April 11, 2025 10:00 ET | Source: Precedence Research
Originally posted here: https://www.globenewswire.com/news-release/2025/04/11/3060139/0/en/Molded-Fiber-Packaging-Market-Size-to-Strike-USD-15-57-Bn-by-2034-Says-Packaging-Analyst.html

Ottawa, April 11, 2025 (GLOBE NEWSWIRE) -- The molded fiber packaging market size to record US $9.21 billion in 2025 and is projected to grow beyond US $15.57 billion by 2034, a study published by Towards Packaging a sister firm of Precedence Research. The key players operating in the market are focused on adopting inorganic growth strategies like acquisition and collaboration to develop new technology for molded fiber packaging, which has estimated to drive the growth of the molded fiber packaging market in the near future.

Market Overview:
Molded pulp, sometimes referred to as molded fiber, is a type of packaging material that is mostly composed of newsprint and recycled paperboard. Fibers are hydrated till they form a pulp, molded into precise forms, and then dried in order to create this design. Molded packaging is made by mixing water and recycled paper to create a pulp slurry. After that, this slurry is molded into different shapes using methods like pressure or vacuum molding.

• According to Huhtamaki Sustainability Report, the molded fiber manufacturing process requires less energycompared to traditional plastic packaging. Some manufacturers report energy savings of up to 30% during production when compared to plastic alternatives.

To create strong, lightweight packaging that is recyclable and biodegradable, the pulp is dried after it has been molded. In addition to minimizing waste, this environmentally friendly production method has a much less environmental impact than traditional plastic packaging. This substance is frequently commended for its eco-friendliness.

Molded Fiber Packaging Trends, Production, Consumption and Insights:

• Advanced manufacturing processes enable production scales of up to 3 million molded fiber products per day, depending on the production line's capacity.
• Over 90% of molded fiber packaging is biodegradable, compostable, and recyclable, offering a sustainable alternative to plastic packaging.
• In the Asia Pacific region, countries like China, India, Australia, Bangladesh, and Indonesia are experiencing significant growth in molded fiber packaging production units, driven by a shifttowards sustainable packaging solutions.
• The waste generation in molded fiber production is significantly lower than plastic, with some manufacturers reporting as low as 1% waste during the production process. This is due to efficient recycling and waste management systems in place at most facilities.  

Major Key Trends in Molded Fiber Packaging Market:

Eco-friendly & Sustainability Alternatives
Growing global shift away from single-use plastics due to consumer demand and government bans. Molded fiber is biodegradable, recyclable, and compostable — ticking all the boxes for eco-conscious brands and regulations (like the EU Single-Use Plastics Directive). Brands are moving toward zero-waste packaging goals, and molded fiber fits perfectly.

Customization & Premiumization
Shift from basic trays and egg cartons to high-quality, premium molded fiber packaging for electronics, cosmetics, spirits, and luxury goods. Custom shapes, colors, embossing, and textures enhance brand image while staying sustainable.

Advancements in Technology & Design
Improved material engineering: Hybrid solutions combining molded fiber with thin barrier coatings for moisture or grease resistance. The innovation of new 3D and precision molding has driven the market growth. Better design capabilities for protective, aesthetic, and functional packaging.

Expansion Beyond Traditional Segments

Molded fiber is expanding from food service and egg cartons into electronics, healthcare, industrial packaging, and cosmetics personal care products. Especially relevant for protective packaging in fragile, high-end goods.

Food Safety & Direct Food Contact Applications

Growing trend toward food-grade molded fiber packaging with certified safe coatings and improved hygiene. Ideal for ready meals, takeaway containers, and fresh produce packaging.

Regional Manufacturing & Local Supply Chains

To minimize carbon footprint and meet sustainability goals, companies are localizing production of molded fiber packaging. Minimizes dependency on international supply chains and fits into the "made local" movement.

Scalability & Automation

Increasing investments activity in automation technologies in molded fiber production for higher output, consistency, and lower costs. Automation is helping scale up molded fiber production to meet the surge in demand.

