TerraSource Global
LD Systems
Bison Gear and Engineering adds Automated Gear Tooth Grinder
The new machine improves product quality and increases production capacity Bison Gear & Engineering Corp., a provider in the power transmission industry, has added an Automated Gear Tooth Grinder to their gear hobbing department. This new equipment offers a range of benefits that improve product quality and increase production capacity. This unique machine frees up capacity on four other machines, improves the quality of gear geometry, improves the cycle time, and effectively grinds spur and helical gears. At a time when product demand outpaces production capacity, adding this single piece of equipment will help make available nearly 40% more production time on four separate hobbing machines. In this way, the Automated Gear Tooth Grinder significantly increases total gear-cutting capabilities. This new machine is also capable of grinding the gear tooth profile, leading to an exacting, .00005-inch precision. This means that the teeth will continually mesh at the same point, appreciably reducing wear and noise. This aspect of the grinder proves of great benefit to customers who have noise-sensitive applications. Customers can also obtain increased gear motor efficiency from the fact that lower-weight lubricant oils are needed when using a grind-finished gear. The Automated Gear Tooth Grinder produces a better-finished product in ¼ of the time of a standard hobbing machine, significantly expediting the grinding process and improving the quality of the gear.
TerraSource Global announces the acquisition of Elgin Separation Solutions
TerraSource Global, a manufacturer of high-quality material sizing equipment based on the Gundlach, Jeffrey Rader, and Pennsylvania Crusher brands, and a subsidiary of Right Lane Industries – has announced the acquisition of Elgin Separation Solutions (Elgin) as of January 12, 2023. Elgin designs, manufactures, and services material processing parts and equipment for mining, energy production, recycling, and waste management applications. Core products include vibratory centrifuges (CMI™), decanter centrifuges, mobile packaged treatment systems (KEMTRON™), vibrating screens (Hyper-G™, Tabor™, and Norris™ brands), and cuttings dryers (CSI™). Kevin Hambrice, CEO at TerraSource Global, said, “Elgin is a leading manufacturer of innovative turn-key solutions in a variety of applications, from material handling to natural resource recycling to dewatering and liquid/solid separation. These products complement TerraSource Global’s industrial processing equipment, which serves many of our key markets in minings and metals and expands our portfolio in the food, water and oil, and gas industries. We look forward to working with Michael Rai Anderson and his management team as we integrate our offerings into more complete solutions for customers and as we expand into new product applications, industry verticals, and strategic acquisitions.” Michael Rai Anderson, President of Elgin, said, “We are excited to become part of TerraSource Global and partner with their team to serve customers in all corners of the world. Combined, our innovative product designs, extensive application expertise, and commitment to timely and professional service position us as the leading trusted technical resource for mining, recycling, industrial waste management, and energy production solutions.” Livingstone Partners LLC provided sell-side M&A financial advisory services and Kirkland & Ellis LLP provided legal counsel to Elgin throughout the process. Taft Stettinius & Hollister LLP provided legal advisory transaction services to TerraSource Global.
The U.S. Plastics Industry in 2022 in seven charts
The U.S. plastics industry continued to grow in 2022 against the backdrop of weaker domestic and global economic growth. Data shows that the U.S. economy’s output contracted in the first half of 2022 and was followed by what appears to be a tepid output growth rate in the second half of 2022. The manufacturing sector—plastics industry included—continued to adjust to domestic and global economies that have started to downshift into a lower gear this year. Seven charts explain how the U.S. plastics industry, throughout the supply chain, performed in 2022. This includes PLASTICS’ projections of end-of-year monthly data that has not been released at the time of writing this article. All told, demand for plastics and plastic products stayed stable in 2022. 1. Industrial Production of Plastic Products Manufacturing Plastics production increased the most in February based on the Industrial Production Index on plastic products manufacturing. It increased 3.9% in February from January—a 5.7% increase from February of last year. However, production slowed thereafter, falling to 1.8% in November. Weaker plastics production is consistent with lower economic growth. The U.S. economy had two consecutive quarters of negative output growth in the first half of 2022. Persistent high inflation rates, rising interest rates, and lower disposable income caused a pullback on consumer spending, particularly on interest-rate-sensitive goods. Given that a significant portion of plastics production ends up in nondurable goods consumption, which remains stable regardless of where the economy is in the business cycle, it can be expected that plastics production could increase by as much as 1.0% in December, which is equivalent to a 1.5% increase from December 2021. 2. Plastics and Rubber Shipments The monthly shipments of plastics and rubber fluctuated this year between $22.1 billion and $22.5 billion. It peaked in April and decreased thereafter. Based on the latest data from the U.S. Census Bureau, shipments were virtually unchanged in October from the month prior. Healthy demand for manufactured goods, against the backdrop of lingering supply chain issues, caused manufacturers’ inventories to sales ratio to decrease to 1.45 in October from 1.50 a year earlier. To replenish inventory, shipments of plastics and rubber most likely increased by an estimated 0.4% in November. Although shipments likely decreased marginally by 0.1% in December, at this rate, 2022 closed with plastics and rubber shipments higher by 2.0% compared to December of last year. 3. Plastics Manufacturing Employment The economy’s labor participation rate improved somewhat from a 61.7% rate in 2021 to 62.2% in 2022. Still, the U.S. plastics industry continued to experience labor supply constraints in 2022. Some open positions remain unfilled this year. Hiring in plastic products manufacturing rose steadily in the first half of 2022 to 614.4 thousand as estimated by the U.S. Bureau of Labor Statistics but slowed in the second half of 2022. It is unlikely that hiring increased significantly in November, with the plastics and rubber manufacturing unemployment rate up 3.1% in November from 2.0% in October. It can be expected that plastics manufacturing employment will be virtually unchanged in November (613.2 thousand) from October (613.4 thousand) and could see a 0.2% uptick in December to 614.5 thousand. 