Glass trends suggest a more balanced and sustained demand in the long term, O-I's CEO said.
Factors such as rising consumer health awareness, which is driving growth in no and low alcohol beverages, as well as in food and water, means glass should benefit, O-I's Gordon Hardie told investors.
Packaging dynamics are currently evolving, he said.
Short-term cyclical pressures such as inflation, consumer price resistance and elevated supply chain inventories have temporarily dampened demand.
Longer-term factors such as lower per capita alcohol consumption and increased substrate competition will persist in certain markets.
But these will be offset by the interest in premiumisation and sustainability.
"These trends suggest a more balanced and sustained demand for glass over the long term," he said.
While demand dynamics are varied in different parts of the world, beer and wine consumption are declining.
But within beer, there's a dynamic where premium beers have shown growth while mid-tier and lower equity brands have lost share.
There has been growth in non-alcoholic beers, with up to 60% of new users from the Gen-Z demographic.
He added younger people have found it difficult to access wine.
He said: "It can be a complicated category to access with different appellations and labels and so on.
"But what we do hear is the wine industry saying, 'Okay, how do we make it easier for consumers to access the category?'".
He added: "I think glass is very well placed with these younger consumers because across the world, they are far more sustainability aware and have a very, very positive view on glass packaging."
