$158B: US pet industry maintains steady growth through 2025

8B: US pet industry maintains steady growth through 2025

Food and veterinary services dominate spending as the market increases 3.7% year-on- year.

According to the American Pet Products Association’s (APPA) 2026 State of the Industry report, the American pet industry ended 2025 with $158 billion (€134B) in spending, up 3.7% year-on-year.

The result capped 2 decades of growth, as spending on pets in the country has increased each year since 2009. The growth rate recovered compared to 2024, when revenue increased by 3.4%.

However, it remained among the lowest in the last 17 years: Since 2009, only 2017 and 2024 recorded slower annual growth rates.

Pet food dominance

Food and treats sales rose 3% year-over-year (YoY), reaching sales of $68.3 billion (€60B) in 2025. The segments represented 43.2% of all dollars spent on pets in the country, the largest share by value.

Veterinary care ranked second, accounting for 25.9% of total revenue – $41 billion (€34.8 billion) last year – and grew 3% compared to 2024.

Supplies, medications and live animals, despite representing a smaller portion of total spending (21.8%), experienced faster growth: they hit $34.4 billion (€29B) in 2025, 4.4% annual growth.

Other categories, including services such as grooming and insurance, reported $14.3 billion (€12B) in sales and the largest YoY growth at 8%.

Positive outlook

The forecast for 2026 is more positive, as the APPA expects the industry to expand 4.4%, 2% of which is driven by inflation. This would bring revenue to $165 billion (€140B).

According to APPA’s projections, total market growth will jump by a further 5% in 2027 and then return to a 4.4%-4.8% rate through 2030.

Supplies and medications are projected to remain strong growth drivers, while veterinary care is expected to recover, with both categories growing at around 4% in the period.

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