PE sacks and bags market in Germany

Earlier Report Observations

The German market for PE sacks and bags began the period with substantial demand, as low-density polyethylene (LDPE) used in packaging films – including bags and sacks – accounted for 58% of total LDPE demand in 2018. This underlying consumption supported a market volume of 525 thousand tons that year. By 2020, the COVID-19 pandemic reduced oil production and lowered crude prices, which constrained naphtha and ethylene supply and led polymer producers to cut output, affecting the availability of LDPE for sack and bag manufacturing.

Market volume declined to 466 thousand tons in 2021 but recovered to 510 thousand tons in 2022, indicating post-pandemic volatility. In 2023, the packaging sector – including plastic bags and sacks – faced an economic downturn that pushed revenue down by 8.9% for bags, carrier bags, and sacks, contributing to a contraction in market volume.

By 2024, the industry showed early signs of a recovery, supported by a positive outlook for packaging machinery orders. Simultaneously, market participants introduced bio-based ethylene alternatives, such as Dow's NORDEL™ REN EPDM, certified under ISCC PLUS, as part of a broader shift toward decarbonized polymers. Demand for paper sacks also rose in building materials, chemicals, and food sectors, influencing the competitive landscape for PE sacks.

Production PE sacks and bags in Germany

In value, 2017-2020, M $ US

Production of PE sacks and bags in Germany has declined for the second year in a row. In 2020, output was valued at 1 488 million US dollars, marking a 1.4% decrease from 2019. Over the period from 2017 to 2020, production fell by 6.4%, which translates to an annualized decline of 2.2%. The highest production value was recorded in 2018 at 1 691 million US dollars, with the largest increase that year of 6.3%. In contrast, the most significant drop occurred in 2019, when production decreased by 10.7%.

Annual dynamics of production in Germany in value, 2017-2020, M $ US

In kind, 2017-2020, K t

Production of PE sacks and bags in Germany has declined for the second consecutive year. In 2020, Germany produced 429.0 thousand tonnes of PE sacks and bags, which is 2.5% less than in the previous year. From 2017 to 2020, production decreased by 7.4%, equating to an annualized rate of decline of 2.5%. The peak production volume was recorded in 2018 at 475.1 thousand tonnes, with the largest increase that year of 2.6%. The most substantial decline happened in 2019, when production fell by 7.4%.

Annual dynamics of production in Germany in kind, 2017-2020, K t

Exports PE sacks and bags from Germany

Exports in kind, K t

After two years of growth, exports of PE sacks and bags from Germany declined in 2020. Germany exported 302.6 thousand tonnes of PE sacks and bags in 2020, which is 5.3% lower than in 2019. Between 2017 and 2020, exports decreased by 4.1%, representing an annualized decline of 1.4%. The highest export volume was recorded in 2019 at 319.7 thousand tonnes, with the largest increase that year of 1.2%.

Annual dynamics of product's exports from Germany in kind, 2017-2020, K t

The structure of exports in kind from 2017 to 2020 shows a diversified set of trading partners. The United Kingdom accounted for 16.0% of exports in kind, France for 13.3%, and the Netherlands for 10.9%. Together, these three countries represented only 40.1% of total export flows, while the remaining 59.9% was distributed among numerous smaller markets.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Germany in kind, 2017-2020

Exports in value, M $ US

In 2020, Germany's exports of PE sacks and bags amounted to 1 002 million US dollars, reflecting a 1.5% increase compared to the previous year. The lowest export value was recorded in 2019 at 988 million US dollars, with the largest decline that year of 5.8%. The highest export value occurred in 2018 at 1 049 million US dollars, when exports saw the largest increase of 5.3%.

Annual dynamics of product's exports from Germany in value, 2017-2020, M $ US

From 2017 to 2020, Germany traded PE sacks and bags with many countries, and even the largest destinations—the United Kingdom, France, and the Netherlands—together accounted for only 36.1% of total exports in value terms.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Germany in value, 2017-2020

Imports PE sacks and bags to Germany

Imports in kind, K t

Imports of PE sacks and bags into Germany have declined for the second consecutive year. In 2020, Germany imported 351.2 thousand tonnes of PE sacks and bags, equivalent to a 2.0% drop from 2019. The highest import volume was recorded in 2018 at 365.9 thousand tonnes, with the largest increase that year of 4.6%. The most significant decline occurred in 2019, when imports decreased by 2.0%.

Annual dynamics of product's imports to Germany in kind, 2017-2020, K t

Over the period from 2017 to 2020, there was no single dominant market for PE sacks and bags imports into Germany. Poland accounted for 17.4% of imports in kind, Vietnam for 17.3%, and China for 11.6%. Together, these three countries represented only 46.3% of total imports in kind, while many smaller partners each held modest individual shares.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Germany in kind, 2017-2020

Imports in value, M $ US

Imports of PE sacks and bags into Germany have declined for the second year in a row. In 2020, imports totaled 740 million US dollars, which is 3.3% lower than in the previous year. The highest import value was recorded in 2018 at 809 million US dollars, with the largest increase that year of 8.6%. The most substantial decline happened in 2019, when imports fell by 5.4%.

Annual dynamics of product's imports to Germany in value, 2017-2020, M $ US

From 2017 to 2020, imports of PE sacks and bags into Germany in value terms were not heavily concentrated. Poland accounted for 15.9% of imports in value terms, Vietnam for 14.3%, and China for 12.4%. Together, these three countries captured only 42.6% of total import flows.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Germany in value, 2017-2020