United States Pulp and Paper Market Size was valued at USD 60.9 Billion in 2022. The Pulp and Paper industry is projected to grow from USD 61.5 Billion in 2023 to USD 66.6 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 1.00% during the forecast period (2024 - 2032). The surge in demand for paper from both the chemical and industrial processing sectors in developed and developing economies, coupled with increased investment in research and development proficiencies, are the main market drivers anticipated to propel the Pulp and Paper market in the United States.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
There are several driving factors behind the increasing demand for green packaging materials on a global scale in recent years. Eco-friendly packaging options, such as paper, emit fewer carbon emissions during production compared to traditional packaging materials, and they also utilize fewer energy-intensive resources. According to the latest sustainable packaging statistics for 2022, a significant portion of consumers in the United States, particularly those under 34, demonstrate a willingness to pay a premium for sustainable products, with 66% of all consumers and 80% of adults in this age group expressing such readiness. Additionally, data from the United States Environmental Protection Agency (EPA) reveals that in 2018, approximately 96.5% of corrugated boxes were recycled out of the total paper and paperboard recycling, amounting to 32.1 million tons out of 33.9 million tons recycled.
The rise of online retailing in the United States is further bolstering the demand for pulp and paper for packaging purposes, driven by the increasing number of smartphone users and widespread internet adoption, which is driving the market CAGR. As of 2023, e-commerce accounted for 22.0% of total retail sales in the United States, representing a continuous upward trend from the previous year. Despite a growth rate of 7.6% in 2023, this increase is a notable deviation from the exceptional surge witnessed during the pandemic, where online sales expanded by 42.8% over 2019, in contrast to a 7.8% growth in total retail sales in 2020. Therefore, the market is expanding due to the Increasing Demand for Eco-Friendly Packaging Material and the rapid expansion of online retail. Thus, driving the Pulp and Paper market revenue.
The United States Pulp and Paper market segmentation, based on Category, includes Wrapping & Packaging, Printing & Writing, Sanitary, News Print, and Others. The wrapping & packaging segment dominated the market mostly. Security issues have been on the rise. Key industries that rely on packaging, including fast-moving consumer goods, food and beverages, and pharmaceuticals, are increasingly adopting sustainable packaging solutions for their products. There has been a notable uptick in demand for paper-based packaging solutions like bags and corrugated boxes in recent years. Paper's recyclability and reusability make it an essential player in mitigating the issue of packaging waste, offering a viable alternative to plastic packaging across various applications. Consequently, the growing emphasis on sustainable solutions is expected to propel the growth of the wrapping and packaging segment in the foreseeable future.
Figure 1: United States Pulp and Paper Market, by Category, 2023 & 2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
In light of mounting environmental concerns, both consumers and manufacturers are increasingly shifting towards sustainable paper packaging options. Advanced paper packaging solutions are poised to drive market growth, given paper's exceptional recyclability and sustainability as a packaging material. A 2022 survey conducted by the Center revealed that nearly 69% of Americans supported efforts for the U.S. to achieve carbon neutrality by 2050. Additionally, 62% of Democrats expressed considerable concerns about global warming or climate change, in contrast to only 14% of Republicans. Increased environmental apprehensions have led to a rise in the adoption of environmentally friendly paper packaging solutions by both customers and producers. According to McKinsey, approximately 50% of U.S. consumers are willing to pay more for sustainable packaging. Across various end-use sectors, around half of consumers are willing to pay a premium ranging from 1 to 3 percent, 25% are willing to pay 4 to 7 percent more, and roughly 12% are willing to pay a premium of 7 to 10 percent. Moreover, a small percentage of consumers (4 to 7%) are willing to pay a significantly higher premium exceeding 10%. Conversely, 5 to 8% of surveyed consumers across different categories indicated that they were unwilling to pay any price premium for sustainable packaging. Leading companies in the food, cosmetics, and fast-moving consumer goods (FMCG) sectors are collaborating closely with paper manufacturers to develop innovative paper packaging solutions to meet their sustainability objectives.
Leading market players are investing heavily in research and development to expand their product lines, which will help the Pulp and Paper market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the Pulp and Paper industry must offer cost-effective items.
