Views: 6548 Author: Site Editor Publish Time: 2025-01-09 Origin: Site
The Asian aluminum beverage can industry is expected to reach a size of USD 5.271 billion in 2024, with an annual growth rate of 2.76%. Aluminum cans are popular because of their convenience and environmental friendliness but risk plastic lining and sharp edges. Japan and Southeast Asia are big markets, and India has great potential.
Market Overview of the Asian Aluminum Beverage Can industry
According to Bedzis Consulting, the Asian aluminum beverage can industry market size is USD 5.271 billion in 2024, growing at a CAGR of 2.76% from 2024 to 2029.
Aluminum beverage cans are valued for their convenience and portability. Aluminum cans can also effectively block light and oxygen, thus affecting the flavor and freshness of the beverage. In addition, aluminum beverage cans cool down faster than other materials, so customers can enjoy their drinks faster.
Some potential issues with aluminum cans may hamper the market
Aluminum can manufacturers line the cans with a thin layer of plastic to prevent the aluminum from seeping into the food. But one side effect of adding plastic lining to aluminum cans is that consumers may be exposed to toxic substances that are beyond the safe range. In addition, when people open aluminum cans, their interiors can cause injury due to their sharp edges, which is a risk that other types of food packaging materials do not have. Injuries from opening aluminum cans may require stitches, sterile dressings and antibiotics, a risk that affects children as well as adults.
Selling drinks in aluminum cans and avoiding plastic is a trend in Asia, but aluminum cans are not without their hazards. Aluminum cans are not exactly environmentally friendly, and the production of aluminum consumes a lot of electricity and also produces some chemical emissions of greenhouse gases.
Market drivers for Aluminum Beverage Cans
In recent years, there has been a wave of negative publicity and consumer backlash against single-use plastic products, especially plastic bottles. Images of bottles spilling over the dump and adversely affecting the ecosystem make consumers uncomfortable. Since aluminum cans have higher recycling rates and more recycled ingredients than competing products, they are gradually recognized as the best alternative.
More and more Asian countries and companies are showing their concern for environmental protection with practical actions. For instance, in India, Hindalco Industries LTD., Boor Beverage Packaging (India) and Can-Pack India have jointly established India's first Aluminium Beverages Can Association named Aluminium Beverages Can Association Of India-'ABCAI'; In Vietnam, beverage company Winking Seal Bia Co. jointly launched the bottled water product beWater, which is packaged in aluminum cans, with TBC-Boer Vietnam Beverage Co. LTD and Boer Asia Pacific Co. LTD. In Asia, therefore, increasing awareness of the dangers of plastic products is an important driver.
Market Opportunities for Aluminum Beverage Cans
Japan and Southeast Asia are the two regions with the largest share of the aluminum can market. Japan has advanced environmental awareness, attaches great importance to environmental protection, and the recycling rate of aluminum cans has been in the forefront of the world. However, due to the pressure of the aging population and the use cost of aluminum cans in Japan, the downstream demand has declined. Therefore, in recent years, the sales volume of aluminum cans in Japan has been on a downward trend, and some enterprises have to reduce the production of aluminum cans (such as Showa Denko), resulting in a decline in market share. On the contrary, the Southeast Asian region is gaining market share due to increasing investments by multinational corporations. With economic development and population growth, the region is expected to be the next growth market, presenting opportunities to the market. Second, India currently has a small market share, but the emergence of the single-use plastic ban has become a policy support for aluminum cans, which has forced those companies who want to enter the Indian market to move in a more suitable direction. Therefore, there is a lot of potential for the future aluminum can market in India.