4. Molds for Plastics Trade The exports of molds for plastics fluctuated monthly between $36.7 million in February to $54.3 million in August. Exports are usually the lowest during the summer months, however, exports of molds for plastics peaked in August before they decreased in the two months that followed. It is estimated that exports in November and December could top $43.7 million and $41.5 million, respectively. All told, exports of molds could average $45.8 million monthly in 2022, which will be higher than $44.5 million last year. While export orders may have increased, lingering supply chain issues have caused longer production lead-time causing export shipments to slow. Moreover, a strengthening U.S. dollar this year through November affected U.S. export growth. 5. Producer Prices in Plastics Material and Resin Manufacturing Plastics material and resin prices peaked in June this year based on the Producer Price Index on plastics material and resin manufacturing from the U.S. Bureau of Labor Statistics. It continued to fall as supply eventually caught up with rising demand. Plastics converters enjoyed a respite from the double-digit increase in resin prices in 2021. It is projected that the price index could decrease by 1.6% in December—an 8.6% decrease from December 2021. With rising capacity and softening demand, it can be expected that the monthly percentage change in the Producer Price Index on plastics material and resin manufacturing will be less volatile. 6. Industrial Capacity in Plastics Material and Resin Manufacturing The industrial capacity in plastics materials and resin manufacturing in the U.S. has been increasing this year. However, capacity is expected to have increased by 1.9% in 2022—lower than the 7.1% capacity increase in 2021. Lower growth rates in industrial capacity this year, against the backdrop of falling resin prices, suggest that there is sufficient plastics material and resin supply. This could explain the decrease in the capacity utilization rate in plastics material and resin manufacturing from February to October. The capacity utilization rate could increase to 81.0% in November and December 2022 to cover lower inventories. Latest data from the U.S. Census Bureau shows manufacturers finished goods inventories in plastics and rubber products decreased in the last three months ending in October. Any improvements in inventories would most likely be minimal in November and December. 7. Plastics Machinery Imports It is expected that imports of U.S. plastics machinery in 2022 will be less than in 2021. The latest data from the U.S. International Trade Commission show that imports increased in October by 0.2% from September. Since March, however, the underlying trend in U.S. plastics machinery imports has been downward sloping. If this trend continues, 2022 imports could average $150.3 million per month, which would be 51.5% lower than last year’s monthly average. Demand for plastics machinery has softened in 2022—a reversal from the robust demand in 2021. The value of U.S. plastics machinery imports
California Steel Industries to build galvanizing line at Fontana Mill
Nucor Corporation announced that California Steel Industries, Inc. (CSI) will build a continuous galvanizing line at its mill in Fontana, California. The new galvanizing line will serve construction end markets in the western United States and is expected to have an annual capacity of 400,000 tons. With the addition of this new line, CSI will have a total hot dip galvanizing capacity of 1.2 million tons per year. The investment is expected to cost approximately $370 million and take 30 months to construct following regulatory approvals. “With recent closures of galvanizing capacity in the western region, CSI is seizing an opportunity to provide the high-quality value-added products that our customers have requested,” said Leon Topalian, Chair, President and Chief Executive Officer of Nucor Corporation. “This investment continues the strong partnership we have cultivated with JFE Steel of growing together in North America.” CSI is a flat-rolled steel converter with the capability to produce more than 2 million tons of finished steel and steel products annually. The company has five product lines including hot rolled, pickled and oiled, cold rolled, galvanized, and ERW pipe. Key end-use markets served by CSI include the construction, service center, and energy markets. CSI employs more than 800 full-time and temporary teammates. CSI is the second partnership between Nucor and JFE Steel of Japan, following the formation of Nucor JFE Steel Mexico, which completed construction in 2020 and is in qualification trials with the burgeoning regional automotive market. Nucor acquired a 51% stake in CSI earlier this year. In addition to its majority ownership of CSI, Nucor currently operates five strategically located sheet mills that utilize thin slab casters to produce flat-rolled steel for automotive, appliance, construction, pipe and tube, and many other industrial and consumer applications. The company also has a sixth wholly owned sheet mill under construction in West Virginia. The capacity of Nucor’s sheet mills is currently estimated at 14 million tons per year and, inclusive of this investment and the planned additions in West Virginia and South Carolina, Nucor will grow to 6.4 million tons of galvanizing capacity in the United States. All of Nucor’s sheet mills are equipped with galvanizing lines and five of them are equipped with cold rolling mills for the further processing of hot-rolled sheet steel.
