Further decline in aluminium foil deliveries

Both the domestic and overseas markets were affected. The new month figures now show a Decline in deliveries to 636,000 tonnes, which corresponds to a decrease of 12.9 percent compared to the same period last year, according to the European Aluminium Foil Association EAFA informs.

Thin film that is mainly used for flexible packaging and household film. Double-digit declines againDeliveries in this segment fell by 22 per cent overall. While the European markets fell by almost 19 per cent, Exports fell by around 40 per cent, The export volumes are significantly lower than the European domestic volumes. The nine-month figures for thin film show a decline of almost 15 per cent. The main reasons for this development are the continuing Weak and cautious end consumer demand for packaging applications and the persistently high stock levels at processors, which are due to excessive orders as a result of supply chain disruptions following the pandemic.

The picture is similar for thick film, which is used for semi-rigid containers, technical or other applications. Demand from Europe fell by 16 per cent in the last three months, while deliveries from overseas fell by almost 20 per cent compared to the same period last year.

„With so many issues beyond our control now impacting economic activity, it is difficult to predict with any certainty how demand will develop. A recovery is not expected until 2024 - due to the greater resilience of our end markets, greater confidence in economic growth prospects and the reduction in armed conflicts. Demand for packaging is likely to recover somewhat as the festive season approaches, and inventories will not remain high forever. The film rolling sector is therefore hoping for further positive signs.“

Bruno ReaChairman of the EAFA Rolling Group

Source: EAFA