European label industry recovering

The European label industry has reported an uneven recovery from post-COVID volatility, with roll labelestock demand in 2024 returning to 2016 levels despite significant regional variations, according to Finat's European Label Forum 2025.

Jules Lejeune, representing Finat, stated that while the industry caught up three years of lost volume in 2024 alone, overall performance remains below pre-COVID levels, with structural changes including the exclusion of Russia and Belarus from market data and increased sourcing from countries outside Europe reshaping the competitive landscape.

'In 2023 we were back at 2013 levels, so in one year, we caught up three years. But we're still behind pre-COVID performance,' commented Lejeune.

The forum, held in May, brought together business leaders across the European label value chain to address challenges including global economic pressures, shifting consumer attitudes and tightening sustainability regulations.

Corey Reardon, president and CEO of AWA Alexander Watson Associates, highlighted consolidation and vertical integration as defining features of the current market. The pressure-sensitive segment represents 39 percent of the global label market, with Europe accounting for 22 percent of global label production, though competitive pressure from Asia, particularly China, continues to intensify.

'There's opportunity in being more than a converter – the winners will be those who collaborate across the value chain to offer full-service, sustainable solutions,' noted Reardon.

Consumer research presented by Linda Lichtmess, Euromonitor’s consultant, revealed that health consciousness, long-term value thinking and skepticism toward vague sustainability claims dominate consumer behavior heading into 2025.

'Consumers still want sustainable options, but they demand proof. Efficiency, functionality and real benefits are the new currency of trust,' stated Lichtmess.

Paul Jenkins, founder of ThePackHub, emphasized that sustainability has become the core driver of innovation across the label and packaging sector, with compliance and recyclability requirements creating opportunities for forward-thinking converters.

'Think about the billions of labels produced last year. Where are they now? Incinerated? In landfills? Sustainability is not a 'nice-to-have' – it's a must,' said Jenkins.

The industry panel, featuring representatives from All4Labels, Asteria and Reckitt, emphasized that label suppliers must evolve beyond traditional roles to become strategic partners guiding brand owners through design, recyclability and compliance challenges.