K 2022 – Trend Report North America

European Plastics Industry Braces For Increased Instability, Higher Prices, And Lower Growth

The pandemic. Supply chain ruptures. The Great Resignation. China trade tensions. Climate change and extreme weather events. Soaring inflation. Stock market volatility. The war in Ukraine.

Seldom in our lifetimes have we experienced such an extended period of disruption and uncertainty. The most recent may have been the financial crisis of 2008-09, but that was purely economic and not further complicated by the lockdown and supply-chain issues wrought by COVID-19. Today at least household and business sector balance sheets largely remain healthy, as opposed to how they fared during the financial meltdown 14 years ago.

These various factors have upended end markets and made even the staffing of companies and the securing of necessary parts and materials a challenge, to say the least.

North America’s plastics industry has not been spared from these issues, but it has held up reasonably well, given the crucial role that plastic products play in our everyday lives, and especially in vital healthcare applications. If anything, the pandemic only helped to reinforce the value of plastics –– yes, even largely vilified, disposable, single-use plastics –– in helping to keep us all safe and healthy.

“During the 2020 COVID-19 recession, stimulated by federal relief dollars, U.S. plastics consumption held up at a time when employment was down and capacity was constrained,” noted the Washington, D.C.-based Plastics Industry Association (which calls itself PLASTICS) in its “2021 Global Trends” report. “The result was higher imports and a trade deficit.”

Industry exports in 2020 fell 8.2%, and imports rose 1.8%, the group reported, with Mexico and Canada remaining the U.S. plastics industry’s largest export markets.

The recent COVID-related lockdowns in China have further slowed global trade and impacted the United States and its plastics industry. One need look no further than the number of out-of-stock items at major retailers such as Walmart and Home Depot.

McKinsey on U.S. manufacturing

In an April podcast, Eric Chewning, a partner in the Washington, DC, office of consulting firm

McKinsey & Co., offered the following summary of U.S. manufacturing and its overall importance to the nation’s economy:

“U.S. manufacturing accounts for about $2.3 trillion of gross domestic product (GDP). It employs about 12 million people and supports hundreds of local economies across the country. Now, those headline numbers don’t really capture the outsize impact of manufacturing.

“Although it only accounts for about 11% of our GDP and 8% of direct employment, it drives 20% of our nation’s capital investment, 30% of our productivity growth, 60% of our exports, and over 70% of business R&D. And it also generates important spillover effects that help impact the broader economic activity in related sectors.”

For its part, the plastics industry plays a key role. The Plastics Industry Association’s “2021 Size & Impact Report,” published last year, estimated the total value of U.S. plastics industry shipments in 2020 to be $394.7 billion. The industry directly employed 945,300 workers, which was down almost 6% from pre-pandemic 2019.

Taking suppliers to the industry (and their upstream shipments) into account, the total value of shipments in 2021 grew to $541.6 billion and employment –– direct and indirect –– rose to 1.55 million.

Showing improvement

Despite all these challenges, U.S. plastic products manufacturing rose 4.9% in 2021 from the prior year, according to U.S. Federal Reserve data, which was in line with the association’s late-year projection.

That number could have been higher, but resin production continued to lag, said Perc Pineda, noting that materials shortages weighed down plastic products output. Pineda, the group’s former chief economist who stepped down in February after five years in that role, cited Federal Reserve data showing 2021 plastic materials and resin production down by 0.4% –– even more than the 0.2% than the association forecast late last year.

Plastics machinery production last year rose by a robust 16.8% compared with the pandemic-ravaged 2020, and plastics mold manufacturing grew by a solid 9.7% in 2021.

“While the outlook for 2022 remains positive, unresolved challenges in 2021 spilling over into 2022 will cause plastics industry growth to slow,” PLASTICS projected in its latest quarterly outlook, published in December.

Even so, the latest federal data for March 2022 indicate that U.S. plastics product manufacturing and resin production were up 7.6% and 14.1%, respectively, from March last year, according to Pineda, who has a master’s degree in economics from American University and a Ph.D. in economics from The New School (in addition to master’s degrees in both philosophy and international management). He served as a staff analyst at the International Monetary Fund and as a senior economist at the Credit Union National Association.

“These are uncertain times indeed,” he said in a mid-May interview, “and markets hate uncertainty.”

