Barrier Materials Market Size, Share & Trends Analysis Report By Type (Polyvinylidene Chloride (PVDC), Ethylene Vinyl Alcohol (EVOH), Polyethylene Naphthalate (PEN), Others), By End-Use Industry (Pharmaceutical, Food and Beverage, Agriculture, Cosmetics, Automotive, Others ) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2024-2032

Market Overview

The global barrier materials market size was valued at USD 3.3 billion in 2023 and is projected to reach USD 5.4 billion by 2032, registering a CAGR of 5.7% during the forecast period (2024-2032). The primary driver of the market is a growing demand for extending the durability of packaged meals.

Barrier materials are specialized packing materials designed to inhibit the penetration of gasses, smells, or liquids. The materials encompass plastic films, metal foils, coatings, and laminates. They are extensively utilized to uphold product quality, extend shelf life, and guarantee customer safety. These materials are economical, adaptable, and highly efficient, demonstrating exceptional characteristics such as strong resistance to moisture, oxygen, light, and microbes. In addition, they reduce the likelihood of spoilage, deterioration, and pollution, guaranteeing that goods are delivered to customers in the best possible state.

The extensive use of this product in vehicle fuel systems and battery packs is driving market expansion. Moreover, the growing adoption of products in consumer electronics, such as smartphones, tablets, laptops, desktops, watches, and wearables, is driving market expansion by enhancing their durability and performance. Moreover, the implementation of sophisticated manufacturing techniques that facilitate the creation of more effective products is having a favorable impact on the market's expansion. Furthermore, the market expansion is being reinforced by the growing use of products in the agriculture sector to develop controlled-environment agriculture (CEA) systems, such as greenhouses. The market expansion is expected to be driven by various reasons, such as fast industrialization, intensive research and development (R&D) efforts, and the increasing demand for sustainable products. 

Highlights

• Polyvinylidene Chloride (PVDC) generates the highest revenue share based on type.
• Food and beverages influenced the market growth of the end-use industry.

Market Dynamics

global barrier materials market drivers:

Increasing automotive industry

Barrier Materials are employed in the automotive industry for vibration control, mechanical dampening, sound insulation, and sound absorption enhancement. Barrier materials are used in multi-layer fuel lines and tanks due to their excellent ability to prevent the penetration of aromatic and aliphatic hydrocarbons. Barrier materials are crucial in mitigating environmental fuel emissions and facilitating rapidly evolving international laws adoption. The European Automobile Manufacturers' Association (ACEA) said that global motor vehicle production reached 79.1 million units in 2021, representing a 1.3% growth compared to the previous year.

Additionally, as the Organisation Internationale des Constructeurs d'Automobiles (OICA) reported, motor vehicle production in the United States rose from 6,239,401 units in 2020 to 6,857,182 units in 2021. Furthermore, motor vehicle production in Austria witnessed growth from 86,300 units in 2020 to 92,000 units in 2021. As automobile manufacturing continues to grow, there is an expected increase in the demand for barrier materials in the automotive sector in the coming years. This would enhance the expansion of the barrier materials market.

Growing demand from the food and beverage industry

Barrier materials are employed to safeguard food products, including meat and meat byproducts, fish and seafood, dairy products, fruits, and vegetables, among others, from external factors such as water vapor, gas, odor, microorganisms, light, and dust. These factors can lead to contamination, damage, and declining quality and taste.

Barrier materials are crucial for prolonging the shelf life of food products, preventing food spoilage, minimizing waste, and ensuring that commodities are delivered to consumers in the optimal condition for their intended purpose. The demand for perishable food items has increased due to customers' changing tastes and preferences, the increasing availability of food goods, and the growing health consciousness among consumers.

Furthermore, the rise of fast-paced lives, extended work hours, lengthier commutes, and a decreased desire to cook has increased consumer desire for readily consumable food products. The global demand for packaged food goods has risen, increasing demand for the examined sector. 

