CLEVELAND (Sept. 1, 2:45 p.m. ET) — Paper will remain the leading stock for the label industry, but it will continue to lose market share to plastics, according to a new report from Freedonia Group Inc.
Plastic will account for more than one-quarter of U.S. label shipments in 2015. Plastic will gain popularity due to its aesthetic and performance advantages over paper, as well as a broad shift in favor of plastic packaging, according to “Labels,” a market study from Cleveland-based Freedonia.
Plastic labels are used in pressure sensitive, heat-shrink, stretch sleeve, in-mold and thermal transfer labels, each of which Freedonia expects to grow “at a healthy rate.”
Total U.S. label shipments are forecast to rise 4.8 percent annually to $20 billion in 2015.
“Labels,” a 349-page report, costs $5,100.