US Cutting Tool Orders totaled $200.6 Million in October 2022, bringing Year-Over-Year total to 11.7%
October 2022 U.S. cutting tool consumption totaled $200.6 million, according to the U.S. Cutting Tool Institute (USCTI) and AMT – The Association For Manufacturing Technology. This total, as reported by companies participating in the Cutting Tool Market Report collaboration, was up 3.4% from September’s $194.0 million and up 11.7% when compared with the $179.6 million reported for October 2021. This has been the highest monthly total since October 2019. With a year-to-date total of $1.8 billion, 2022 is up 9.4% when compared to the same time period in 2021. These numbers and all data in this report are based on the totals reported by the companies participating in the CTMR program. The totals here represent the majority of the U.S. market for cutting tools. “Market conditions for the cutting tool industry remain positive,” commented Jeff Major, president of USCTI. “Overall year-to-date sales versus 2021 are up 9.4%. Cutting tool sales for 2023 are expected to remain positive, led by the automotive and aerospace market segments. Shipping costs have stabilized somewhat, which helps our overall business, while there still remains some uncertainty with raw material costs.” Steve Stokey, executive vice president and owner of Allied Machine and Engineering, also had a positive attitude toward the direction of the cutting tool industry, stating, “Cutting tool orders continue to climb even through rocky waters. Certainly, we are all bracing for the impact of the interest rate increases by the Federal Reserve.” Stokey continued on, discussing how the durable goods industry influences the cutting tool industry. “The real key for our industry will be how durable goods perform in the months ahead. If durable goods production continues to grow, our industry may be able to stay in positive territory through an overall slowing economy.” The Cutting Tool Market Report is jointly compiled by AMT and USCTI, two trade associations representing the development, production, and distribution of cutting tool technology and products. It provides a monthly statement on U.S. manufacturers’ consumption of the primary consumable in the manufacturing process – the cutting tool. Analysis of cutting tool consumption is a leading indicator of both upturns and downturns in U.S. manufacturing activity, as it is a true measure of actual production levels. Historical data for the Cutting Tool Market Report is available dating back to January 2012. This collaboration of AMT and USCTI is the first step in the two associations working together to promote and support U.S.-based manufacturers of cutting tool technology. The graph below includes the 12-month moving average for the durable goods shipments and cutting tool orders. These values are calculated by taking the average of the most recent 12 months and plotting them over time.
Nucor promotes Noah Hanners to Executive Vice President
Nucor Corporation announced today that Noah Hanners will be promoted to Executive Vice President effective January 1, 2023. Mr. Hanners began his career with Nucor in 2011 as Melt Shop Engineer at Nucor Steel South Carolina. He next served as Shift Supervisor and was then promoted to Melt Shop Manager of Nucor Steel Auburn, Inc. Mr. Hanners later served as General Manager of Nucor Tubular Products and General Manager of Nucor Steel Kankakee, Inc. and was promoted to Vice President in 2019. He currently serves as Vice President and General Manager of The David J. Joseph Company. Prior to joining Nucor, Mr. Hanners served as a major in the United States Army. “Noah has proven his abilities in the many leadership roles he has held at Nucor and throughout his career. I am excited to have him join our executive management team and look forward to his contributions and perspectives,” said Leon Topalian, Nucor’s Chair, President and Chief Executive Officer.