The Russia-Ukraine war, and specifically the U.S. sanctions on Russia, has impacted the plastics industry in different ways. As one example, Pineda noted that Russia is the seventh-largest supplier of fluoropolymers to the U.S. But, while concerning, imports of PTFE and other fluoropolymers from Russia amounted to just over 1,666 metric tons, or 5.4% of U.S. total imports of such materials. Nearly half of U.S. fluoropolymer imports come from Japan, India and China, so the impact has been muted.

The Ukraine conflict also has contributed to soaring oil and energy prices, which affects virtually all manufacturing, including plastics equipment manufacturing. With U.S. trade sanctions stifling iron and steel imports from Russia, the prices of those metals have increased, creating cost challenges for machine builders.

Demand for plastics equipment

Overall, the U.S. plastics machinery market continues to see healthy demand while continuing to experience supply-chain bottlenecks. Business investment spending on industrial machinery in the U.S. increased by 19% in the first quarter of 2022, compared with the same year-ago period. That represents an increase of $46 billion, adjusted for inflation, according to Pineda. However, low parts inventories are extending production times and slowing deliveries.

For the past couple of years, the U.S. plastics machinery market has benefited from low interest rates and robust demand. Pineda previously projected plastics machinery production growth in the U.S. would be 4.8% this year. But with interest rates now rising and supply-chain issues continuing, he says he would not be surprised to see that sector’s 2022 production growth closer to 3.5%.

The fourth quarter of the calendar year typically sees the biggest shipments of U.S. plastics machinery, and last year’s final three months was no exception. Its 24.1% quarterly increase in value of shipments was the largest uptick since the COVID-19 lockdown. Pineda says that –– barring another huge, unexpected shock –– he is expecting a single-digit increase in U.S. machinery shipments this year.

Tooling sector rebounds

Harbour Results Inc. (HRI), meanwhile, reported in April that the U.S. tooling industry rebounded in 2021, with companies seeing year-over-year revenue growth. HRI, a Southfield, Mich.-based manufacturing industry consulting and benchmarking company, published the insights in its “Q1 2022 Harbour IQ Manufacturing Pulse Study.”

Utilization ranged between 81-89% throughout 2021 for mold and die shops alike. And although 2022’s first quarter has started out slightly slower, HRI reports that shops are predicting utilization will reach 90% for molds and 82% for dies by this year’s fourth quarter.

The report –– based on a survey of industry companies –– also noted the manufacturing industry’s continuing challenges, in the form of supply-chain disruptions, raw material availability and costs, worker shortages and global economic uncertainty. Respondents said the higher cost of business and access to labor remain the top concerns for U.S. manufacturers.

“Despite all the chaos in the manufacturing marketplace, we are feeling positive about the opportunities for the tool and die industry in 2022,” stated HRI President and CEO Laurie Harbour. “According to our automotive tooling launch analysis, HRI predicts the North American automotive tooling spend to be $7 billion in 2022, up from $5.4 billion in 2021. This increase in vehicle launches will positively impact the industry.”

Uptick in resin production

Capacity utilization in U.S. resin manufacturing in March 2022 was 85.5%, said Pineda, marking a significant improvement from the 74.7% reported in March 2021. Still, it continues to trend down from April last year.

In an expansionary economic cycle, U.S. resin manufacturing usually averages between 85% and 95% capacity utilization. “Of course,” he added, “we have seen weather-related factors causing production to slow, but by and large, resin production is still not at pre-COVID-19 levels.”

Worried consumers

Soaring energy prices and overall inflation are dampening U.S. consumer sentiment. The University of Michigan’s Survey of Consumers reported in preliminary results that consumer sentiment in May declined by 9.4% from the previous month, reversing April’s gains. Consumers’ assessment of their current financial situation relative to a year ago is at its lowest reading since 2013, with 36% of consumers attributing their negative assessment to inflation.

Buying conditions for durables hit its lowest point since the question began appearing on the monthly surveys in 1978, again primarily due to high prices, U of M reported. The median expected year-ahead inflation rate was 5.4%, little changed over the last three months, and up from 4.6% in May 2021.

End market impacts

Plastics find use in virtually every end market, with packaging and building and construction among the biggest volume consumers of resins. Automotive, while less in volume, has an outsize impact on the plastics sector, given that it is often a proving ground for innovative and demanding applications. Plastics are critical to the medical and healthcare industries and offer value-added opportunities for suppliers who can meet the stringent regulations. The same holds true for the electrical and electronics markets, which also are constantly dealing with miniaturization and high-heat management, in addition to aesthetics and durability.

