The pandemic also caused a slump in the global market for blow moulding and blow moulding machines. The decline in sales in 2020 was over 7%. However, 2021 will see an increase of 3.9% for the global market, as a study by Interconnection Consulting shows.

China Is The Growth Engine

Blow moulding can be used to produce hollow plastic components. Important products include plastic bottles, plastic canisters, washing water containers, fuel tanks, etc. The global market for blow moulding & machinery is led by the China & Taiwan region, which accounts for about one fifth of total sales. China will continue to determine the dynamics of the global market in the coming years. The annual growth rate will be 8.6% in value until 2024, as this study shows. With the new 5-year plan, China will invest heavily in the construction of new hospitals and the expansion of medical care. At the same time, further urbanisation will be tackled, which will also benefit the blow moulding industry in many areas. Besides China, India is an important growth market for the industry. The market for blow moulding machines will increase by 4.2% this year, although the sales level of 2019 will not be reached again until 2022 at the earliest. The beverage sector in particular, with a share of around 48%, dominates the market in India. In terms of total sales, the USA & Canada region is the strongest in the world. But even there, the dynamic growth of the industry was abruptly halted by the pandemic. In the long term, however, the market for blow moulding machines will grow by 5.6% annually until 2024. The fastest-growing markets in the USA & Canada are the cosmetics sector, with  an annual growth of 8.2%, pharmaceuticals and food. In terms of machine types, stretch blow moulding machines (linear and rotary) dominate the market worldwide with 50.8%. This is followed by injection blow moulding machines with 21% of the total market and extrusion blow moulding machines with 18.2%. The blow moulding segment reached a market volume of €535.7 million in 2019. Here again, the China & Taiwan region leads with a 19.2% share of sales, followed by India (14.7%) and the USA & Canada region (13.5%). The strongest dynamics in this area can be seen in the Indian and African markets.

Tougher Competition for Market Leaders

The top ten companies worldwide hold about half of the total market (49.2%). Extrusion blow moulding machines were less affected by the crisis. Accordingly, manufacturers in this segment were also able to gain market share, such as Kautex. The Japanese injection stretch blow-moulding machine manufacturer Nissei was also able to strongly expand its market shares. The undisputed market leader, however, remains Krones. Other important manufacturers are SIPA or KHS Corpoplast.

Sustainability Is The Industry’s Key Topic

A major issue for the blow moulding industry is the global trend towards banning the use of single-use plastic materials and the focus on sustainability and recyclable plastic materials. Meanwhile, the trend against the production of single-use bottles and disposable products has reached almost all parts of the world. China bans single-use plastic in some provinces. In the USA, 95 state laws on plastic have been passed. In the EU, at least 25% of PET plastic bottles are to be be made of recycled plastic by 2025. By 2030, this mandatory target is to be raised to 30%. Nevertheless, the market for blow-moulded plastic will continue to grow, especially in the beverage market. “A steadily growing population in India, Africa and China, and the increasing middle class in these regions of the world are responsible for this increase,” explains Daniel Kollar, the author of the study.

17/11/2021

Copyright: Interconnection, Publication free of charge for coverage regarding the study and InterConnection Consulting.