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IK: Record price jumps for energy and raw materials endanger production - The plastic packaging industry urgently needs relief


The extreme price pressure for electricity and gas as well as the persistently high raw material prices mean that every fourth manufacturer of plastic packaging and films has to reject orders. For 2022, the industry expects a further sharp rise in electricity costs of 28%. Numerous companies see their very existence threatened by this development. The industry calls on the new federal government for urgent relief.

According to a recent survey by IK Industrievereinigung Kunststoffverpackungen eV among its members, industrial electricity cost manufacturers of plastic films and packaging an average of 16.7 cents / kWh last year. For 2022, the industry expects a further increase to an average of 21.4 cents / kWh. "The dramatic increase in electricity and gas costs is a threat to the very existence of many of our member companies," warns Dr. Martin Engelmann, General Manager of the IK Industrievereinigung Kunststoffverpackungen, also with a view to foreign competitors. “Annual increases in electricity cost intensity of over 25% are not sustainable in the long term, even for very healthy companies. Already today, 27% of our members have to reject orders for cost reasons. This is not about profit maximization,but simply about cost-covering productions! ”Passing on the high costs to the customers is mostly only partially successful.

"In view of the energy price explosion, the new federal government must not turn a blind eye to the economic consequences," demands Engelmann. The EU Commission made it clear just a few weeks ago that the manufacturers of plastic films and packaging are significantly affected by the risk of carbon leakage . "The federal government should therefore use the leeway as quickly as possible and initiate regulations to protect domestic industry from excessively high energy prices," said Engelmann.

High cost pressure limits necessary investments in climate protection and the circular economy

The high energy prices are also the most important reason why investments in more energy-efficient production processes and a higher use of recycled materials are being put on hold. “The high cost pressure leads to shrinking margins. This means that many companies simply no longer have the funds for the urgently needed investments in climate protection and the circular economy, ”criticized Engelmann.

The supply of plastics in the industry is still very tense: 43% of the companies surveyed rated the situation as bad or very bad in December 2021. 29% even expect a further deterioration in the first quarter of 2022. This has an impact on the company's production: 32% report medium or significant limitations in delivery capacity.

 

www.kunststoffverpackungen.de

 

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