Emerson reinvents Pressure Relief Valves to improve performance and reduce emissions
New Crosby Balanced Diaphragm and Bellows leak detection pressure relief valve solutions improve performance, safety, and reliability while reducing emissions Emerson has announced the release of two new-to-the-world technologies for the Crosby™ J-Series pressure relief valve (PRV) product line. The first is a Balanced Diaphragm, which eliminates the need for bellows in PRVs, while providing balanced operation against backpressure to lower the cost of ownership and enhance performance. The second technology is Bellows Leak Detection, enabling remote detection of bellows ruptures in PRVs, with the capability to reduce and accurately calculate volumetric emissions in real time. Where backpressure is present, spring-loaded PRVs often utilize bellows to ensure balanced operation. Data analysis from 30,000 PRV service records across different industries and valve brands shows a bellows failure rate between 2% to 6%. In other words, a plant with 1,000 bellows PRVs may have between 20 to 60 PRVs continuously operating with damaged bellows. The most common causes of bellows failures are excessive backpressure and rapid cycling. Ruptured bellows will cause fugitive emissions and may prevent valve operation at the designed set pressure, with the risk of catastrophic overpressure events. The Crosby Balanced Diaphragm can replace bellows in PRV applications to address these and other issues. Its innovative design extends the backpressure limits from 60% to 80% and increases the Kb backpressure correction factor by up to 15%, expanding the application range of spring-loaded PRVs. The Kb factor is used to size PRVs when they are installed in closed systems subject to backpressure. Extending the backpressure limit and increasing the Kb factor often permits the use of smaller valves. In addition, diaphragms are inherently more resilient than bellows for higher backpressures and rapid cycling applications. Upgrading to a Balanced Diaphragm, therefore, lowers maintenance costs, improves reliability, and increases stability. The second technology, Bellows Leak Detection, addresses the problem of bellows failures, which are challenging to detect and often remain unnoticed for years until the removal of the valve for periodic service. Leak detection and repair (LDAR) programs may include PRVs, but their target sources for leakage detection are flanges or valve seats, so bellows ruptures will generate fugitive emissions through the PRV bonnet vent that may not be in the LDAR scope. In addition, PRV installations are often difficult to access and in hazardous locations, making leak detection difficult. The Bellows Leak Detection solution is a safer and more efficient method for detecting bellows failures and emissions. It consists of a backup piston and a Rosemount™ wireless or wired pressure transmitter. The backup piston can reduce emissions by over 90% in the event of a bellows rupture because it has a much smaller clearance than a standard bonnet vent, and it ensures balanced operation. The pressure transmitter provides instant timestamped notification of bellows failure and emissions volume data in real-time. Upgrade kits for existing Crosby J-Series PRVs are available for both new technologies, and new PRVs can be purchased with these features pre-installed. “With the growing global emphasis on sustainability, an increasing number of PRVs that currently vent to the atmosphere will require connections to flare systems to curb emissions. The resulting higher backpressures will push the limits of existing PRV designs, and the Balanced Diaphragm and Bellows Leak Detection breakthrough innovations will help our customers address this need,” said Judson Duncan, president of Emerson’s pressure management business.
Manufacturing Technology orders through October 2022 on pace with best year ever
New orders of manufacturing technology totaled $457.7 million in October 2022, according to the latest U.S. Manufacturing Technology Orders Report published by AMT – The Association For Manufacturing Technology New orders of manufacturing technology totaled $457.7 million in October 2022, according to the latest U.S. Manufacturing Technology Orders Report published by AMT – The Association For Manufacturing Technology. October 2022 orders were 20% below October 2021 and 12% lower than September 2022, the smallest decline in orders from an IMTS September ever recorded. Orders are nearly even with this point in 2021, roughly $4 million above the YTD total in October 2021. “Although we are reporting a down month and near-flat year-to-date sales, orders for manufacturing technology continue to come in at a near-record pace,” said Douglas K. Woods, president of AMT. “October 2022 was the third-highest October on record. Typically, orders in October after an IMTS are down 23% from the previous month. Orders are returning to normal seasonal trends but at an elevated level.” Through most of 2020, all industries were reducing machinery orders, and in 2021, they seemed to be increasing orders in unison. However, for the last several months, customer industries returned to a more independent order pattern. For example, job shops are placing fewer orders for machinery as they return to their core customers such as aerospace and automotive. “While machinery orders from job shops are slowing, that trend could reverse if the economy tumbles into a mild recession,” said Woods. “In uncertain economic times, manufacturers tend to contract out any excess capacity needs instead of investing in additional machinery. This, in turn, leads job shops to require the additional capacity of their own.” Construction machinery manufacturers dramatically increased orders in October, likely in anticipation of government-funded infrastructure projects coming online. In line with infrastructure projects accounting for the increase in construction machinery, HVAC and appliance manufacturers decreased orders significantly at that same time. The decline in HVAC and appliances is likely the result of stalled new home construction projects as interest rates rise and development becomes more costly. “While it will be difficult to match the amazing end to 2021, we are optimistic the orders through the remainder of 2022 will result in only a modest decrease from our best year on record,” said Woods. “The bonus depreciation passed in the 2017 Tax Cuts and Jobs Act will begin to sunset in 2023, likely accelerating orders that would have otherwise been placed in the following year. The impact of these additional orders may be offset by rising interest rates and slowing delivery times. Even anticipating a modest decline, it seems there is still steam behind this historic run of investment in manufacturing technology.”
