Broken bottle: Falling input costs and per capita soft drink consumption will offset revenue

The Plastic Bottle Manufacturing industry in Canada converts polyethylene terephthalate (PET), high-density polyethylene (HDPE) and other plastic resin pellets into bottles for use by a variety of downstream markets. The industry's largest customer is beverage and food manufacturers. Industry performance is heavily influenced by consumer demand for these goods. Falling input costs and per capita soft drink consumption has offset industry revenue over the five years to 2019. Plastic bottles are made from a variety of different resin compounds, though all are derived from hydrocarbons found in natural gas. As a result, the world price of natural gas has a large effect on industry purchase costs and expanding industry profit during the period...read more.

Industry Statistics & Market Size
Revenue
$1bn
Annual Growth 14-19
3.8%
Forecast Growth 19-24
Profit
Employment
3,230
Businesses
40
Market Share of Companies

Industry Threats & Opportunities

  • Demand from both domestic and US consumer product manufacturers is anticipated to rise
  • Due to lower input prices, new companies have entered the industry
  • Activity in downstream beverage manufacturing will continue its growth
  • Industry Report - Industry Products Chapter

    The products manufactured by the Plastic Bottle Manufacturing industry in Canada can be most easily segmented by the type of plastic used in manufacturing. The type of plastic is often marked on the bottle itself, indicated by a number between one and seven, surrounded by three arrows that form a triangle to aid in the recycling process. The number classification system was developed by the Society of the Plastics Industry (SPI) in 1988 to help consumers and businesses distinguish whether certain types of bottles were recyclable.Polyethylene terephthalate (PET) bottlesThe majority of plastic bottles manufactured by the industry are made of polyethylene terephthalate (PET), and these bottles are expected to account for 52.3% o...purchase to read more.

    Additional Insights for the Plastic Bottle Manufacturing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Plastic Bottle Manufacturing Industry are

  • Supply contracts in place for key inputs
  • Provision of a related range of goods/services
  • Undertaking technical research and development
  • IBISWorld analysts also discuss how external factors such as Demand from beverage manufacturing and Per capita disposable income in the Plastic Bottle Manufacturing industry impact industry performance..

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    What's in this report

    What is the Plastic Bottle Manufacturing Industry?

    This industry manufactures a range of bottles from different plastic compounds based on their end use. These bottles are then sold to beverage, food and chemical manufacturers for packaging soft drinks, milk, condiments and household and automotive chemicals. This industry does not manufacture reusable plastic bottles.

    Industry Products
  • Polyethylene terephthalate (PET) bottles
  • High-density polyethylene (HDPE) bottles
  • Other plastic bottles
  • Industry Activities
  • Manufacturing PET plastic bottles
  • Manufacturing HDPE plastic bottles
  • Manufacturing PVC plastic bottles
  • Manufacturing PP plastic bottles
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from beverage manufacturing
  • Per capita disposable income
  • Canadian effective exchange rate index
  • World price of natural gas
  • Per capita soft drink consumption

  • Current Performance
  • Flat demand
  • Costs and profit
  • Reliance on the United States
  • Chart: Revenue Growth

  • Industry Outlook
  • Questionable downstream demand
  • Increasing globalization
  • Table: Plastic Bottle Manufacturing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Plastic Bottle Manufacturing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Dairy Product Production in Canada
  • Seasoning, Sauce and Condiment Production in Canada
  • Soda Production in Canada
  • Bottled Water Production in Canada
  • Juice Production in Canada
  • Breweries in Canada
  • Lubricant Oil Manufacturing in Canada

  • Key Selling Industries
  • Electric Power Transmission in Canada
  • Natural Gas Distribution in Canada
  • Plastic & Resin Manufacturing in Canada

  • Products & Services
  • Polyethylene terephthalate (PET) bottles
  • High-density polyethylene (HDPE) bottles
  • Other plastic bottles
  • Chart: Plastic Bottle Manufacturing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Exports
  • Food manufacturers
  • Beverage manufacturers
  • Household chemicals and cosmetics manufacturers
  • Other
  • Pharmaceutical manufacturers
  • Automotive and industrial chemical producers
  • Chart: Major Market Segmentation for the Plastic Bottle Manufacturing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Rent and utilities
  • Other costs
  • Chart: Cost Structure Benchmarking – Sector vs Plastic Bottle Manufacturing

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Plastic Bottle Manufacturing Industry

  • Industry Globalization
    Silgan Holdings Inc.,
  • Table: Silgan Holdings Inc. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Plastic Bottle Manufacturing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Plastic Bottle Manufacturing Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Exports (2010-2024)
  • Imports (2010-2024)
  • Wages (2010-2024)
  • Per Capita Soft Drink Consumption (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Blow-Moulding
  • A method of fabricating hollow plastic objects, such as bottles, by forcing a parison into a mould cavity and shaping by internal air pressure.
  • High-Density Polyethylene (Hdpe)
  • A polyethylene thermoplastic made from petroleum that is used in the manufacturing of plastic bottles.
  • Parison
  • A thermoplastic hollow tube used during the blow-moulding process.
  • Polyethylene Terephthalate (Pet)
  • A thermoplastic polymer resin of the polyester family that is used in synthetic fibres and beverage, food and other liquid containers.
  • Polyvinyl Chloride
  • A vinyl polymer and the third-most widely produced plastic.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Plastic Bottle Manufacturing market research report provides the latest industry statistics and industry trends, allowing you to identify the products and customers driving revenue growth and profitability. The industry report identifies the leading companies and offers strategic industry analysis of the key factors influencing the market.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Plastic Bottle Manufacturing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Plastic Bottle Manufacturing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Plastic Bottle Manufacturing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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