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European Aluminium Extrusion Industry |
North American Aluminium Extrusion Industry |
| In shipment terms, the five largest producers of extruded products represent around 40 percent of the market. | In contrast, North American extrusion industry is bit consolidated, with the five largest producers representing nearly 60 percent of the market share in terms of shipments. |
| Approximately 5 percent comes from imports. | 10 percent of the market is import based , chiefly from Asia and South America. |
| The balance market share is fragmented with around 220 independent producers representing 55 percent. | Approximately 15 percent of the market share is taken up by five medium sized domestic producers. |
| Prominent share of the market is considered as local, based on a national level. | The margins are under pressure from two factors overcapacity along with increasing level of imports. |
Coming to the non-metallic extrusion, Plastic extrusion industry today is thriving business. Another segment of the non-metallic extrusions is the rubber extrusion industry. The following figure takes a close look at fragmentation of the U.S. Plastic extrusion industry.
Industry Trends and Challenges for the Extrusion Industry
The opening-up of large economies to the globalization process has no doubt resulted in a broad spectrum of comparative advantages in terms of industrial activities. Extrusion industries are also no exception. In face of stiff competition from the low-wage economies, has raised some serious questions on future of extrusion industries operating in European countries. So it has become pertinent that in developed countries Extrusion Industries comes with faster responses to the issues affecting business. Some of the key challenges facing all the Extrusion industries as a whole are highlighted below.
Innovation
There is a constant need to develop a strategic approach towards new product development that could only lead to a strong future.
Zero Error Consistency
Today there is a constant demand for superior part performance and a constant supply of products with no scope for any errors or “zero defects.” This high expectation has now been a major factor cutting on the already thinning margins of the Extrusion producers. The New Mantra now is “ Get it right the first time.”
Higher Costs
Taking the example of Plastic extrusion industry, it is plagued by higher resin as well as labour costs. The resin cost is the result of rising crude oil prices.
Environmental Factors
These days some very stringent environmental laws are there and extrusion industries are required to comply to them.
Introduction of New Design Methodologies
There is need for introducing new design methodologies for shorter lead times.
Non conventional Applications
Developing of Custom specific extruders that caters to non conventional applications.
Variety Compositions
The trend is now to have materials with different structures.
Integration of Technology
Integration of numerous technology from different sectors.
Preference for Higher Throughputs