FOR IMMEDIATE RELEASE

Contact: Barry Eisenberg
Tel: (202) 974-5210
beisenberg@plasticsindustry.org

SPI RELEASES FIRST QUARTER PLASTICS MACHINERY SHIPMENT STATISTICS

Dollar Amount of Shipments Up 4 Percent from Same Quarter Last Year; New Machinery Investment Expected to be Flat for 2008 and Rebound in 2009

WASHINGTON, D.C. (June 12, 2008)—U.S. manufacturers and importers of primary plastics machinery and equipment shipped $227 million worth of primary machinery (excluding components and auxiliary equipment) in the first quarter of 2008, according to the latest equipment statistics released today by the Society of the Plastics Industry, Inc. (SPI) Committee on Equipment Statistics (CES).

"The quarterly machinery shipment statistics report serves as an important tool for examining and understanding the U.S. plastics machinery and equipment industry, as well as the economic trends that impact it," said Walt Bishop, vice president of SPI's Equipment Council and executive director of the trade association's machinery division.

The first quarter 2008 statistics indicate that U.S. manufacturers and importers of primary plastics machinery and equipment shipped $227 million worth of primary machinery (excluding components and auxiliary equipment). This is a 4 percent increase from the $219 million shipped in the first quarter of 2007, and is 8 percent higher than the $210 million shipped last quarter.

Economist Bill Wood, who provided the analysis for SPI's report, forecasts that 2008 should be"a flat year in total investment for new industrial equipment when compared with 2007" and that investment in industrial equipment"should rebound late this year and through 2009." According to Wood, the high costs of resins and energy continue to hinder the ability of plastics processors to invest in new equipment. "Compounding this problem, total demand for plastics products remains hindered by the sharp declines in both residential construction activity and domestic auto production," he said, adding that these two sectors should start to register consistent growth in 2009.

Other data included in the report:

• There were 25 new blow molding machinery units shipped in the first quarter of 2008 – two more than were shipped in the first quarter of 2007. The shipment dollar value for these machines in the first quarter of 2008 is 66 percent higher than the amount shipped in the first quarter of 2007.


• The number of injection molding machinery units shipped in the first quarter of 2008 decreased 4 percent from the number shipped in the first quarter last year, and is 11 percent less than the number shipped last quarter.


• The number of extrusion machine (single and twin screw) units shipped in the first quarter of 2008 decreased 14 percent from the number shipped in the first quarter of 2007, but is 3 percent more than the number shipped in the fourth quarter of 2007.


• New bookings for plastics auxiliary equipment were unchanged in the first quarter of 2008 from the amount booked in the first quarter of 2007 ($83.3 million), and are 3 percent higher than the amount booked in the fourth quarter of 2007.

Using monthly data supplied by CES participating companies, the report was compiled by VERIS Consulting, LLC. The analysis of the aggregate data was completed by Mountaintop Economics & Research, Inc., a supplier of market analyses and forecasts for decision makers in the plastics industry.

SPI's CES is the only provider of timely and reliable plastics equipment statistics in the country. The reports can be found online at SPI's Plastics Industry Store. The cost is free for members. Nonmembers can purchase the reports at a cost of $580 for the Annual Report (includes the fourth quarter report) or $250 for an individual quarterly report.

# # #

Founded in 1937, The Society of the Plastics Industry, Inc., is the trade association representing one of the largest manufacturing industries in the United States. SPI's members represent the entire plastics industry supply chain, including processors, machinery and equipment manufacturers and raw materials suppliers. The U.S. plastics industry employs 1.1 million workers and provides nearly $379 billion in annual shipments. Visit www.plasticsindustry.org.

Back to Top

More About SPI:   Vision and Mission . Membership . Business Units . Regional Offices . News and Publications . Calendar of Events . Terms and Conditions of Use