Exploring New Opportunities in the PET Industry through the China-CELAC Forum

Against the backdrop of dual carbon targets and accelerating green transformation, factors such as demographic shifts, rising consumption, climatic conditions, and evolving environmental policies are jointly creating strong market opportunities for China's high-performance Polyethylene Terephthalate (PET) materials in Latin America.

Urbanization, Climate, and Changing Preferences Drive Evolution in Latin America's Beverage Packaging

Rapid urbanization, climate-driven hydration needs, and evolving consumer preferences are collectively reshaping the beverage market across Latin America. These dynamics are fostering higher expectations for product quality, packaging safety, and environmental responsibility—making PET bottles an increasingly strategic choice for packaging solutions.

According to the Economic Commission for Latin America and the Caribbean (ECLAC), the region's population reached 663 million in 2024, with urbanization rates exceeding 80%. While population growth is moderating, projections suggest an increase to 730 million by 2053. The expanding urban middle class is a key catalyst for shifting consumption patterns.

Latin America's predominantly tropical and subtropical climate, marked by consistently high temperatures and humidity, supports steady, year-round demand for beverages. A vibrant outdoor lifestyle—including sports, street gatherings, and family meals—further encourages frequent consumption of bottled water, carbonated drinks, fruit juices, and functional beverages.

These evolving consumption habits present new demands for beverage packaging, which must deliver excellent sealing, heat and UV resistance, oxidation stability, high transparency, and lightweight portability. PET bottles are uniquely positioned to meet these criteria, making them a preferred packaging solution across the region.

Market data from Statista forecasts Latin America's soft drink market to reach USD 68.52 billion in 2024, with a compound annual growth rate (CAGR) of 4.55% through 2028. The carbonated drink segment alone is expected to grow to USD 160.15 billion by 2027, at a CAGR of 4.7% (sources: Statista, Grand View Research).

Consumer preferences are increasingly leaning toward natural fruit-based, low-sugar, plant-based, and functional beverages. These products often rely on PET packaging due to its thermal stability, lightweight nature, and recyclability—qualities that support efficient cold-chain logistics and retail distribution under ambient conditions.

Green Policies Accelerate Demand for High-Performance PET Materials

In recent years, many Latin American countries have introduced policies that promote circular economy principles and sustainable packaging. This policy environment is driving demand for high-quality, environmentally responsible PET materials. While recycled PET (rPET) continues to gain momentum, virgin PET remains the preferred solution for premium beverage applications, where clarity, sealing integrity, and heat resistance are paramount.

PET's inherent recyclability and reusability underpin a sustainable packaging ecosystem. The evolution of green packaging regulations across Latin America not only encourages recycled content but also raises industry-wide standards for product quality and environmental performance. This evolving landscape is creating promising opportunities for high-performance virgin PET products.

As cooperation between China and Latin America deepens and supply chains embrace greener standards, Chinese PET companies with strong innovation capabilities, recognized green certifications, and recyclable product portfolios are well-positioned to respond to growing market demand and contribute to the region's packaging transformation.

Chinese PET Enterprises Strengthen Presence with Technical Excellence and Green Credentials

In November 2024, Coca-Cola Andina invested $40 million to recommence operations at its bottling facility in Mendoza, Argentina, generating approximately 200 new jobs. Other global players such as PepsiCo, Nestlé, and Monster have similarly expanded their presence in Peru and Mexico. Given local limitations in high-quality PET supply, Chinese PET materials—known for low migration, high transparency, and heat resistance—play a critical role in bridging the supply-demand gap.

One of the Leading Chinese producers like Wankai New Materials Co., Ltd. leverage advanced technical expertise, diversified product offerings, and internationally recognized certifications (including FDA and EU compliance) to build trusted partnerships with top-tier Latin American clients.

Concurrently, Wankai continues to advance green manufacturing practices through increased use of renewable energy, optimization of acetaldehyde control, and the development of bio-based plastic types as well as improved recycling methods. These initiatives strengthen the company's competitiveness in carbon footprint management and sustainable packaging certifications.

Conclusion: Embracing Opportunities Along the New Green Silk Road

Latin America’s tropical climate, evolving consumption trends, progressive environmental regulations, and growing investments by global brands position the region as a strategic frontier in the globalization of China's PET industry. Success in this dynamic market requires enterprises with genuine strengths in green manufacturing, product innovation, and regulatory compliance.

With the ongoing deepening of China-Latin America cooperation and the accelerating global transition toward a green economy, Latin America’s expanding beverage market and evolving eco-packaging policies present Chinese PET companies with valuable opportunities for sustainable growth. Those equipped with environmentally responsible, differentiated, and compliant solutions will be best positioned to seize this “Latin American opportunity” and contribute to long-term success within the global value chain.