Packaging trends

The pandemic spurred a notable boost in home shopping and e-commerce, to include food and grocery delivery services. This helped to accelerate interest in safe, durable, clear, lightweight and thin-wall plastic packaging options. Plastics fare well when compared with heavier or more fragile solutions, such as glass.

A new Coresight Research survey, published in mid-May, reveals that 54.3% of U.S. consumers bought groceries online in the past 12 months. While a hefty number, it did represent a decline of 4.7% compared to last year. The report –– “US Online Grocery Survey 2022: Assessing Trends in Shopper Behavior, Quick Commerce and Meal Kits” –– also notes a slight dip of 2.6 percentage points in consumers who say they are planning to buy groceries online.

The survey noted that the percentage of online grocery shoppers who collect their own order rather than wait for delivery (42.8%) rose 5.2 percentage points, as consumers try to dodge higher delivery fees and surcharges.

Sustainability continues to command the attention of brands and packaging companies. Packaging World reported in mid-May that, according to recent research by the Packaging Machinery Manufacturers Institute (PMMI), innovation in that sector is not keeping pace with sustainability demands.

Companies remain under massive pressure to improve sustainability by reducing packaging waste, but the study ­­–– PMMI’s “2022 Shaping the Future of Packaging Operations” –– says that packaging operators recognize they are somewhat behind the curve in this regard and are aware of the need to catch up. “However,” the article notes, “a true industry shift will require technology breakthroughs and significant capital investment. One of the major barriers is that sustainable packaging materials often have narrower tolerances than virgin or highly engineered standard materials.”

As a result, the study concludes, “the desire from brands and consumers doesn’t quite align with what’s currently feasible.” While reducing the size of packaging remains an easily achievable objective, instituting industrywide change has always proven more challenging to achieve.

Meanwhile, R&D efforts continue apace to boost the use of recycled content, incorporate more biopolymers, develop reusable packaging models, and create more highly functional monomaterial package structures that help to facilitate recycling.

Building boom continues

The construction sector is an entirely different beast and faces different challenges. Supply-chain disruptions have played havoc with builders. For the past couple of years, the U.S. housing demand has been red-hot, and prices sky-high, with homebuilders struggling to keep pace.

“Despite all of the turbulence reflected in some other sectors, total U.S. construction spending increased by a robust 12% in the first quarter when compared with the same period in 2021,” according to Plastics News economics editor Bill Wood. “Total spending for residential projects jumped almost 19%, while spending in the nonresidential segment increased a very respectable 6%.”

Wood suggests that higher interest rates are needed to put the brakes on the demand pressure in this market segment and overall inflation in the economy. There are some modest signs of cooling now that U.S. mortgage interest rates, which had been well below 3%, have now risen above 5%.

Speaking more generally, Wood –– a Harvard-educated economist who has tracked plastics for more than 30 years –– said in a May 24 webinar that we’re going to be “inundated with bad news at a rapid rate” as the Fed tries to tame inflation without sending the economy into a recession. But he adds there’s no reason to panic, and his outlook for the rest of the year is “balanced.” Going forward, he suggests, plastics company managers should keep an eye on real estate and construction data, consumer spending and employment data.

Consumer technology in demand

The Consumer Technology Association (CTA), which organizes the huge CES consumer electronics show in Las Vegas each year, projected in January that U.S. consumer technology revenue would increase by 2.8% in 2022. It predicted that the industry’s retail sales revenue this year would exceed $505 billion, marking the first time ever it will top the half-trillion-dollar mark. This increase is over and above the 2021’s year-on-year growth of 9.6% and reflects a 38% leap from the $365 billion in sales registered in 2017.

CTA reported that some of the fastest-growing products include many “smart” products –– smart appliances, smart light bulbs, smart doorbells, smart speakers and smart TVs, as well as connected products such as sports and fitness equipment. Nearly all of these incorporate plastics in some form or another.

Digital health devices also continue to grow in popularity, to include connected devices that monitor mental and physical health and manage chronic disease, as well as telemedicine and all types of wearables. CTA said its research indicates that 52% of U.S. adults say they are likely or very likely to use health tech in the future to improve their overall well-being.

With more individuals home-bound, perhaps it’s not surprising that use of connected exercise equipment grew significantly through the pandemic. The sector generated nearly $3.8 billion in shipment revenues in the U.S. in 2021. And CTA predicts that these types of products will grow by a further 17% this year, reaching nearly $4.5 billion in shipment revenue.

