Expensive energy hits European plastics converters
The sector trade association says that EU essential packaged goods are at risk because of the higher-prices.
The trade association that represents the industry on the continent is warning of the impact of increased energy costs.
The European Plastics Converters, is an EU-level Trade Association based in Brussels, represents 50,000 plastics converting companies.
They say the industry average spend on electricity has doubled since the beginning of this year, despite many pre-existing contracts, and that many companies have to pay up to 750% more in electricity prices than the beginning of 2022.
In certain countries, the additional salary increases on top of energy cost increases are making converters question whether to continue production or stop processing.
For certain industries in some EU countries there is no business case to cotinue production. The effects of such closures are beginning to have a severe impact on the European industrial base.