Extrusion International USA 4-2019
71 Extrusion International 4/2019 The North American plastics industry, led by the United States, is posting good business results this year. Sales, revenue and growth indicators are pointing up for the foreseeable future. Among the factors driving growth are the digital revolution in controls and machine com- munication which yields significant advances in process and automation capabilities, as well as benefits in pro- ductivity, manufacturing economy and quality; new and evolvingmarkets that generate demand for plastics appli- cations; and a pro-business climate in the U.S. that under President Donald Trump is characterized by lower federal taxes, increased government spending and a relaxation of many onerous regulations since 2017. At “K 2019” 100 US and 18 Canadian enterprises will be represented while to the tune of 8,500 trade visitors will travel from North America to this, the international No. 1 trade show for plastics and rubber in Düsseldorf. Reason enough to take a closer look at the economic situation in North America and the local market conditions for the plastics industry, in particular, in the run-up to “K 2019”. Analysts report that U.S. gross domestic product (GDP) posted a 3% increase in 2018 from 2017 and should ex- pand 2 to 3% in 2019, a range that represents healthy growth but is not considered high enough to trigger infla- tion, prohibitive interest rates or “irrational exuberance” among investors, lenders and consumers that could lead to an economic contraction. Some experts, however, an- ticipate that 2019 GDP results will be at the low end of that scale. Rethinking Recycling Recycling concerns seem to be cyclical in the U.S. The in- dustry is currently in an “up” cycle, which is generating publicity among consumers and regulators. Most atten- tion is on single-use plastic bags, with restrictions at lo- cal and state levels. California banned them entirely, and New York passed a similar law this year. In addition, some 350 U.S. cities and counties restrict or prohibit their use. The restrictions are not likely to have much effect on re- cycling or the environment. This is because consumer re- cycling programs in general are not effective in the U.S. Major resin suppliers are promoting local efforts to re- claim flexible waste, primarily packaging. These favor mono-material constructions, not mixed waste. While flexible food packaging is too valuable to restrict, efforts are underway to redesign packages for recycling. BASF and 30 other companies announced formation this year of the Alliance to End Plastic Waste, a global effort that seeks to eliminate waste from the environment and, notably, the oceans. The industry’s message is that it has the will and resources to increase recycling. The issue now, many experts say, is whether the public and regulators are listening and, most importantly, willing to change their personal habits to promote effective recycling programs. North America: Technology Developments and Market Opportunities Drive Industry Messe Düsseldorf mbH www.messe-duesseldorf.de www.k-online.com An autonomous vehicle operated by technology developer Waymo moves along a street in San Francisco. Fully autonomous vehicles could be a feature onmany U.S. roads by 2030 (Credit: Waymo)
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