Nucor investing in start-up company developing Zero-Carbon Iron Technology
Nucor Corporation has announced that it has made an equity investment in Electra, a Colorado-based start-up developing a process to produce carbon-free iron that can be used to make steel. The company uses renewable energy to refine low-grade iron ores into high-purity iron through electrochemical and hydrometallurgical processes. This material will be used in the steelmaking process to offset other high-quality metallics that come with higher greenhouse gas emissions. “We are excited to partner with Electra and its revolutionary process to produce emission-free iron,” said Leon Topalian, Chair, President and Chief Executive Officer of Nucor Corporation. “Just as Nucor changed the face of the steel industry 53 years ago with our first electric arc furnace, successfully developing and scaling up a zero-carbon iron product is the type of transformative technology that could change the steel industry as we know it.” The process developed by Electra produces Low-Temperature Iron (LTI) from commercial and low-grade ores using zero-carbon intermittent electricity. The company electrochemically refines iron ore into pure iron at 60 degrees Celsius (140 degrees Fahrenheit) using renewable electricity. That iron can be turned into steel using existing electric arc furnaces, which account for 70% of steel production in the U.S. Electra’s process results in zero carbon dioxide emissions. By comparison, approximately 70% of the steel produced globally is made with blast furnace technology, an extractive process fed by iron ore, coal, and limestone that emits about two tons of carbon dioxide for every ton of steel produced. Using primarily recycled scrap as raw material, Nucor is already one of the cleanest steelmakers in the world. The circular nature of remelting recycled scrap in electric arc furnaces, combined with steel’s ability to be infinitely recycled, means that Nucor’s steelmaking facilities generate roughly one-third of the carbon dioxide of extractive steelmaking plants. Its investment in Electra is one of several investments the company is making that furthers Nucor’s status as a sustainability leader and builds on the innovation that has already led to cleaner steel production in the United States. “We are focused on investing our capital on opportunities like these that have the potential to take our company and the entire industry to the next level,” said Doug Jellison, Nucor’s Executive Vice President of Raw Materials, and a member of Electra’s Market Advisory Board. “We will continue to look to the future for new and innovative ways to help our customers achieve their sustainability goals.”
Millwood acquires Southworth Wood Products
The acquisition is Millwood’s second Waverly, OH location Millwood, Inc. acquired its second location in Southern Ohio and 35th location nationwide. Millwood Co-owners and Partners Chip Trebilcock and Steve Miller finalized the acquisition on September 1. This new location sits on 51 acres and will be referred to as MillTree East: A Millwood, Inc. Company and is just minutes from Millwood’s original MillTree West location in Waverly, OH. MillTree East is a circle mill that is currently cutting material that is resized with band saws for pallet material. Custom crates and pallets are also built at this new location. “This mill here allows us to do more custom lengths than our original Waverly scragg mill,” Millwood General Manager Lionel Trebilcock said. “This acquisition will allow for growth for the company and the team members working at our MillTree operations.” Railroad ties are also being cut at this new Millwood location. “When pallets or cut stock is down a little bit, we can switch gears and cut these ties,” Trebilcock said. “This is a new product that we’ve never done before.” Millwood’s mission is that all who come in contact with Millwood would clearly see the love of Christ in all we do and is at the top of our acquisition checklist. “The Southworth Wood Products acquisition just made sense. It fits with our mission and is just minutes away from our MillTree West location,” Trebilcock said. The two MillTree locations will work in tandem to meet the needs of our customer base in this region.” The team at this new location all have transitioned into the Millwood family and will work hand-in-hand with the MillTree West location to meet the demands of our customers in this area of Ohio. “Located only three miles from our existing sawmill and pallet operation in Waverly, acquiring Southworth presented a unique opportunity for us to not only increase our capacity but also our product offerings to our customers in Central and Southern Ohio,” Sales Director Lee Evans III said. Rich Clark, who now works as a district manager, will oversee the operational and chaplaincy responsibilities for both MillTree locations. “The team and I at MillTree West are very excited to work with and help develop and grow the MillTree East team,” Clark said.
Custom Industrial Products introduces “ChIP” as its new Brand Ambassador…and he’s quite the character
Say hello to ChIP, Custom Industrial Product’s newest addition to its family! ChIP acts as the brand ambassador for Custom Industrial Products, a leading material handling innovator specializing in vertical reciprocating conveyors (VRCs), mezzanines, and other safety-related products. ChIP is a reflection of Custom Industrial Products and its founding principles of hard work, and developing the right solutions based on safety and improved efficiencies for its customers. Custom Industrial Products opened its doors to business in 1995 and has helped customers discover newfound levels of productivity, dynamic new spaces, and experience responsive customer service – all while keeping safety at the forefront. These are the fundamental elements that comprise ChIP and have successfully positioned Custom Industrial Products as the go-to material handling brand for nearly 30 years. “Custom Industrial Products has built a reputation of trust and dependability through years of proven, reliable service,” said Kevin Powers, Vice President of Sales, at Custom Industrial Products. “We’re excited to have ChIP help tell our story in a fun, lighthearted way.” In the coming months, ChIP will become animated in areas on the company’s website (https://customindprod.com/), and also play a key role within the company’s marketing initiatives. Custom Industrial Products’ equipment operates daily in industries such as warehouse and distribution centers, automotive dealerships, manufacturing, food and beverage, education, aerospace, retailers and wholesalers, military, and government.