Global barrier materials market restraints:

Instability of barrier materials in varying atmosphere

It is crucial to optimize the physical and chemical properties of barrier polymers to ensure the stability of barrier materials. Producers face challenges maintaining stability under various environmental circumstances, including humidity, temperature, and pressure. It is necessary to maximize the features of barrier materials, including permeability, cell viability, targeted distribution, shelf-life, controlled release, mechanical stability, and drug stability. Attaining stability is challenging due to the fluctuating atmospheric conditions, making it difficult to meet these standards. Difficulties, such as coupling ingredients sensitive to moisture with liquid food, continue to exist even with new technologies. Consequently, the volatility of barrier materials in an ever-changing climate would impede the expansion of the market in the projected timeframe.

Global barrier materials market opportunity:

Growing cosmetic and personal care industry

The cosmetic and personal care sector uses several barrier materials, including glass, aluminum, polyolefins, etc. It safeguards beauty and personal care goods against microbial decay throughout their lifespans by establishing an antibacterial shield. The moisturizing cream jar has a barrier film that separates the jar from the lid. This safeguards the product from moisture, air, and other external disruptions. Additionally, the tamper-evident feature assures buyers that they are not buying things that may have been damaged. 

The International Trade Administration predicts that Indonesia's cosmetics and personal care business will generate revenues of USD 7.5 billion in 2021, with an expected compound annual growth rate (CAGR) of 6.5 percent until 2025. Furthermore, the overall domestic manufacturing of personal care and cosmetic items in Mexico is projected to increase to USD 7.15 billion in 2021, compared to USD 7.14 billion in 2020. Therefore, as the beauty and personal care products industry expands, the need for Barrier Materials will increase over the projected timeframe. 

Regional Analysis

The global barrier materials market analysis is conducted across North America, Europe, Asia-Pacific, the Middle East and Africa, and Latin America.

Asia-pacific dominates the global market

Asia-Pacific is the most significant global barrier materials market shareholder and is estimated to grow at a CAGR of 5.8% over the forecast period. The Asia Pacific region dominates the market share primarily because of the growing industrialization, urbanization, and higher disposable incomes. These factors contribute to an increasing demand for barrier materials in several industries. CGTN reported that China experienced a 6.1% per capita disposable income growth in 2023. The World Bank forecasts that the economic growth in developing East Asia and the Pacific, excluding China, would rise to 4.6% in 2024, compared to 4.4% in 2023. According to the IMF, the growth rate in Asia and the Pacific is forecasted to reach 5.0% in 2023, surpassing previous expectations.

Similarly, evolving lifestyles have led to a rise in the consumption of packaged goods such as food, beverages, personal care items, and medications. This trend has created a need for product safety, quality assurance, and longer shelf life. Moreover, the Asia Pacific region is a central location for manufacturing and industrial operations, encompassing food and beverage, healthcare, electronics, automotive, and agriculture sectors. These businesses require barrier materials to package and safeguard items from moisture, oxygen, light, and other environmental elements. Furthermore, the market growth is being facilitated by the regional governments' execution of favorable policies aimed at promoting infrastructure development, industrial expansion, and sustainability.

North America is estimated to grow at a CAGR of 6.2% over the forecast period. Several significant factors drive the growth of the global barrier materials market in North America. The growing need for packaged food and beverages requires sophisticated packaging solutions to prolong the shelf life and guarantee the safety of the products. Moreover, the increasing consumer inclination towards convenient food products amplifies the demand for barrier materials with superior performance. The pharmaceutical sector's growth, which needs strong packaging to safeguard delicate items, also drives market expansion. Sustainable and efficient barrier materials are used by technological breakthroughs and strict environmental regulations, which contribute to developing the region's market.

The expansion of the European barrier materials market is predominantly propelled by the rising demand from the food and beverage packaging sector, aiming to augment shelf life and mitigation portion of its expansion can be ascribed to its extensive range of end-user sectors, such as food and beverages, electronics, healthcare, and others. Furthermore, this is primarily due to the increasing prevalence of stringent packaging regulations across the continent.

Moreover, the strict regulatory environment that encourages environmentally friendly packaging enhances the acceptance of barrier materials. Germany's Packaging Act enforces a recycling fee on retailers and manufacturers for every packaging that is disposed of in household waste. The demand for sophisticated packaging in the pharmaceutical industry, aimed at guaranteeing the safety and effectiveness of drugs, is a crucial driver of market growth. 

Segmental Analysis

The global barrier materials market is segmented based on type and end-use industry.

Based on type, the market is segmented into Polyvinylidene Chloride (PVDC), Ethylene Vinyl Alcohol (EVOH), Polyethylene Naphthalate (PEN), and others. 

