Extrusion International 4-2025-USA

33 Extrusion International 4/2025 Tariff Uncertainty Weighs on Plastics Equipment Shipments in Early 2025 The Plastics Industry Association's Committee on Equipment Statistics (CES) has released Q1 2025 ship- ment data for primary plastics ma- chinery in North America, covering injection molding and extrusion. The total shipment value was esti- mated at $252.1 million, represent - ing a 17.5% decrease from the re- vised fourth-quarter estimate and a 4.6% decline year-over-year. Plastics machinery shipments de- clined for the second consecutive quarter in Q1. Quarterly gains in single - and twin-screw extruder ship- ments – up 17.2% and 3.2%, respec - tively – were offset by a 21.8% drop in injection molding shipments. Year- over-year, extruder shipments rose strongly, with single-screw up 31.2% and twin-screw up 10.9%, while in - jection molding shipments fell 8.9%. “Shipments appeared to pause in the first quarter as businesses reas - sessed strategies amid uncertainty surrounding U.S. tariffs and trade policy,” said PLASTICS Chief Econo - mist Perc Pineda, PhD. “While there appear to be green shoots in plastic product manufacturing, capacity utilization, and the broader manu - facturing sector in the first quarter, it is too soon to project the short- term path of equipment shipments as trade policy remains in flux,” Pineda added. Amid evolving tariff rates and rollout timelines, U.S. plastics equip - ment imports rose 6.2% in the first quarter to $939.4 million, up 5.5% from the same period last year. Ex- ports fell by 1.1% from the prior quarter to $325.3 million, marking an 18.6% year-over-year decline. In the first-quarter survey of CES members, 62% of respondents ex - pected market conditions to remain steady or improve over the next 12 months – down from 83% in the previous quarter. However, 42% re - ported an increase in quoting activ- ity, up from 31% in the prior survey. Pineda noted, “One cannot over - look the capacity of plastics proces- sors to meet end-market demand previously filled by imports affected by tariffs. In the first quarter, busi - ness investment in industrial equip- ment rose 4.8% (SAAR), with met - alworking machinery up 15.8%. Increased domestic plastics conver- sion would have positive ripple ef- fects throughout the industry's sup- ply chain.” http://plasticsindustry.org/ manufacturing sector,” writes Dr. Pineda. “This downturn creates a rip- ple effect, not only curbing demand for construction supplies but also dampening consumer spending on plastic-intensive household goods.” To read the full analysis on the PLASTICS blog. https://www.plasticsindustry.org/ blog/housing-market-slump-impacts- plastics-manufacturing/ Electrification is Focus of New Sustainability Report Orion released its 2024 Sustain- ability Report, showcasing how the company is making materials that are essential for a world with in- creased electrification of mobility and energy storage. For more than a century, Orion has been supplying battery makers. The new report highlights how the company is expanding its presence in high-growth markets driven by the shift toward electrification. Key opportunities include supply- ing differentiated conductive ma- terials for: * Battery energy storage systems, which are in high demand due to the rise in renewable energies as well as the expansion of energy- intensive data centers. * High-voltage wire and cable ap- plications, essential for electrifica - tion infrastructure. * Lithium-ion batteries for electric vehicles, a market that continues to growdespite short-termfluctuations. “Discussions about battery mate- rials often focus on metals, such as lithium, cobalt and nickel. But con - ductive additives, such as carbon black, are just as critical,” Orion CEO Corning Painter said. “Every battery needs them because they improve electron mobility, battery perfor - mance, safety and reliability.”