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Last Updated on March 26, 2025 by admin

European packaging trends in 2025

We are Irelands most trusted packaging manufacturer helping build global brands. Established in 1984 and based in Dundrum Dublin, Label Craft joined The Asteria Group in 2022 and are one of Irelands largest self-adhesive label and packaging manufacturer, supplying to the pharmaceutical, healthcare, medical devices, cosmetic, veterinary and the food and drinks industry.

The European packaging market is undergoing a remarkable transformation, marked by robust growth, a shift towards sustainable materials, and the increasing influence of regulatory changes. As industries across the continent adapt to these trends, regional strengths and challenges are shaping the future of packaging in unique ways.  In this article we will discuss some packaging trends in Europe in 2025.

 

Innovation in smart packaging

Smart packaging systems use advanced technologies like the Internet of Things (IoT), sensors, and data analytics to monitor temperature, humidity, and handling conditions, ensuring perishable goods remain safe and fresh.

These innovations reduce food and packaging waste and improve operational efficiency throughout the product lifecycle.

Concerns around health and the toxicity of plastics will intensify, driving regulation across markets

In 2025, global attention on plastics’ negative health impacts will increase. Micro- and nano plastics are most prominent, with new evidence in 2024 linking them more directly to health risks. Similarly, harmful effects of ‘chemicals of concern’ used in plastics are also becoming better understood. The PlastChem Report identified over 16,000 chemicals known to be present in plastics, with at least 4,200 classified as “of concern” due to hazards to human health and the environment.

PFAS (per- and polyfluoroalkyl substances) – or ‘forever chemicals’ – are an important such example. Used extensively in packaging, textiles, and industry for their grease- and water-resistant properties, PFAS are increasingly linked to liver damage, hormone disruption, immune suppression, and cancer.

 

A Growing Market with Diverse Needs

Spain’s focus on paper, cardboard, and plastic recycling has made sustainability a central theme in its packaging industry. France has implemented ambitious policies like the ban on single-use plastics, reflecting its commitment to creating a circular economy. Across Europe, companies are prioritizing lighter, eco-friendly packaging options to align with these regulatory and market demands.

Europe’s packaging sector is on a strong growth trajectory, fuelled by demand from industries such as food, beverage, automotive, and pharmaceuticals. Countries such as Spain, France, and Italy are seeing significant developments driven by both local and global pressures to adopt more sustainable practices. The recycling laws, government incentives, and heightened consumer awareness are pushing the industry to innovate.

The “paperisation” trend will accelerate

We see this especially in Europe as a substitute for flexible plastic packaging, but remaining challenges require attention. In 2025, the shift from plastic to fibre-based packaging – particularly in flexible applications in Europe – will accelerate, driven by brand value considerations, consumers’ perception of paper as more eco-friendly than plastics, and lower EPR fees and taxes.

Due to the growing interest in paper solutions, we expect R&D investments to accelerate, enhancing paper’s functionality and opening new segments and markets. R&D will focus on advancements in handling liquids, humid climates, challenging operational environments, and biodegradable linings and coatings.

Companies will increasingly invest in paper alternatives to avoid plastic taxes and rising compliance costs. Prominent such examples include Unilever which has already made paper an R&D priority in its packaging strategy, Nestlé’s increasing roll-out of paper packaging innovation, and Mars’ recyclable paper packaging pilots across geographies – to name a few.

Sustainability: A Shared Priority

Sustainability has always been at the heart of Europe’s packaging evolution. Denmark and Belgium lead the way with high recycling rates and innovative deposit systems, setting benchmarks for other nations. The Scandinavian region, known for its close ties to forestry industries, has embraced fibre-based packaging solutions, leveraging natural resources to meet sustainability goals.

The Netherlands are pushing boundaries with initiatives that aim for entirely recyclable and fossil-free packaging by 2050. However, challenges remain, particularly in regions like Poland and Great Britain, where recycling rates for certain materials, such as plastics, still have room for improvement. As regulations become stricter and global attention to sustainability intensifies, the industry is being forced to innovate at an unprecedented pace.