Major players in the Pulp and Paper market are attempting to increase market demand by investing massively to create advanced robots with enhanced capabilities including International Paper (U.S.), Georgia-Pacific Corporation (U.S.), WestRock (U.S.), Packaging Corporation of America (U.S.), Domtar Inc. (U.S.), Graphic Packaging International (U.S.), Verso Corporation (U.S.), Resolute Forest Products (Canada), Sappi Ltd. (U.S.), Kimberly-Clark Corporation (U.S.).
International Paper (U.S.)
Georgia-Pacific Corporation (U.S.)
WestRock (U.S.)
Packaging Corporation of America (U.S.)
Domtar Inc. (U.S.)
Graphic Packaging International (U.S.)
Verso Corporation (U.S.)
Resolute Forest Products (Canada)
Sappi Ltd. (U.S.)
Kimberly-Clark Corporation (U.S.)
In April 2024, Pacific announced it would invest over USD 150 million to rebuild one paper machine at its mill located in Wauna, Oregon. This project includes the modernization of a paper-making machine, which was first installed in 1965, to state of an art paper machine making paper for Angel Soft and other private label bath tissue. Such processes aim to upgrade the mill, make it competitive in the market economy, and bolster the composite business as a whole.
In January 2024, the WestRock Company wanted to start construction of a new plant for the production of corrugated boxes in Pleasant Prairie, Wisconsin. The new facility is expected to be ready within a short time, leading to the shutdown of North Chicago's current plant. The focus of the company is to enhance production and cost optimization in the Great Lakes market region. The building project is anticipated to go for about USD 140 million with some of its cost being recovered through property disposals.
In November 2023, Liberty Coca-Cola Beverages, which bottles Coca-Cola in the local Philadelphia, New Jersey, and New York City regions, is partnering with WestRock, a provider of paper and packaging products. They plan to use Paperboard carriers for multipack bottled beverages instead of plastic rings.
In 2023, news about the production of the one billionth recyclable mailer 'EarthKraft' was made by the Georgia Pacific Tolleson plant in Arizona. The newly developed recyclable product is focused on the shipment of clothing-related e-commerce packages that do not warrant padded packaging for delivery.
Manufacturing Packaging Solutions Limited, a subsidiary company of Graphic Packaging, in January 2023, acquired Saybell Incorporated for USD 264 million, thereby obtaining three packaging facilities worth this acquisition in Sioux Falls, South Dakota, and Groveport, Ohio. As would be expected of such an announcement, Bell did not appear in the Americas Paperboard Packaging quarterly report.
Wrapping & Packaging
Printing & Writing
Sanitary
News Print
Others
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 60.9 Billion |
| Market Size 2023 | USD 61.5 Billion |
| Market Size 2032 | USD 66.6 Billion |
| Compound Annual Growth Rate (CAGR) | 1.00% (2024-2032) |
| Base Year | 2023 |
| Market Forecast Period | 2024-2032 |
| Historical Data | 2019-2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Category and Region |
| Countries Covered | United States |
| Key Companies Profiled | International Paper (U.S.), Georgia-Pacific Corporation (U.S.), WestRock (U.S.), Packaging Corporation of America (U.S.), Domtar Inc. (U.S.), Graphic Packaging International (U.S.), Verso Corporation (U.S.), Resolute Forest Products (Canada), Sappi Ltd. (U.S.), Kimberly-Clark Corporation (U.S.) |
| Key Market Opportunities | Growing focus on technological advancements and modernization in production techniques |
| Key Market Dynamics | The rapid penetration of the worldwide e-commerce and retail sector |
Frequently Asked Questions (FAQ) :
The United States Pulp and Paper market size was valued at USD 61.5 Billion in 2023.
The market is projected to grow at a CAGR of 1.00% during the forecast period, 2024-2032.
The key players in the market are International Paper (U.S.), Georgia-Pacific Corporation (U.S.), WestRock (U.S.), Packaging Corporation of America (U.S.), Domtar Inc. (U.S.), Graphic Packaging International (U.S.), Verso Corporation (U.S.), Resolute Forest Products (Canada), Sappi Ltd. (U.S.), Kimberly-Clark Corporation (U.S.).
The Wrapping & Packaging category dominated the market in 2023.
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