Diversified Plastics Inc. Business Development Manager elected to the Board of the Opexchange (SCMEP)
Diversified Plastics, Inc., an international rotational molder based out of Latta, South Carolina, announces that their Business Development Manager, John C. Leek, has been elected to the Board of The OPEXChange (SCMEP). The South Carolina Manufacturing Extension Partnership (SCMEP) is a private, non-profit group that serves as a proven resource to South Carolina businesses, providing them with a range of innovative strategies and solutions. An affiliate of the National Institute of Standards and Technology (NIST), SCMEP operates under the US Department of Commerce to promote innovation and industrial competitiveness. At SCMEP, they use a strategic, hands-on, partnering approach to help South Carolina companies improve their competitiveness, performance, and profitability in today’s increasingly demanding global economy. “We are proud of John’s election to the Board of The OPEXChange,” stated Tommy Wallace, President/CEO of Diversified Plastics, Inc. “He will be a great asset to the board as he has a diverse background with a strong commitment to business and community growth.” Since 1976, Diversified Plastics Inc. has been one of the leading rotational molding manufacturers of custom and standard material handling carts and plastic storage containers. DPI specializes in material handling carts, 1-4 step heavy duty steps, traffic barriers, and column protectors for industrial warehouses, recycling, textile, hospitality, laundry, agricultural and marine industries. DPI also manufactures waste and plastic recycling containers for restaurants, sports venues, stadiums, apartment and condominium complexes, and corporate office buildings.
Plastics machinery shipments: In sync with slower economy and up from 2021
The shipments of primary plastics machinery (injection molding and extrusion) in North America slowed in the third quarter according to the statistics compiled and reported by the Plastics Industry Association’s (PLASTICS) Committee on Equipment Statistics (CES). The preliminary estimate of shipment value from reporting companies totaled $353.8 million in the third quarter of 2022. While this is a decrease of 14.4% from the previous quarter, the estimate increased by 6.0% from a year earlier. Of the three primary plastics types of machinery, the value of injection molding shipments fell 17.1% in the third quarter. Shipments of single-and twin-screw extruders rose by 4.9% and 12.4%, respectively, in the third quarter. Compared to the third quarter of last year, shipments of single-screw extruders fell by 13.1% while shipments of twin-screw extruders rose by 19.3%. “It can be argued that the slowdown in plastics machinery shipment in the third quarter is in sync with the cooling of the U.S. economy. However, compared to the quarterly shipments in 2021—a stellar year for the plastics industry particularly for plastics equipment suppliers—this year’s third quarter shipments remain above the first three quarters’ shipments last year,” stated Dr. Perc Pineda, PLASTICS Chief Economic Officer. “Historically, there is a bump up in shipments in the fourth quarter. This was the case even before the COVID-19 pandemic. Given supply chain issues due to the pandemic, which has stretched delivery lead time, it would not be surprising to see shipments in the fourth quarter to be above the third quarter. There is also a huge year-end push for businesses to get their manufacturing capacity in gear for the coming year. This should support stable demand for plastics equipment next year, albeit lower than this year because of moderating economic growth” concluded Pineda. The CES also conducts a quarterly survey of plastics machinery suppliers that asks about present market conditions and expectations for the future. The outlook of the survey participants, particularly for the next 12 months, has not changed significantly. While 31.3% of the survey respondents expect market conditions to either improve or hold steady in the next quarter, 34.4% expect market conditions to be steady-to-better, which was marginally lower than the 35.0% in the second quarter’s survey results. “The outlook for the next 12 months virtually unchanged from the second suggests that plastics equipment suppliers have considered slower economic growth ahead and have not strategized accordingly for 2023,” said Pineda. Plastics machinery exports decreased by 10.2% to $198.8 million in the third quarter. Mexico and Canada remained the top export markets of plastics machinery from the U.S. in the third quarter. The combined exports to USMCA partners totaled $109.7 million, which was 65.9% of total plastics machinery exports of the U.S. Imports decreased by 12.1% to $423.6 million in the third quarter. U.S. plastics machinery trade deficit narrowed from $260.7 million in the second quarter to $224.7 million in the third quarter. Moderating global economic growth and a strong U.S. dollar are slowing plastics machinery trade. “In sum, the third quarter data is consistent with the projected growth in plastics machinery shipments for the second half of 2022. However, the U.S. manufacturing sector continues to face headwinds—elevated energy prices, rising interest rates, and inflation—which could weigh on the economy’s manufacturing output in 2023,” said Pineda.
Global Shop Solutions employees celebrated as Emerging Leaders by NTMA
Developing homegrown leaders is one of the most important things companies can do to pave the way for continued success. Global Shop Solutions, a global provider of ERP software for manufacturers, has announced that Cynthia Ashby and Ryan Carpenter were identified as Emerging Leaders by the National Tooling and Machining Association (NTMA). NTMA is a U.S.-based trade association with 1,200 tool & die and precision manufacturing companies representing more than $35 billion in sales. Each year NTMA selects 15 individuals – nominated by their employers – for recognition in the association’s Emerging Leaders Rising program. This program recognizes the hard work and accomplishments of future leaders in manufacturing. “We’re very proud to have Cynthia and Ryan on our team,” says Dusty Alexander, President and CEO of Global Shop Solutions. “Cynthia attained her current position as Manager of the Financial Data Analysis Team by earning the respect, admiration, and trust of senior leaders, supervisors, fellow employees, and customers. As an Operations Consultant on our Continuous Improvement Team, Ryan has greatly impacted our customers by continuously helping them improve their fluency with our software and resolve issues from quote to cash. It’s employees like Cynthia and Ryan that have made Global Shop Solutions great today and into the future.” Each Emerging Leaders class is profiled in The Record, NTMA’s Monthly Precision Manufacturing Magazine and are invited to attend Manufacturing Engage – the annual precision manufacturing conference – where they are recognized on stage during the awards ceremony. They are also invited to attend the annual Emerging Leaders Conference where they can connect with each other and continue to develop their leadership skills. “It’s an honor to receive this award, but I wouldn’t be where I am today without the guidance of others,” says Ashby. “Becoming an Emerging Leader has motivated me to work harder and continue growing in my career while helping others succeed.” “I am honored to be chosen as an Emerging Leader,” says Carpenter. “Every day I do my best to ensure our customers’ needs are met, and I hope to pioneer a path for new hires by demonstrating the effectiveness of young leaders.”