Maintaining Transparency & Brand Storytelling

Consumers are more attracted to packaging that tells a sustainability story molded fiber’s natural look and eco-benefits play well into this narrative. Some brands highlight molded fiber packaging as part of their eco-branding directly on the packaging.

Advancement in Technology & Rising Demand in Food Services & Takeaway to Offer Potential

New technologies are improving barrier properties (moisture, oil resistance, grease,) and making molded fiber suitable for wet, hot, and frozen food packaging. Advanced printing and finishing techniques allow for premium, branded packaging. As takeaway and food delivery grow globally, the demand for eco-friendly food trays, clamshells, and containers is soaring. Different cities and countries have banned plastic containers, creating a direct opportunity for molded fiber replacements.

• For instance, in August 2024, Huhtamaki, a packaging business based in Finland, is supplying molded fiber lids to Starbucks in order to assist them introduce new compostable cups for cold beverages in certain places. Based on local regulations, the compostable cups and lids will first be introduced in 24 locations, with the addition of additional markets anticipated in the future, a Starbucks representative stated in an email. Huhtamaki is a collaborator in this project, according to Starbucks. With over a dozen facilities across the United States, Huhtamaki declined to comment on individual customer partnerships.

Limitations & Challenges in Molded Fiber Packaging Market:

Environmental Considerations & Government Regulations

Molded pulp manufacture is commended for having a minimal environmental impact because it frequently employs recycled materials and requires less energy and water than standard plastic packaging production. Along with producing goods that can be recycled or composted after use, it also reduces greenhouse gas emissions and helps create an environmentally friendly closed-loop cycle. It does have some environmental issues, though.

Molding can cause significant energy consumption during production, and pulp can release chemicals into the air and water. According to EPE Global, these emissions may contain dangerous greenhouse gases such as nitrogen oxides and sulfur compounds. The usage of virgin fiber contributes to habitat loss and biodiversity reduction, which is another reason why the business is criticized for deforestation.

Regional Analysis:

Asia’s Rising Industrialization to Promote Dominance

Asia Pacific region dominated the molded fiber packaging market in 2024, driven by the expansion of the industrial sector in the region. Asia Pacific region dominance in the molded fiber packaging market is driven by a mix of raw material availability, cost advantages, policy support, booming industries like food services and ecommerce, and growing eco-awareness. Brans in Asia Pacific region are responding by adopting molded fiber to appeal to green-minded consumers. Rising middle class consumers in Asia Pacific region are becoming more eco-conscious, rising demand for sustainable packaging options. Asia Pacific region various sources of pulp and recycled paper, especially in countries like China, Japan, India, Vietnam, and Indonesia.

Asian Countries Fiber Packaging Trends: Green Initiatives to Support the Market

India Market Trend-India’s single-use plastic ban and government initiatives has driven the market growth. The strong local availability of raw material in India minimizes input costs and supports large-scale production. A company that prioritizes sustainability, Nippon Molding specializes in producing pulp mold egg trays for the poultry sector as well as comparable packaging for goods like fruits and vegetables.

Nippon Molding's trays are contributing to Japan's efforts to reduce the amount of plastic waste it produces. President Akira Ishihara states that pulp mold, a molded paper product created by combining recycled paper with plant fibers and water, is completely recyclable, biodegradable, and environmentally beneficial. It is also a good substitute for traditional plastic items. It makes a positive contribution to society.

North America’s Largest Food & Beverage Industry to Support Growth

North America region is seen to grow at the fastest rate in the molded fiber packaging market during the forecast period. U.S. states (like New York, California) and Canadian provinces are banning or restricting single-use plastics, which accelerates the shit to sustainable alternatives like molded fiber. North American consumers are increasingly eco-conscious and willing to pay a premium for green packaging. Brands are utilizing molded fiber to align with consumer expectations and boost brand image. North America region is investing heavily in advanced molded fiber manufacturing technologies, including automation, precision molding, and barrier coatings.