The polyvinylidene chloride (PVDC) segment dominated in 2023. PVDC demonstrates exceptional oxygen and moisture barrier characteristics, contributing to the preservation of the freshness, flavor, aroma, and overall quality of diverse food and beverage items. Moreover, it reduces the passage of oxygen and moisture, helping to prevent oxidation, microbial proliferation, and other forms of deterioration that may jeopardize the quality and safety of the product.

Moreover, PVDC is versatile enough for various packaging configurations, such as flexible films, laminates, and coatings. The adaptability of this packaging enables the containment of a wide array of products, spanning from solid commodities to liquid beverages. Furthermore, it provides exceptional transparency and clarity, allowing consumers to observe the product enclosed within the container easily. In addition, PVDC demonstrates exceptional heat sealability, allowing it to be used with a wide range of sealing techniques typically employed in the packaging sector.

The Ethylene Vinyl Alcohol (EVOH) segment is the fastest growing. Ethylene Vinyl Alcohol (EVOH) is a notable material highly regarded for its excellent ability to prevent the passage of oxygen. This makes it particularly well-suited for use in food packaging applications where there is a need to protect against the adverse effects of oxygen exposure. 

The Polyethylene Naphthalate (PEN) segment is the second largest. Polyethylene naphthalate (PEN) is a material that has a strong resistance to being pulled apart and can withstand high temperatures. This makes it a good choice for packaging applications that need to be durable and handle heat. 

Based on the end-use industry, the market is segmented into pharmaceutical, food and beverage, agriculture, cosmetics, automotive, and other industries. 

The food and beverage segment dominated in 2023. Barrier materials play a vital role in the food and beverage (F&B) business by ensuring the protection and safety of products. These materials function as a barrier, safeguarding food and beverages from being influenced by external factors such as moisture, air, light, and pollutants, thereby preserving their quality, taste, and freshness.

In addition, consumers are progressively looking for handy, pre-prepared, and packaged food and beverage products. Packaged goods require using barrier materials to maintain the products' quality, nutritional content, and sensory characteristics. Moreover, they assist in prolonging the durability of perishable food items by impeding bacterial proliferation and reducing contact with oxygen, moisture, and light. Furthermore, they facilitate manufacturing lightweight and pliable packaging for consumable goods that are convenient to manipulate, carry, and store.

The pharmaceutical segment is the fastest growing. Barrier materials are essential in the pharmaceutical industry to maintain the effectiveness and stability of pharmaceuticals and healthcare goods. They protect against moisture, air, and light. Barrier materials are employed in the food and beverage industry to extend the shelf life of perishable products, prevent contamination, and uphold the quality and freshness of the commodities across the whole supply chain.

The agriculture segment is the second largest. The agriculture sector plays a pivotal role in driving the growth of the global barrier materials market through various avenues. Firstly, the industry's demand for advanced packaging solutions to preserve and transport perishable goods like fruits, vegetables, and grains fuels the adoption of barrier materials. Additionally, the increasing focus on sustainable agriculture necessitates eco-friendly packaging options, driving the demand for bio-based and recyclable barrier materials. Moreover, the growing trend of value-added packaging in agriculture, such as pre-cut fruits and vegetables, requires innovative barrier materials to maintain product freshness and extend shelf life, further contributing to market growth.

Recent Developments

• March 2024 – Jindal Films introduced BICOR 25 and 30 MBH568 films at the CFIA exhibition in Rennes, France. The industry has developed new PP mono-material and PE mono-material to facilitate the implementation of packaging that complies with the impending rules for mechanical recycling in Europe.
• March 2024 - TOPPAN Inc., a subsidiary of TOPPAN Holdings Inc., and TOPPAN Speciality Films Private Limited (TSF) in India collaborated to create GL-SP, a barrier film utilizing biaxially oriented polypropylene (BOPP) as the underlying material. Production and sales of this film will commence shortly.
• February 2024 - ProAmpac, a prominent company in flexible packaging and material science, introduced its newest environmentally-friendly technology, ProActive Recyclable FibreSculpt, throughout Europe. This fiber-based technology, designed for thermoforming applications, is ideal for various products such as chilled cooked meats, cold cuts, sliced cheese, and fish.