US flexible packaging industry generates US$151.4B, nearly 400,000 jobs

USA – The U.S. flexible packaging industry contributed an estimated US$151.4 billion in total economic output and supported 398,780 jobs across the country in 2025, according to a new economic impact report from the Flexible Packaging Association (FPA).

The study, prepared by John Dunham & Associates, highlights the sector’s far-reaching influence, accounting for roughly 0.5% of U.S. GDP, and underscores its essential role in food, healthcare, household, and industrial goods packaging.

Flexible packaging manufacturers directly employ 98,420 people, while 155,520 supplier jobs and 144,840 induced jobs are supported through related industries and household spending.

Combined, these positions generate US$33.46 billion in wages and benefits annually, with the largest share flowing to suppliers and service industries linked to packaging production and logistics.

The report emphasizes the industry’s extensive footprint across states, from plant operations and materials sourcing to design, transport, and retail distribution, illustrating how packaging innovation fuels broader U.S. economic activity.

In 2025, the flexible packaging sector contributed an estimated US$13.35 billion in federal, state, and local tax revenues. Total output includes direct manufacturing activity as well as the broader economic effects of supplier and consumer spending.

The FPA noted that flexible packaging’s lightweight, resource-efficient materials help reduce transportation costs and product waste, providing a competitive edge for food and beverage producers, pharmaceutical firms, and consumer goods companies.

Innovation and sustainability drive growth

As sustainability becomes central to manufacturing strategy, flexible packaging companies are investing heavily in recyclable materials, mono-material designs, and advanced barrier technologies that extend shelf life and reduce environmental impact.

Recent innovations include Amcor’s recycle-ready AmPrima films, Sealed Air’s CRYOVAC polyolefin solutions, and Mondi’s mono-PE pouches for consumer goods. all reflecting the industry’s transition toward circular packaging systems.

“The industry’s steady growth and investment in sustainable solutions underscore its critical role in both economic development and environmental progress,” the report noted.

The 2025 Economic Impact of the U.S. Flexible Packaging Industry confirms that this segment remains one of the fastest-growing in the broader packaging market, powering local economies, creating high-quality manufacturing jobs, and supporting America’s transition toward a more sustainable and competitive industrial future.

Subscribe to our email newsletters that provide busy executives like you with the latest news insights and trends from Africa and the World. SUBSCRIBE HERE