Continued recovery of European demand keeps aluminium foil production on track

The steady recovery of demand for aluminium foil products in Europe has continued to see the gap between 2014 and 2015 production narrow to just a 0.3% drop by the end of Q3, compared with 2.5% in the first quarter of the year. This continues the trend seen in Q2. Deliveries for the first 9 months of the year reached 652,900tonnes, (2014: 654,900t) according to the latest figures released by EAFA, the European Aluminium Foil Association.

Continuing to lead this recovery are thicker foils, used typically for semi-rigid containers and technical applications, with shipments 4.5% higher than the same stage last year. Demand for thinner gauges, used mainly for flexible packaging and household foils, fell by 2.7%, less than the previous quarter, reflecting the instability still existing across most major markets. Exports declined by 10% as strong competition in overseas markets hit domestic producers in the EAFA zone.

“Volatility remains across most markets,” said Stefan Glimm, EAFA’s Chief Executive Director, “but the European area is finally seeing more consistent growth than before. We expect that to continue into 2016 and are confident to reach the same full year totals achieved in 2014.”

Aluminium foil characteristics are strength, formability and barrier properties which have made it an essential part of many flexible packaging and container applications. Other uses of aluminium foil include automotive and heat exchange components, insulation material and many industrial applications.