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Supply security could impact German aluminium aerosol market in 2022

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Aluminium Deutschland has reported a “robust market situation” for aluminium aerosol cans and tubes in 2021, but warned that supply security could be an issue in 2022.

Deliveries to the German market were stable in 2021, despite ongoing Covid pressures. Demand picked up significantly, the organisation said, particularly in the second half of the year, leading to an overall ‘satisfactory’ result for the industry.

While demand for pharmaceutical and cosmetic products was subdued in 2021 due to Covid restrictions, demand for food, technical and household products increased significantly, as consumers spent more time in their own homes. There was also a significant rise in demand for aluminium cartridges, small bottles and rigid tubes in 2021, where existing markets could be expanded and new markets were developed through innovative applications.

Due to an ongoing tense situation in the markets for transportation services, the issue of supply security is playing an increasingly central role in the value chain, said Aluminium Deutschland. The lack of availability of trucks and containers for deliveries within Europe and overseas is putting globally interlinked logistics chains to the test. So far, proactive production and transportation panning by aluminium packaging manufacturers has prevented retail bottlenecks and stock challenges.

“The industry has distinguished itself as a reliable supply chain partner since the pandemic began,” said Johannes Schick, chairman of Aluminium Deutschland’s tubes, cans and impact extruded products division.

“However, the situation will remain extremely tense in 2022, as the rampant Omicron variant could negatively impact staff availability at plants, making another bottleneck.

“Added to this are the energy prices, which have risen exorbitantly in recent months. These are causing the industry great concern, as they are cutting the scope for necessary investments in the future and for maintaining the industry’s innovative strength.”

Overall, the industry is looking ahead to the first half of 2022 with confidence, due to promising incoming orders.

“If another Covid variant or a worsening Ukraine crisis with the associated uncertainties among consumers does not throw us off course, we definitely expect overall demand to pick up further, especially also in the key markets for pharmaceutical and cosmetic products.”

World Aerosols’ January/February edition includes a detailed 2022 Outlook for the aluminium aerosol industry by Gregor Spengler, head of packaging, recycling and sustainability at Aluminium Deutschland.

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