Plastics benefit, as well, of course. Different types of engineering polymers –– from polycarbonate and silicone to ABS, nylon, thermoplastic elastomers and copolyesters –– are important when it comes to enabling most wearables, medical equipment, exercise gear and automotive tech, among other products.

Automotive industry woes

The U.S. vehicle industry has taken a beating, for all the above-noted reasons, compounded by a critical shortage of the semiconductor chips needed in every vehicle. Automakers canceled semiconductor orders in the early stages of the coronavirus pandemic. Then, once the economy began to improve, they struggled to get access to those materials because overseas chip suppliers had already allocated them to consumer electronics manufacturers.

Analysts predict semiconductor inventories may not return to pre-pandemic levels until at least 2023, according to CarsDirect, an American online automotive research portal and car buying service. Many chip suppliers are located abroad, and it hasn’t been easy for the U.S. to build more semiconductors domestically. While there are efforts by the government to get this to happen, it will take time.

April’s U.S. car sales data provided a modest ray of sunshine, with a 6.6% uptick from the previous month, but April’s sales still represented a 17% drop from the strong showing in April 2021, which was one of the last sales months before inventory began to decline significantly and limit the sales pace.

The National Automobile Dealers Association reported that new light-vehicle sales in the United States increased to 14.3 million units on a seasonally adjusted annual rate (SAAR) in April 2022 from March’s sales rate of 13.3 million units. Other reports pegged this year’s SAAR at closer to 14.7 million units -–– still a far cry from the April 2021’s annual rate of 18.6 million units.

“We don’t expect that April’s month-end inventory level will change much from March’s level of 1.23 million units as the industry is still unable to produce enough vehicles to meet current demand, let alone restock dealer lots,” NADA said in its recent monthly report. “For the rest of the year, vehicle availability will continue to be the principal limiting factor for new light-vehicle sales. Our forecast for sales in all of 2022 remains unchanged at 15.4 million units,” it added. This compares to sales of 17.6 million units in March 2021.

There’s no question that electric vehicles (EVs) are growing in popularity and commanding a huge share of automakers’ attention and R&D spending. But opinions diverge on how quickly they will be adopted. At the big CES 2022 show in Las Vegas in January, two of the largest automotive suppliers offered their opinions.

ZF Group and Magna International Inc. are the world’s third- and fourth-largest auto suppliers, respectively. ZF told Automotive News that it expects EV production by 2030 to account for just under half of all vehicles assembled in North America, with EVs representing 45 percent of global vehicle output by then.

Magna, on the other hand, is less bullish, saying it sees EV sales accounting for only about 20 percent of the global market by 2030, with the U.S. coming in below the global average. Magna Chief Technology Officer Anton Mayer noted that consumer acceptance of EVs might be hindered by each country’s charging infrastructure. EVs also require even more computer chips than internal combustion engine (ICE) cars, further exacerbating that shortage.

A people problem

Technology, inflation and supply-chain challenges aside, the U.S. plastics industry (and broader manufacturing sector) has a potentially more intractable problem –– a shortage of skilled workers to keep its plants humming. The pandemic caused many to re-evaluate their lives and careers, leading some to quit their jobs and others to pursue different paths.

In addition to the U.S. having an aging population, it has proven difficult to attract, train and retain talent. Many of the new entrants to the labor market lack skills for, and/or are averse to pursuing a career in manufacturing, notes Pineda.

“In a tight labor market, even economic incentives such as higher wages and benefits are not guarantees of attracting and retaining skilled workers. Increasing skilled labor supply would require serious commitment from the industry to implement an apprenticeship program that’s consistent throughout the country and accredited by the U.S. Bureau of Labor. … Any policy proposals to revive American manufacturing,” he asserts, “must include a workforce supply and development component.”

K 2022 – the world’s most important trade fair for the industry

In 2022, as every three years, K in Düsseldorf will once again be the most important information and business platform for the global plastics and rubber industry. Nowhere is the internationality as high as in Düsseldorf. Exhibitors and visitors from all over the world will come together and take advantage of the opportunities from 19 to 26 October this year not only to demonstrate the industry’s capabilities and present innovations, but also to exchange views on the situation of the plastics and rubber industry in the various regions of the world, discuss current trends and jointly set the course for the future.

