The Western European market for plastic extrusion machines will grow by 7,9% in terms of value in 2011. A slight recovery from the economic crisis, which hit the machine industry significantly in 2008, was already noticeable in 2010. The economic upswing of the plastic machine industry in Germany is the main driver of this turnaround. As the majority of the products manufactured by extrusion machines are used for building activities, the construction sector is the major force for the market. The expected construction growth of 3,0% play into the hands of the extrusion manufacturers, according to a recent study of Interconnection Consulting.
Over 600 million of turnover in Western Europe
Western European manufacturers have generated a turnover of 606,2 million Euro with extruders, tools, downstream and peripheral equipment in 2010 and further growth will lead to a turnover of over 780 million Euro in 2014. Last year, most extrusion machines sold were used for window profiles with a share of 31,7%. However, the relevance of window profiles is slightly decreasing, whereas a growth in share from 29,3% in 2010 to 30,1% in 2014 can be recorded in the pipe extrusion segment. The sheet extrusion field will lose importance; its market share is expected to decrease from 18,8% in 2010 to 18,1% in 2014. Other fields of application show a combined share of 20,3% in 2010 and will further strengthen their position throughout the next years.
Germany as the leading force in Europe
Germany, the motor of the machine industry in Europe, is recording a prosperous development in the extrusion machine market with an expected turnover of 283,8 million Euro in 2011. Although machines for window profiles still constitute the largest share, other product groups like foil are catching up quickly.
Italy, the other European stronghold for plastic machine manufacturing, is facing growing demand also; in 2011, the 1.200 mark of units sold will be surpassed. The outlook on the French market is promising as well with an annual growth rate of 6,2% in value until 2014. In the Benelux countries, pipe extrusion holds the largest market share with over 51,9% in 2010 and further growth is being predicted.
Austria & Switzerland also profit from the general upswing in the plastic machine industry, however the relevance of this region is declining. With a comparably low growth rate of 3,2% in turnover in 2011, Austrian and Swiss extrusion machine manufacturers are forced to seek alternatives to their domestic market. A similar trend can be observed in the United Kingdom. With an estimated turnover of 60,5 million Euro in 2011, the development is positive, but growth is far below the Western European average.
Double-digit growth in the emerging markets
Due to expansive construction activities in Turkey, the demand for extrusion machines is on a high level, which will lead to a turnover of 39,6 million Euro and a growth rate of 20,0% in 2011. The Turkish machine industry, which was not struck as hard by the economic crisis as Western Europe, can look into the future with optimism as turnover will grow over 75 million Euro in 2014.
A similar trend is visible in Poland: Although the country suffered from a market break, extrusion machine manufacturers are seeing their order books filling up again. This is shown by a growth rate of 11,0% in turnover in 2011. The positive development will continue and bring a turnover of 48,5 million Euro in 2014.
Structural changes on the extrusion market
In the short-term, a shift in demand of machine groups is expected from ready-to-use turn-key solutions to individual equipment as buyers become more price-conscious and able to buy various parts from different suppliers due to their growing expertise. This trend is reflected by the share of turn-key projects of 56,3% in 2011 that cannot keep pace with the growth of the total market.
In the premium segment of complex machines, hardly no imports from outside of Europe can be recorded, whereas rivalry from Asia and especially China is growing in the field of cheaper equipment. The established companies should lay their focus on machines that require advanced technology and search for strategic alliances with other manufacturers, suppliers or distributors.
Over 600 million of turnover in Western Europe
Western European manufacturers have generated a turnover of 606,2 million Euro with extruders, tools, downstream and peripheral equipment in 2010 and further growth will lead to a turnover of over 780 million Euro in 2014. Last year, most extrusion machines sold were used for window profiles with a share of 31,7%. However, the relevance of window profiles is slightly decreasing, whereas a growth in share from 29,3% in 2010 to 30,1% in 2014 can be recorded in the pipe extrusion segment. The sheet extrusion field will lose importance; its market share is expected to decrease from 18,8% in 2010 to 18,1% in 2014. Other fields of application show a combined share of 20,3% in 2010 and will further strengthen their position throughout the next years.
Germany as the leading force in Europe
Germany, the motor of the machine industry in Europe, is recording a prosperous development in the extrusion machine market with an expected turnover of 283,8 million Euro in 2011. Although machines for window profiles still constitute the largest share, other product groups like foil are catching up quickly.
Italy, the other European stronghold for plastic machine manufacturing, is facing growing demand also; in 2011, the 1.200 mark of units sold will be surpassed. The outlook on the French market is promising as well with an annual growth rate of 6,2% in value until 2014. In the Benelux countries, pipe extrusion holds the largest market share with over 51,9% in 2010 and further growth is being predicted.
Austria & Switzerland also profit from the general upswing in the plastic machine industry, however the relevance of this region is declining. With a comparably low growth rate of 3,2% in turnover in 2011, Austrian and Swiss extrusion machine manufacturers are forced to seek alternatives to their domestic market. A similar trend can be observed in the United Kingdom. With an estimated turnover of 60,5 million Euro in 2011, the development is positive, but growth is far below the Western European average.
Double-digit growth in the emerging markets
Due to expansive construction activities in Turkey, the demand for extrusion machines is on a high level, which will lead to a turnover of 39,6 million Euro and a growth rate of 20,0% in 2011. The Turkish machine industry, which was not struck as hard by the economic crisis as Western Europe, can look into the future with optimism as turnover will grow over 75 million Euro in 2014.
A similar trend is visible in Poland: Although the country suffered from a market break, extrusion machine manufacturers are seeing their order books filling up again. This is shown by a growth rate of 11,0% in turnover in 2011. The positive development will continue and bring a turnover of 48,5 million Euro in 2014.
Structural changes on the extrusion market
In the short-term, a shift in demand of machine groups is expected from ready-to-use turn-key solutions to individual equipment as buyers become more price-conscious and able to buy various parts from different suppliers due to their growing expertise. This trend is reflected by the share of turn-key projects of 56,3% in 2011 that cannot keep pace with the growth of the total market.
In the premium segment of complex machines, hardly no imports from outside of Europe can be recorded, whereas rivalry from Asia and especially China is growing in the field of cheaper equipment. The established companies should lay their focus on machines that require advanced technology and search for strategic alliances with other manufacturers, suppliers or distributors.