Major North American brands (McDonald’s, Amazon, Walmart, etc.) are setting ambitious ESG (Environmental, Social, Governance) goals, which includes switching to sustainable packaging. North America region has strong infrastructure for paper recycling, ensuring a steady supply of raw materials for molded fiber production. Some U.S. states and Canadian provinces are offering grants, subsidies, and incentives for sustainable packaging innovations. North America is home to many packaging design and innovation centers, which are driving new applications for molded fiber beyond traditional segments.

More Insights in Towards Packaging:

• Food and Beverage Packaging Materials Market Key Business Drivers & Industry Forecast: https://www.towardspackaging.com/insights/food-and-beverage-packaging-materials-market-sizing
• Edible Packaging Market Research Insight: Industry Insights, Trends and Forecast: https://www.towardspackaging.com/insights/edible-packaging-market
• Meal Prep Containers Market Research, Consumer Behavior, Demand and Forecast: https://www.towardspackaging.com/insights/meal-prep-containers-market-sizing
• Milk Packaging Market Research, Consumer Behavior, Demand and Forecast: https://www.towardspackaging.com/insights/milk-packaging-market-sizing
• Seafood Packaging Market Strategic Growth, Innovation & Investment Trends: https://www.towardspackaging.com/insights/seafood-packaging-market
• Fresh Food Packaging Market Consumer Insights & Growth Strategies: https://www.towardspackaging.com/insights/fresh-food-packaging-market-sizing
• Pet Food Packaging Market Strategic Review, Key Business Drivers & Industry Forecast: https://www.towardspackaging.com/insights/pet-food-packaging-market
• Baby Food Packaging Market Performance, Trends and Strategic Recommendations: https://www.towardspackaging.com/insights/baby-food-packaging-market-sizing
• Food Cans Market Research, Consumer Behavior, Demand and Forecast: https://www.towardspackaging.com/insights/food-cans-market-sizing
• PET Containers Market Research Insight: Industry Insights, Trends and Forecast: https://www.towardspackaging.com/insights/pet-containers-market-sizing

Segment Outlook

Pulp Type Insights

The transfer molded segment dominated the molded fiber packaging market with the largest share in 2024. Transfer molding enables for faster production cycles compared to other types (like thermoformed or thick-wall). It supports high-volume manufacturing, which makes it attractive for mass-market applications like egg cartons, cup carriers, and industrial packaging. Transfer molded products offer good structural integrity while remaining lightweight.

The thermoformed molded fiber segment is anticipated to grow with the highest CAGR in the market during the studied years. Thermoformed molded fiber provides a smooth surface finish, edges, sharp and more defined details compared to traditional molded fiber. The thermoforming process allows for intricate designs and highly precise shapes, offering excellent fit and function. Thermoformed fiber packaging is stronger and more rigid than traditional molded fiber. Thermoformed molded fiber provides an ideal balance: lightweight to save on shipping costs, yet durable enough to protect product during transit. Thermoformed fiber assists brands to meet their sustainability targets while delivering premium packaging.

Product Type Insights

The trays segment accounted for a significant share of the molded fiber packaging market in 2024. Molded fiber trays are extensively utilized in food packaging (meat trays, fruit trays), medical (instrumental trays), electronics (protective trays) and consumer goods. The trays packaging assists companies to meet global and regional regulations against single-use plastics and mandates for sustainable packaging. Particularly important in North America and Europe, where regulatory pressure is strong.

The clamshells segment is expected to grow at the fastest rate in the molded fiber packaging market during the forecast period of 2024 to 2034. With increase in global bans and restrictions on single-use plastics and styrofoam (especially in parts of the U.S. and Europe) businesses are rapidly shifting to fiber-based clamshells. Clamshells offer all-around protection with secure closures, making them ideal for both food and non-food applications.