Advanced Human-Machine Interface Makes Control Easier and More Flexible

San Polo di Piave/Italy, June 2022 – Oerlikon HRSflow has thoroughly revised the software forthe control unit of its FLEXflow hot runner systems. The updated Human Machine Interface
(HMI) 4.0 now makes operation even more intuitive and convenient. Systems with different nozzle types can be integrated and several parameter sets can be saved per mould. Extended possibilities have been added to individually control each servo motor for nozzle needle positioning and to monitor process stability. In addition, specific user accounts for individual access authorisations can now be set up and managed. Thanks to the web connection, access to the control unit is possible regardless of location.

HMI 4.0 now offers the possibility to control multiple servo motors individually and with specific data. This also enables the handling of systems with mixed nozzle dimensions. For this purpose, the system uses specific mold cards for each tool equipped with the FLEXflow hot runner technology. All the information required by the control system can be uploaded to these cards, including recipes, the number and configuration of servo-electric nozzles. Storing the individual recipes also facilitates changing the working mode of the mould, which is mainly relevant for family tool operations. Even parameters for purging cycles can be integrated. These mould cards can be downloaded on a USB stick to transfer them to another control unit or to save them as a backup.

Advanced process control
To facilitate individual programming and to make it even more intuitive, an image of the respective moulded part can be stored on the corresponding card. There, individual gating points can be
correlated to the respective hot runner nozzle. Double-clicking on them allows for disabling or enabling certain functions and checking the status of the motor. Moreover, the user can manage the operation parameters of each motor to independently optimize the performance of the related nozzle. A cycle list page provides master diagrams for individual moulding recipes. Overlaying the appropriate diagram for a specific task with the corresponding actual process data provides the possibility to check the process stability and to take measures where necessary.

Single and multi-tasking
Creating and storing individual profiles for users or user groups provides customised functionalitieswhich can be flexibly adapted to the respective organisational needs. Each user logs in with his or her personal account name and password. The number of these user accounts is unlimited. Several users can connect to a control unit at the same time. However, only one participant can take control, while the remaining ones only receive information about the respective status. It is possible, however,
to pass over control to another user. Integrated into the customer’s network, the HMI 4.0 allows for controlling FLEXflow hot runner
systems from any location via PC or tablet, using an internet browser. The responsive graphic display adapts to the most common monitor resolutions.

Demanding and complex components in focus
Beyond the supplementary advances of the updated HMI 4.0, the advantages of the servo-motor- driven, accurately controllable FLEXflow valve gate systems remain the same. Because large-area
moulded parts with high-quality surfaces can be produced, injection moulding of demanding an complex automotive components is one of the main areas of application. Especially in cascade
injection moulding, FLEXflow allows individual, sequentially coordinated precise opening and closing of the needles at selectable speeds. This allows the melt flow in the individual hot runner nozzles and the overall volume flow in the cavity to be precisely controlled and the filling process to be optimised over conventional cascade systems. Possible results include not only excellent part surfaces but also a reduction in the required clamping force thanks to the large process window as well as the component weight without compromising quality.

Arburg Technology Days 2022: Great Enthusiasm Again from Industry Professionals!

Live and in colour: from 22 to 25 June 2022, the Arburg Technology Days took place again after a break of two long years due to Corona. Industry professionals had clearly been waiting eagerly: Over 3.700 visitors from all over the world came to the German company headquarters in Lossburg. Awaiting them under the title, “Think Tank”, were around 50 machine exhibits, the Efficiency Arena with its focus on digitalisation and sustainability, service solutions and fascinating expert presentations. The guests were delighted with the wealth of technology highlights, hands-on innovations, and the spirit of this unique event in the plastics industry…..

This year’s R. Stanton Avery Global Achievement Award has been bestowed on label industry veteran Harveer Sahni. The decision was made by the Global Awards judging panel, consisting of Lori Campbell, chairman of TLMI, Linnea Keen, president of TLMI, Philippe Voet, Finat president, Greg Hrinya, editor of Label & Narrow Web, James Quirk, content director at Labels & Labeling, and Jean Poncet, editor-in-chief at Etiq+Pack.

Andy Thomas-Emans, Labelexpo Global Series strategic director and chair of the judging panel, commented: ‘The judges felt Harveer Sahni met all the criteria for excellence demanded by the industry’s most prestigious award for an individual’s global contribution to the growth and development of the labels industry. His history in building a company to manufacture self-adhesive labels in India, through to his central role in building the Indian label association and then acting as an influential ambassador on the world stage, all helped the judging panel to come to their decision amongst a field of excellent candidates.’

