The following article received today from the K press office of Messe Dusseldorf is an analysis of the situation of the European plastics industry and how K 2019 can pave the way for these industries in order to have more hopes rather than be prepared for the worst. The article is too long for this sector and so we have chosen 1/4 of it and will lead you for the whole article.
In the run-up to K 2019, the European plastics industry faces challenges on several fronts. Overall, the economy is just bumping along; the prolonged exit of the UK from the European Union is creating disquiet; major traditional export markets are wobbling; and hardening attitudes of consumers towards plastics packaging are leading to hasty – some say ill-judged — moves among law makers setting out a path to the Circular Economy.
The German economy, traditionally the powerhouse of Europe, is in a tense situation, with exports from and imports to the country both falling in recent months. One survey of industry executives indicated that factory activity fell beyond already poor expectations in March. Analysts at consultant IHS Markit concluded that the German manufacturing sector “was clearly in deep recession.” Germany is not alone. Unemployment in Italy has started to rise again, for example. In fact, the average purchasing managers index (PMI) for the eurozone (the 19 countries that use the euro) is now below 50 (neutral). Of the four largest economies, only Spain is in positive territory. Some analysts do expect GDP in the eurozone to increase this year, although the figure will be small. And across the Channel, UK manufacturing grew faster than in over in a year in March – but largely because factories have been stockpiling goods in anticipation of Brexit.
Sales of the plastics processing industry in Germany did actually rise by over three percent last year, roughly twice as fast as GDP, notes Oliver Möllenstädt, Executive Director of GKV, the German Association of Plastics Converters (GKV). “This is remarkable as the economy moves in an increasingly uncertain international environment,” he says. But solid growth across much of the industry “must not hide the fact that the plastics industry faces major challenges. The debate about plastics in the environment, which is sometimes very emotional in the media and the public, has massive impact on plastics processing companies.” Möllenstädt says the GKV’s annual company survey showed the vast majority of companies were affected. “In our view, the course of political and public debate so far is going in the wrong direction,” he says. “The European Commission and national governments are attempting to address consumer concerns with symbolic gestures such as restrictions on single-use plastics (SUPs) and carrier bags. This strategy may quiet the public debate in the short term and give the impression of high activity, but it is not effective in the interest of the environment and sustainability.”
The plastics industry in Europe “is facing a reckoning,” says Martin Wiesweg, director of chemicals (PS, EPS and PET) at IHS Markit. “The sector has experienced years of moderate, yet steady growth, robust earnings and stellar contributions in terms of product and process innovation, employment generation, and added value in terms of functionality, convenience, and aesthetics for people’s lives. However, increasingly, it is losing social compact and public goodwill. “At the heart of this discord is the huge problem of plastic waste. With increasing intensity and rapidity, consumers and authorities in Europe are uniting against plastics by bringing sweeping measures to curb its use and strictly implement a waste hierarchy,” says Wiesweg. “The fact that the authorities are willing to risk significant cost and inconvenience to consumers is a testament of how much public faith has eroded relative to plastics.”
You can read the full article from the : K-online source.