Applications Insights

The food & beverages segment held a dominant presence in the molded fiber packaging market in 2024. Food & beverages industries are under intense pressure to eliminate single –use plastics. Molded fiber packaging provides a biodegradable, recyclable alternative and compostable to plastic trays containers, clamshells, and cups. Molded fiber packaging is ideal for on-the-go meals, keeping food protected and warm, while meeting consumer demand for sustainable packaging.

The electronics segment is predicted to witness significant growth in the molded fiber packaging market over the forecast period. Electronics are fragile, and molded fiber packaging naturally absorbs shocks and vibrations during shipping. Its design flexibility allows for custom-fitted molds that snugly hold devices and accessories, preventing movement and damage.

Global Molded Fiber Packaging Market Players

• UFP Technologies, Inc.
• ProtoPak Engineering Corporation
• Green Packing Environmental Protection Technology Co., Ltd.
• FiberCel Packaging LLC
• Huhtamaki Oyj
• Henry Molded Products, Inc
• Dongguan City Luheng Papers Company Ltd. 
• EnviroPAK Corporation
• Spectrum Lithograph Inc.
• Brodrene Hartmann A/S
• OrCon Industries Corporation
• Keiding, Inc.
• Pacific Pulp Molding, LLC
• Guangxi Qiaowang Pulp Packing Products Co, Ltd.
• Celluloses De La Loire
• Pactiv LLC
• Dynamic Fibre Moulding (PTY) Ltd.
• Primapack SAE
• Guangzhou NANYA Pulp Molding Equipment Co., Ltd.
• ESCO Technologies Inc.

Recent Breakthroughs in Global Molded Fiber Packaging Market:

• In January 2025, Cirkla Inc., a company focused on manufacturing sustainable packaging, revealed the introduction of the molded fiber Modified Atmosphere Packaging (MAP) trays. Cirkla's exclusive technology, which makes it the first and only firm in the world to offer this invention, offers a high-performance, environmentally friendly substitute for conventional plastic MAP trays, cutting the plastic content by almost 85% and establishing a new standard for sustainable meat packaging.
• In January 2025, NBC introduced its "disappearing*" fiber-based bottle, which is designed to be up to 99% recyclable and biodegradable in the environment, as an alternative to traditional plastic bottles during the 2025 World Economic Forum Annual Meeting in Davos. The bottle appears to be composed of "rapidly renewable" plant resources, including bamboo, bagasse, and local, indigenous fire mixtures, all of which are covered in natural polymers. The decentralized manufacturing model, which leverages a worldwide network of manufacturing partners, aims to create circularity and shorten supply chains, which will reduce emissions, speed up delivery, and generate jobs in local areas.

Global Molded Fiber Packaging Market Segments

By Pulp Type:

• Transfer Molded
• Thick wall
• Thermoformed Molded Fiber
• Processed Pulp

By Product Type:

• Trays
• Drink Carriers
  • 2 Cups
  • 4 Cups
  • 6 Cups
  • More than 8 cups
• Boxes
• End Caps
• Plates
• Bowls
• Cups
• Clamshell Containers

By Application:

• Food & Beverage
• Electrical & Electronics
• Automotive
• Healthcare
• Industrial
• Others

By Region:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Sweden
  • Denmark
  • Norway
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Thailand
• Latin America
  • Brazil
  • Mexico
  • Argentina
• Middle East and Africa (MEA)
  • South Africa
  • UAE
  • Saudi Arabia
  • Kuwait

About Us 
Towards Packaging is a leading global consulting firm specializing in providing comprehensive and strategic research solutions. With a highly skilled and experienced consultant team, we offer a wide range of services designed to empower businesses with valuable insights and actionable recommendations. We stay abreast of the latest industry trends and emerging markets to provide our clients with an unrivalled understanding of their respective sectors. We adhere to rigorous research methodologies, combining primary and secondary research to ensure accuracy and reliability. Our data-driven approach and advanced analytics enable us to unearth actionable insights and make informed recommendations. We are committed to delivering excellence in all our endeavours. Our dedication to quality and continuous improvement has earned us the trust and loyalty of clients worldwide.