this can subsequently increase the uptake of strapping materials in the newspaper and graphics application segment.
• Industrial logistics and warehouse dominated the market with a 26.68% share in 2016
• Germany significantly contributes to demand for strapping materials in logistics and warehouse application
• Newspaper and graphics segment fares well in emerging economies
Asia Pacific is estimated to be the fastest growing regional market from 2017 to 2025 with a CAGR of 6.5%. The region was valued at USD 1.58 billion in 2016. This growth can be attributed to increased application of strapping materials in industries such as food and beverages, industrial logistics and warehouse, and newspaper and graphics.
North America was the second-largest region in terms of revenue in 2016, accounting for a 25.21% share. Rapid growth of the packaged food and industrial logistics and warehouse industries, coupled with growing building and construction activities, is propelling the demand for strapping materials in North America.
North America is characterized by large consumer markets in the U.S., Canada, and Mexico. U.S. is among the major global trade partners, while Canada is likely to generate more trade opportunities from the U.S. in the coming years. This is likely to generate significant demand for application of strapping materials in industrial logistics and warehousing.
The global strapping materials market is oligopolistic, with few leading players, such as 3M and Mosca GmbH, dominating the market. These and other major players have a global presence and have diversified their business portfolio. On the other hand, players such as Strapack, Inc. and Signode Packaging Systems have integrated vertically in the value chain.
Companies such as Signor Strapping Solutions and Titan Umreifungstechnik GmbH & Co. KG operate solely in the area of manufacturing straps, tools, and other materials. The players are incorporating forward integration as a growth strategy, which may pose a challenge for new players aspiring to enter the market.
Report Attribute |
Details |
Market size value in 2020 |
USD 5.68 billion |
Revenue forecast in 2025 |
USD 7.50 billion |
Growth Rate |
CAGR of 5.8% from 2018 to 2025 |
Base year for estimation |
2016 |
Historical data |
2014 - 2015 |
Forecast period |
2018 - 2025 |
Quantitative units |
Revenue in USD million, and CAGR from 2018 to 2025 |
Report coverage |
Revenue forecast, company share, competitive landscape, growth factors and trends |
Segments covered |
Material, application, region |
Regional scope |
North America; Europe; Asia Pacific; Central & South America; the Middle East & Africa |
Country scope |
U.S.; Germany; U.K.; China; India; Japan; Brazil |
Key companies profiled |
3M; Cyklop International; Dynaric; Inc.; Mosca GmbH |
Customization scope |
Free report customization (equivalent up to 8 analysts working days) with purchase. Addition or alteration to country, regional & segment scope. |
Pricing and purchase options |
Avail customized purchase options to meet your exact research needs. Explore purchase options |
This report forecasts revenue growth at global, regional, and country levels and provides an analysis on industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the global strapping materials market on the basis of materials, application, and region:
Material Outlook (Revenue, USD Million, 2014 - 2025)
Steel
Polypropylene
Polyester
Application Outlook (Revenue, USD Million, 2014 - 2025)
Food & Beverage
Industrial Logistics & Warehouse
Corrugated Cardboard & Paper
Newspaper & Graphics
Building & Construction
Metal
Regional Outlook (Revenue, USD Million, 2014 - 2025)
North America
The U.S.
Europe
Germany
The U.K.
Asia Pacific
China
India
Japan
Central & South America
Brazil
Middle East & Africa
b. The global strapping materials market size was estimated at USD 5.06 billion in 2019 and is expected to reach USD 5.68 billion in 2020.
b. The global strapping materials market is expected to grow at a compounded annual growth rate of 5.8% from 2017 to 2025 to reach USD 7.50 billion in 2025.
b. The Asia Pacific dominated the strapping materials market with a share of 39.6% in 2019. This can be attributed to the increased application of strapping materials in industries such as food and beverages, industrial logistics and warehouse, and newspaper and graphics.
b. Some key players operating in the strapping materials market include 3M, Cyklop International, Dynaric, Inc., and Mosca GmbH,
b. Key factors driving the strapping materials market growth include the rise in demand for consumer electronics, household appliances, pharmaceutical products, medical devices, and textile goods.
GET A FREE SAMPLE
This FREE sample includes market data points, ranging from trend analyses to market estimates & forecasts. See for yourself.
NEED A CUSTOM REPORT?
We can customize every report - free of charge - including purchasing stand-alone sections or country-level reports, as well as offer affordable discounts for start-ups & universities.
Contact us now to get our best pricing.
ESOMAR certified & member
Leading SME award by D&B
We are GDPR and CCPA compliant! Your transaction & personal information is safe and secure. For more details, please read our privacy policy.
"The quality of research they have done for us has been excellent."
The global COVID-19 pandemic has led to a sudden pause to manufacturing activities across the globe, affecting the demand for plastics and also production & processing of them. The most critically impacted end-use segments of the plastics industry include automotive & transportation, consumer goods, industrial equipment, construction, and electronics. The report will account for Covid19 as a key market contributor.
We value your investment and offer free customization with every report to fulfil your exact research needs.