Economic conditions hit alufoil production

Given current economic conditions and in line with expectations European Aluminium Foil Association (EAFA) figures for the first half of 2009 show a 13 % fall in members’ alufoil production, compared with the first six months in 2008 to 371,400 t.

Thicker alufoil gauges, used mainly for the manufacture of semi-rigid foil trays and technical applications like heat exchangers for the automotive and building sectors were the worst affected falling by 26 %, while thinner gauges used mainly in flexible packaging and household foil faired better declining by 7 %.

“We have to accept that the industry and its customers have to continue to adapt to the current economic circumstances. However, it is not all bad news for the alufoil sector as the one-off effect of stock reduction along the supply chain seems to be over” said Stefan Glimm, EAFA’s Executive Director. “Data for the last two months show a bottoming out in particular for thicker gauges and exports.”

Aluminium foil characteristics are strength, formability and barrier properties which have made it an essential part of many flexible packaging and container applications. Other uses of aluminium foil include automotive and heat exchange components, insulation material and many industrial applications.

The European Aluminium Foil Association is the international body representing companies engaged in the rolling and rewinding of alufoil and in the manufacture of alufoil containers and of all kind of flexible packaging. Its more than 120 members include companies in Western, Central and Eastern Europe.