Report: World could face shortage of biaxially oriented PET film


Published: May 27, 2013 9:50 am ET
Updated: May 27, 2013 9:53 am ET

Related to this story

Topics Film & Sheet, Extrusion

Researchers have questioned whether increases in film extrusion capacity will be enough to guarantee supplies of biaxially oriented PET (BOPET) thin films to Western markets.

A new report by PCI Films Consulting found that after shortages of BOPET thin films in 2010 the industry had worked hard to ensure that supplies did not dry up.

However the report questioned the success of such a strategy, arguing that "significant" increases in capacity in recent years – allowing for production of around 2 million metric tons in the next three years – would not do the job.

Over the next five years the global market is expected to use another 900,000 metric tons of thin film and suppliers are gearing up for this with investments in an additional 1.3 million tonnes of new capacity, PCI acknowledged.

But PCI's Simon King, who wrote the report, believes such headline numbers are misleading for two reasons. "First, nameplate capacities are never realized and a more realistic level of production from this new capacity could be as low as 75 percent of nameplate.

"Secondly, most of this new capacity is being installed in China and Chinese film producers don't seem to be able to connect with European and North American customer needs. Many do not see them as realistic alternatives at present".

Westernized regions, such as Europe and North America, continue to be major importers of BOPET thin films since their local industries were not large enough or competitive enough to meet local demand and regional producers appear to be doing little about it, PCI said.

It reports the running up of new capacity in Turkey and Poland and two new plants in the US, "but these will do little to absorb the current volume of imports into these regions, let alone meet future demand.

"While the current investment climate is weak, buyers are encouraged to gain a broader understanding of potential suppliers and their capabilities in commodity BOPET thin films outside of traditional supplier networks to ensure continuity of supplies in the coming years."


Report: World could face shortage of biaxially oriented PET film


Published: May 27, 2013 9:50 am ET
Updated: May 27, 2013 9:53 am ET

Post Your Comments

Back to story

More stories


China's Shide Group, BASF unveil 'revolutionary' all-plastic window profile

April 23, 2014 9:10 pm ET

SHANGHAI — The PVC window profile market in Asia is expected to increase four-fold by 2025, and Chinese building products maker Dalian Shide...    More


How CEO Santi is changing ITW

April 23, 2014 2:48 pm ET

Scott Santi is showing he can do more than just cut costs at Illinois Tool Works Inc.    More


Pregis Corp. to get new owner

April 22, 2014 11:44 am ET

The private equity owner of Pregis Corp. is selling off its North American operations for an undisclosed sum.    More

Europe's bag use still expected to climb despite possible bag restrictions

April 22, 2014 9:29 am ET

Ceresana, a Germany-based research company, has released a report forecasting that by 2020 the sales volume of bags and sacks in Europe will reach 9....    More


Savvy customers follow raw material prices as closely as processors

April 21, 2014 2:25 pm ET

Savvy customers closely follow the prices of raw materials. The result: in the film and sheet segment of the plastics industry, even if processors cou...    More

Market Reports

Market Data Book - Rankings & Lists

A one-stop download of Plastic News' exclusive annual lists and processor rankings containing essential data including sales, employees, end markets, materials and more.
EXCLUSIVE EXCEL FEATURE: full mailing address details for available plant locations.

Learn more

Thermoformed Packaging 2014 Market Review & Outlook North America

This in-depth report provides analysis and discussions of economic and political conditions, market trends, legislative/regulatory activity impacting supply and demand, business opportunities and threats, materials pricing, manufacturing technology, as well as strategies being implemented by thermoformed packaging companies. In addition, there are reviews of 25 leading thermoformers in the packaging segment, assessing their growth initiatives and performance metrics over 10 years.

Learn more

Mold Making and Tooling Review and Outlook 2014 North America

This report provides in-depth analysis of the mold and toolmaking market for North America, including discussions of trends, opportunities, threats, the latest developments in production and labor and equipment trends impacting moldmakers.

Learn more

Upcoming Plastics News Events

May 6, 2014 - May 8, 2014Plastics in Medical Devices 2014

May 12, 2014 - May 12, 2014Plastics News Brazil Pharma Summit

September 10, 2014 - September 12, 2014Plastics Caps & Closures 2014

February 3, 2015 - February 7, 2015Plastics News Executive Forum 2015

More Events