Orbital Wrapper manufacturer increases Made in USA components to 90 percent
Orbital wrapping machine manufacturer TAB Industries, LLC, Reading, Pa.has increased the amount of component parts that are “Made in USA” in its TAB Wrapper Tornado line of pallet wrappers to 90 percent. Now manufacturing more than 40 different parts per orbital wrapper in its Reading, PA facility, the company increased the use of in-house and locally sourced components as a key part of its business strategy to help insulate production from global supply chain disruptions and permit faster lead times. Recent investments in fabricating, welding, automated laser cutting, and CNC machining equipment have eliminated reliance on outside suppliers and accelerated lead times by approximately two weeks. Current lead times for the standard model wrapping system are at eight weeks. First manufactured in 2011 using only [40?] percent of component parts that are “Made in USA”, the TAB Wrapper Tornado orbital wrappers today feature heavy gauge steel wrapping rings, laser cut machine guarding, a variety of latches, clips, and plates, and advanced electronics, all designed, manufactured, assembled, wired, and programmed in-house and delivered ready to plug in and operate. The company’s streamlined production capabilities also promote fast delivery of replacement parts. The TAB Wrapper Tornado line of orbital wrapping machines automatically applies stretch wrap 360 degrees around and under the pallet and load to create a sturdy, secure, unitized load in seconds without banding, boxing, or strapping. Testing is offered using customer-supplied pallet loads to verify performance.
Plastics Industry Association releases global trends report which shows improved trade in 2021 and positive outlook for 2022
The Plastics Industry Association (PLASTICS) released its annual Global Trends report today during an executive briefing at the K Show in Düsseldorf, Germany—the world’s largest plastics trade show. “Inflation was a big factor in the increases in the dollar value of exports and imports of plastics trade,” said Perc Pineda, Ph.D. Chief Economist at PLASTICS. “While this year’s merchandise trade outlook could miss the forecast, as the global economic growth slowed, the world is still the market for the plastics industry.” Among the highlights found in the Global Trends report: The U.S. plastics industry’s overall trade deficit grew to $10.1 billion in 2021 from $5.4 billion just a year earlier. For several years prior, the plastics industry enjoyed a trade surplus. Still, the U.S. enjoyed a $19.6 billion surplus in resin. The U.S. plastics industry had an $18.2 billion trade deficit with China, its third-largest export market. This was, however, offset in part by a $2.6 billion resin trade surplus with China, the world’s largest resin buyer and a large importer of U.S.- produced resins. Interested parties throughout the globe will find the Global Trends report and its accompanying dataset provide a comprehensive account of U.S. plastics exports and imports worldwide in each of the four categories of the plastics industry – resin, products, machinery, and molds. The report is also the only plastics trade report that includes a contained trade analysis outlining the movement of resins and plastics that are embedded in goods that the U.S. both exports and imports. According to Global Trends, Mexico and Canada remained the U.S. plastics industry’s largest export markets. In 2021, the industry exported $18.0 billion to Mexico and $15.0 billion to Canada, maintaining its largest trade surplus—$10.8 billion—with Mexico. In the first half of 2022, U.S. plastics industry exports increased by 16.9% and imports rose by 17.0% compared to the first half of 2021. The trade balance, however, increased by 17.4%. “Risks on plastics trade remain in the forecast for 2023, but for the U.S. plastics industry, international trade remains a component of its overall growth strategy in 2022 and beyond,” said Pineda. “The U.S. ranks second in PLASTICS Global Plastics Ranking™.” “The fact that our Global Trends report anticipates positive results for our industry, despite a widened trade deficit, speaks to the importance of plastics to the world we live in,” said Matt Seaholm, President and CEO of PLASTICS. “Our members stand ready to provide the materials that improve lives throughout the world and that are essential to creating the circular economy we all strive to achieve.” An executive summary of PLASTICS’ Global Trends report is available online at: https://www.plasticsindustry.org/globaltrends
Bally Ribbon Mills highlights highly specialized engineered woven fabrics at 60th Annual SAFE Symposium
Bally Ribbon Mills (BRM), an industry provider in the design, development, and manufacture of highly specialized engineered woven fabrics, says it will highlight its creative solutions for product design and development at the 60th Annual SAFE Symposium, which will be held November 1-3, 2022 at the Mobile Convention Center in Mobile, AL, booth 120. On display will be a selection of the company’s high-performance webbings, including safety webbings and tapes, ideal for military, aerospace, fire, law enforcement, industrial, and commercial fall protection personal protective equipment (PPE) as well as specialty items to showcase BRM’s capabilities. Using its decades of weaving expertise, BRM designs, engineers, and manufactures materials that maximize the end product’s performance characteristics and properties – including strength, durability, resistance to abrasion, chemicals, heat, and weather. BRM enjoys the challenge of assisting customers