Harveer Sahni started his career in 1971 working in his father’s stationery company, Weldon Sales Corporation. In 1978, as part of expanding the company’s stationery product range, Sahni set up a 20-inch coater to manufacture self-adhesive BOPP tapes – one of the first to do so in India.

Making full use of his BSc Chemistry background, Sahni used the Weldon laboratory to research development of new products including inks, adhesives and coatings. At this time he also ventured into industrial adhesives, plastic blow molding and injection molding.

With demand for self-adhesive stickers starting to take off in India through the 1970s, in 1978 Sahni invested in a siliconizing line, developing and producing poly-coated release liners and later a barrier coating for uncoated woodfree or brown sack kraft papers that could accept silicone release coating.

In 1984, Sahni made his own way to London for a surprise visit to ‘Label Guru’ Mike Fairley, gaining inspiration and useful insights into label converting trends. In the late 1990s a one-meter coater was installed to carry out both silicone coating and to produce release liners, and in 1997 Weldon started manufacturing self-adhesive labelstock, soon adding another coater to focus on liner manufacture.

With the dawn of the 2000s, Sahni moved the business from coating tin catalyst-based silicone chemistry to a solvented platinum catalyst system and then on to solventless silicone coating – a line which is still in use. In 2003 Sahni again was a pioneer setting up the first Nordson Hotmelt adhesive coating line in India.

The global recession of 2008 led to Sahni reducing dependence on manufacturing and setting up as India agent for leading global manufacturers of print and converting equipment, tooling and consumables.

In the late 1990s Sahni welcomed the entry of  ‘big brother’ Avery Dennison to India, recognizing that this would help drive development of the entire Indian label converting industry. This also pushed Sahni into developing export markets, and Weldon was soon selling to over 30 countries.

In 2001 Sahni became involved in helping his friend Anil Arora establish the India Label Show, which Tarsus Group purchased in 2007, when it became Labelexpo India.

Weldon became the first Indian labelstock manufacturer to exhibit at Labelexpo Europe and also in this decade Sahni became the first Indian national to be on a Finat committee, and he was a judge for the World Label Awards multiple times.

Sahni sits on the board of directors of the Label Manufacturers Association of India (LMAI) and has curated, along with the LMAI team, many events bringing together label printers, suppliers and print buyers. Sahni was part of the LMAI delegation to meetings of the L9 group of global label associations, with LMAI hosting an L9 meeting in India in 2018.​​​​​​
In 2017 the LMAI conferred upon Sahni the award for Lifetime support to the Indian Label Industry.

In 2005, Sahni started his highly influential blog ‘Self-adhesive Labels Industry in India and The World’, now consisting of over 200 articles on success stories, technology, market size, events and M&A. The blog is nearing half a million page views this year.

Lisa Milburn, managing director of Labelexpo Global Series, commented: ‘I would like to congratulate Harveer Sahni on winning the R. Stanton Avery Global Achievement Award. It recognizes Harveer’s central role in building the Indian self-adhesive label industry from its earliest days, and later his major contribution to promoting the Indian label industry on the world stage.’  

5G campus network for plastic machine manufacturer Arburg

Investing in the machine room of the future: At its headquarters in Lossburg, Germany, Arburg GmbH + Co KG has launched a 5G campus network from Deutsche Telekom. This will enable the manufacturer of injection moulding machines from the northern Black Forest to test innovative applications for its own production – such as autonomous transport systems, industrial robots or automated production processes. In its Customer Center, Arburg is already presenting the potential of the 5G mobile communications standard for digital manufacturing. There, industrial customers from a wide range of plastics-processing sectors, such as the automotive and packaging industries or medical technology, can test digital manufacturing concepts. For this purpose, Telekom has equipped the Arburg Customer Center with eight special in-house antennas that supply the 2,100-square-meter area with 5G.

At the end of 2021, Project STOP has created social and environmental impact in three cities in Indonesia and is now ready to scale-up to the entire region of Banyuwangi.

• By the end of 2021, Project STOP provided waste collection to more than 260,000 people, created 226 jobs, and collected more than 20,000 tonnes of waste (around 2,350 tonnes of plastic) and built five waste sorting facilities since project inception.
• Operating in three cities, the first city partnership in Muncar was handed over to the local government and its community in February 2022.
• Now, the project scope is being expanded across the entire Banyuwangi Regency in East Java.

