There are signs of a slight recovery in plastics production and among manufacturers of plastic packaging.
 

Production volumes for primary plastics and monomers have recently risen slightly, according to the association of plastics producers PlasticsEurope Deutschland e. V. (PED). However, the situation in the industry remains tense, as Ralf Düssel, Chairman of the association, emphasized in a statement published on LinkedIn: "German plastics producers will also benefit from the global economic upturn. However, competitive conditions in Germany have recently deteriorated and are dampening the recovery. The pre-crisis level is unlikely to be reached for some time under the current conditions." According to Düssel, the German government must now take countermeasures with industrial policy measures, energy prices must be lowered and approval procedures must be significantly simplified.
 
At its half-year press conference in Frankfurt am Main on July 8, 2024, the VCI Verband der Chemischen Industrie reported a 1.5% increase in polymer production, including plastics and man-made fibers. Across all chemical segments (excluding pharmaceuticals), the increase in production was reportedly even more significant at 3.5%. Although the first half of 2024 was better than expected for companies in Germany, production in the sector was still around 11% lower than in 2021.
 
According to a recent economic survey conducted by the IK Industrievereinigung Kunststoffverpackungen, in which 102 member companies reportedly took part, there are also signs of a slight recovery among manufacturers of plastic packaging despite continued weak demand and a high bureaucratic burden: 44% of IK members, 5% more than in the previous quarter, rate the current economic situation as "satisfactory". According to the survey, 55% of companies expect the economic situation to be poor, compared to 60% in the first quarter of 2024. In terms of sales development, however, six percent more, namely 30% of the companies surveyed, expect revenues to fall.
 
Manufacturers of plastics and rubber machinery closed 2023 with a 22% increase in turnover, as the VDMA Plastics and Rubber Machinery Association recently reported. However, incoming orders also slumped by 22% according to the VDMA. In addition to the wars in Ukraine and the Middle East, companies were particularly affected by high energy costs, inflation and high interest ratesn.
 
Sources:

• Kunststoff Information (4.7.2024)
• LinkedIn PED, VCI press release (8.7.2024)
• Photo: © PED