in problem resolution and innovation creation regarding material selection in their design and development phases. BRM’s services include the development of customized innovations, complete engineering and solutions, sample preparation, and full-scale and specialty manufacturing. Experts will be on hand at booth #120 to show how BRM can design, develop and manufacture specialized, engineered, woven safety webbings and tapes. Made from Nylon, Polyester, Nomex®, Kevlar®, Vectran®, PBI®, Nextel®, and other specialty fibers, BRM’s safety webbing and tapes are ideal for applications requiring high tenacity, abrasion resistance, and flame and heat resistance. They are also a good choice for controlled elongation applications as well as those requiring chemical resistance in specific environments and can be used for shoulder straps, harness webbing, and chin straps, as well as helmet suspension, binding tapes, loop tapes, lap belts, shock-absorbing webbing, flotation device webbings, parachute assemblies, and other aerospace safety applications.
Excel Composites expands sales team
Following huge private and public infrastructural funding across North and Central America, global composites manufacturer Exel Composites has invested in expanding the sales team based at its factory in Erlanger, Northern Kentucky. The team serves customers in the North and Central American markets as well as opening up customers to Exel’s global network. Now the team is looking to increase the awareness and benefits of pull-winding technology. This introduction comes at a time when governments across the Americas are looking to invest multi-billion, even trillion, dollar infrastructure packages to rebuild and futureproof power grids, transportation systems, and telecommunications networks. For example, Biden’s $1 trillion Bipartisan Infrastructure bill will provide $89.9 billion to expand public transport, helping to replace obsolete vehicles with clean, zero-emission vehicles. With huge growth expected in these segments, the team is well positioned to help new customers take advantage of composites to solve challenges, drawing on its experience in business development and the technical expertise honed from many years of working with plastics, injection molding, and pultruded composite companies. Drawing on experience Over several decades of navigating the European markets, Exel has successfully positioned itself as an expert in manufacturing lightweight, robust, and long-lasting carbon fiber and fiberglass composites for transportation, power grid infrastructure, telecommunications, buildings, and construction. The company’s pultrusion and pull-winging processes are highly automated compared to manual manufacturing techniques, which ensures continuous, high-volume production of composite profiles at a consistent quality. “The American market was one of the first to accept the benefits of pultrusion. Thanks to the acquisition of the well-established North American pultruder Diversified Structural Composites (DSC) in 2018, the potential of the benefits of pull-winding to fill a gap in the market also became apparent”, explained Francesco Ierullo, Head of Sales for the Americas markets at Exel Composites. He continued, “Like pultrusion, pull-winding pulls saturated fibers through a heated die. The main difference is that the fibers can be organized in a crosswise or longitudinal alignment, depending on the application’s requirements. This cross-directional control of mechanical properties makes pull-winding the ideal manufacturing process for composite hollow profiles with thin walls. For building materials, this is important because it means the material’s weight is kept low, fewer resources are wasted during manufacturing, and production costs remain manageable”. Being a world leader in pull-winding technology, Exel Composites is well placed to bring these solutions to the American markets where there are almost no companies using this production process. The company aims to do this with the help of Ierullo, Head of Sales, and two Area Sales Managers. About the team Ierullo has worked with Exel Composites in Europe since 2015, recently relocating to Erlanger from Italy to help strengthen the company’s visibility. He is joined by two Area Sales Managers for North America, John Mertic and Marc Tagher, and a North American Sales Representative, Roger Gastineau. Mertic brings his experience managing the sales for multimillion-dollar accounts to help increase Exel’s market share across the continents in a targeted, strategic manner. His expertise in telecommunications, electrical composites, and conductor cores will allow Exel to grow in line with the pending infrastructural investments across the Americas. Tagher’s technical skills gathered from 25 years in the field of engineering make him an ideal consultant and collaborator for a growing customer base. He specializes in airports, defense, aerospace and marine transportation, and construction. Gastineau, the American agent for transportation, has been an integral team member at Exel for many years. Exel combines a large but local ‘made in USA’ manufacturing footprint with the expertise of a global company to provide efficient sales support, technical consultancy, and customer service from its Erlanger factory. The company has seven production factories throughout the globe, providing manufacturing support and the development of specific products in targeted applications. The team’s collaborative, forward-thinking approach to manufacturing will ensure an efficient service while helping customers overcome their challenges with composite solutions.