Project STOP is celebrating the achievement of an important milestone: Since its start in 2017 until the end of 2021, the programme has brought more circular and reliable waste management services to more than 260,000 people in three cities in Indonesia (many receiving waste collection for the first time ever), built five waste processing facilities, and contributed to permanently preventing more than 20,000 tonnes of waste (including 2,350 tonnes of plastic) from leaking into the environment.

Operating in three cities, Muncar and Pasuruan in East Java and Jembrana in Bali, the Muncar programme was handed over to the local government and its community in February 2022, followed by the launch of its expansion over the entire Banyuwangi Regency, East Java.

Co-founded in 2017 by Borealis and SYSTEMIQ, Project STOP works in city-partnerships, to create sustainable circular waste management systems, and drives the transformations towards circular economy. The programme follows a “system-enabler” approach whereby it designs and implements reliable, low-cost waste collection services, builds waste sortation facilities to sort recyclable materials, sales of recyclables and runs behavior change and clean-up campaigns in the communities where it operates. Moreover, the team engages with local stakeholders to improve the waste system governance, inform local policy regulation, and builds institutional capacity building.

This impact was made possible thanks to the invaluable support of the national and local government agencies, including the Ministry of Environment and Forestry, the Coordinating Ministry for Maritime Affairs, the Ministry of National Development Planning/National Development Planning Agency, the Ministry of Public Works and Public Housing, the Banyuwangi Government, the Pasuruan Government and the Jembrana Government, including the environmental agencies of Muncar, Pasuruan and Jembrana.

Borealis and SYSTEMIQ express their gratitude also to its strategic partners, who contributed to this achievement, the Norwegian Ministry of Foreign Affairs, NOVA Chemicals, Borouge, Nestlé, the Alliance to End Plastic Waste and Siegwerk as well as its supporting and technical partners, Veolia, Schwarz and Hewlett-Packard.

KRAIBURG TPE, a global manufacturer of thermoplastic elastomers (TPE) and custom TPE solutions for a variety of industries, offers the THERMOLAST® H HC/AP series of compounds that can be used in designs of orthopedic equipment.

Thermoplastic elastomers (TPEs) have been used in in orthopedic equipment due to the material’s functionality, durability and exclusive material properties. For this reason, KRAIBURG TPE’s innovative THERMOLAST® H HC/AP compound series offers the ideal material solution for various orthopedic equipment such as wheelchairs, crutches, knee joint braces, orthopedic walking boots and lumbar supports.

Apart from critical factors such as performance, weight, and properties – TPEs are also the choice material for many medical applications because of their high degree of purity (low level of extractable compounds), recyclability and cost-effectiveness. For medical equipment designers and manufacturers, the THERMOLAST® H HC/AP compound series offers many advantages, such as:

• Focused for Asia Pacific’s medical needs 

KRAIBURG TPE’s THERMOLAST® H series of compounds have been exclusively designed for the Asia Pacific healthcare and medical devices market.

• Compliance to many international standards

Their high-quality material solutions comply with various international standards, such as Cytotoxicity ISO 10993-5, GB/T 16886.5, as well as EU No. 10/2011, GB4806, FDA CFR 21, REACH and RoHS.

• Excellent properties

Amongst its advantages, THERMOLAST® H offers good adhesion to PP. It also provides excellent haptics with a soft touch surface feel, which are ideal for applications such as handles for crutches, wheelchairs as well as inner padding for knee joint brace and ankle brace.

• Easy-processing and sterilizable TPE in medical devices

KRAIBURG TPE, which specializes in the manufacture of application-specific custom-formulated TPE materials for injection molding and extrusion processes, also ensures that orthopedic equipment is safe for use and meets hygiene standards. Thus, the THERMOLAST® H compounds are sterilizable by autoclave 121°C and EtO.

• Free from animal and harmful ingredients

The compounds, which are free from animal ingredients, can replace the use of latex and PVC materials, since latex can cause allergic reactions.

• Excellent adhesion and sealing

KRAIBURG TPE’s compounds are cost-effective and offer excellent sealing and adhesion performance.

• Color and design flexibility

The THERMOLAST® H is offered as translucent and in-house precoloring is also possible, subject to specific project requirements. Orthopedic equipment product designers will find this It compound series advantageous because of its design flexibility and application possibilities.

