Aluminium Deutschland (AD) has reported that, despite challenging economic conditions in Germany, there has been a positive development in the deliveries of aluminium tubes and aerosol cans in the first half of this year.
In the case of aluminum tubes, continued strong demand from the pharmaceutical sector and stable development in the cosmetics and food sectors led to a year-on-year increase of 4.4%.
Overall, deliveries of aluminum tubes to the German market amounted to around 424 million units.
Regarding aluminum aerosol cans, the two largest market segments - deodorants and hair care products - experienced significant growth compared to the same period of the previous year.
This resulted in a 9.5% increase in shipments of aluminum aerosol cans, amounting to 309 million units.
Raw material and energy prices still a burden, shortage of skilled workers even more acute
The industry welcomes the positive development in both raw material and energy prices noticed in 2023, but still hopes for further improvement, according to AD.
The prices remain significantly higher than prior to the Covid-19 pandemic and the war in Ukraine, putting a strain on the German tube and aerosol can industry.
In addition, the shortage of skilled workers remains one of the biggest challenges facing the industry, and no improvement is foreseeable in the near future, added the organisation.
The chairman of the association, Clemens Behrenbruch, commented: "It is becoming increasingly difficult to replace retiring employees. The continuation of this trend can have lasting effects on the German economy and threatens Germany’s standing as a leading industrial land."
Planned bans on the use of BPA and PFAS
The European Commission's planned ban on the use of bisphenol-A (BPA) in food contact materials seems inevitable, AD continued.
Despite significant industry efforts to replace BPA coatings, it will be very difficult to switch both interior and exterior coatings to alternative systems in the medium term, added the association.
Behrenbruch stated: “BPA is found virtually everywhere in manufacturing operations: in tanks, production lines and even in water. It is very important that legislators distinguish between the intentional and unintentional use of BPA to enable compliance with the law."
In addition, the European Commission is currently considering a proposal to ban the use of perfluorinated and polyfluorinated alkyl compounds (PFAS).
A ban on the use of the entire PFAS group of substances, which consists of some 10,000 different chemicals, would probably be the most comprehensive regulatory intervention in history, said AD, adding that the ban is expected to have a significant impact on many branches of industry.
Uncertain outlook for the second half of 2023
Despite the market growth recorded in the first six months, there has been a noticeable slowdown in demand since the end of the second quarter, noted the association.
In addition, persistently high inflation rates and the IMF forecast stating that Germany will be the European country with the lowest growth rate in 2023 are both casting shadows on the market, it went on to say.
However, manufacturers of aluminum tubes and aerosol cans remain cautiously optimistic in the medium term, as the main sales markets for these aluminum-based packaging solutions have always proved resilient even in times of crisis, AD concluded.
AD reports positive aluminium aerosol can delivery figures in Germany