First-of-its-kind plant for the production of EHV AC & DC cable insulation materials to be built in Tarragona, Spain

Pratteln/Switzerland, June 2022. Buss AG has been awarded a contract for the realization of a 27kta production plant for crosslinkable polyethylene XLPE cable compounds by Repsol, a global multi-energy company offering a wide range of solutions for different types of cables.

The new, patented LSHC™ process („Linear Short Hyper Clean“) has been developed by Buss AG in close cooperation with P&M Cable Consulting LLC, a Swiss based consulting firm in the field of cable compounds. It offers access to, among others, various High Voltage (HV) and Extra High Voltage (EHV) insulation materials, exhibiting superior product quality and process efficiency compared to the well-known soaking technology. XLPE grades for both, alternating (AC) or direct current (DC) cable applications are readily produced with this innovative and flexible process.

The LSHC™ technology relies on direct peroxide injection and gentle compounding of a newly developed additive cocktail by using BUSS state-of-the-art COMPEO™ co-kneader series, allowing at the same time for significantly reduced capital expenses and clean room requirements. Further advantages are the compact plant design without high-rise soaking tower and improved cleanliness and physical-electrical properties of the produced materials.

Buss AG is proud to work with Repsol on the realization of this first-of-its-kind industrial production plant and will eagerly continue the excellent collaboration towards the scheduled start-up in mid-2024. The LSHC™ technology is available to BUSS customers world-wide on the basis of a competitive licensing model. A corresponding pilot plant for production of HV and EHV materials will be available around the end of this year at the BUSS Campus in Pratteln, Switzerland.

BUSS is an international market leader in compounding systems for demanding applications. As the original manufacturer of the Co-Kneader technology, the company offers unique compounding solutions that set the benchmark for heat- or shear-sensitive applications in the plastics, aluminium, chemical and food industries. The core competence is customer and application specific solutions for advanced compounding tasks in line with the high demands on process technology and product quality as well as the continuously increasing technological market needs. BUSS has a strong global presence in wire and cable applications with reference plants for low voltage materials, HFFR compounds, filling compounds, conductive layers and insulation materials ranging from medium to extra-high voltage applications.

P&M Cable Consulting LLC has become the leading consulting firm in the Wire and Cable industry, established in 1993. Thanks to its lifelong experience in the field, P&M Cable Consulting supplies the most advanced expertise over five continents.

Concept facilitates swift, co-creative development of new packaging types

The ALPLA Group is accelerating the roll-out of new plastic packaging solutions with the opening of the innovative product development space STUDIOa at the company headquarters in Hard, Austria. Customers can visit this one-stop shop to help complete the development process in a matter of days, from the first design draft and a prototype to the finished packaging.

3D printing, virtual and augmented reality, real-time cost control and optimum technical service – the packaging specialist ALPLA is taking product development to the next level with the STUDIOa design centre. ‘STUDIOa stands for everything we believe in – great design, top technical performance and a swift roll-out. This one-stop shop is the ideal space in which to develop innovative, safe and sustainable packaging solutions for the future together with our customers,’ explains ALPLA CEO Philipp Lehner at its official inauguration at the company headquarters in Hard.

With its innovative STUDIOa, ALPLA is focusing on the close coordination of technology, product development and sales. ‘When we work directly with the customer in the same space and the decision makers are there in person, we can shorten the development time, bring new products to market faster and secure a competitive edge,’ says Norman Häusler, Director of Corporate Product Development, with conviction.

Design experience space
Interdisciplinary ALPLA teams attend a number of design sessions and workshops at STUDIOa developing new packaging types together with customer delegations. In addition to design experts, these involve the expert input of technical specialists in the fields of production, mould construction and process technology. ‘This means a design’s feasibility and recyclability can be checked, optimised and adapted in the early stages of a project, thereby saving time and money,’ Häusler emphasises.

And the space offers more on top – a 3D printer produces prototypes immediately after design modifications, virtual reality glasses provide an initial product preview and augmented reality (AR) is used to simulate the packaging placed on the supermarket shelf.

Global product development
With its seven Technical Centers around the world, ALPLA promotes regional product development for its local customers. The new STUDIOa design centre in Hard follows in the footsteps of the concept successfully applied at the site in Atlanta, USA, since 2015. A customer-oriented development space was also opened in Toluca, Mexico, in mid-2021. Another STUDIOa is currently under development in Shanghai.

Info: www.studio-a.design