PLASFEDDERGİ
FROM THE INDUSTRY
Plastics product manufacturing to be 8.3 million tons in 2015 Selçuk Mutlu PLASFED Acting Secretary General PAGDER Secretary General
The Turkish plastics product manufacturing reached to a 7.3 per cent growth in quantity on Compound Annual Growth Rate (CAGR) basis between the years of 2011-2014. On the contrary, a deceleration regarding the growth rate has been beginning to be observed due to the general internal and foreign economic state. According to the 9 month realizations in 2015 of the plastics sector, the production on quantity basis will be 8.3 million tons in the end of 2015. Production in 2014 was grossly around 8.2 million tons. Turkish plastics products manufacturers, within the first 9 months of the year, completed 6.25 million tons of manufacturing in the value of 23.9 billion US dollars. As a result of the effects of exchange rate fluctuations, calculation on value basis may yet again change in the end of the year. GLOBAL ECONOMIC DEVELOPMENTS Global growth trending towards deceleration • The growth rates of the emerging markets are continuing to decelerate. Expectations towards recovery in Brazil, Russia, certain Latin American and Middle East countries were postponed to 2016. • In respect of USA, the possibility of interest increase by FED is still in effect. • For the EU, on the other hand, industrial production of Germany has decreased by 1.1% in September. This case is raising concerns as the lowest rate within the last year. • PMI data in China are continuing to cruise under 50 basis points. China has declared an annual growth target of 6.5% for the next 5 years. While it is probable to assert that savings and investments are favorable in achieving the said target, household expenditures and private sector company indebtedness seem to be the two substantial risks. Company debts have surpassed 160% of GDP. • Global trade; the increase by countries of safeguard measures based on the regression in commodity prices is cruising below the expected rates in consequence of the deceleration in China (the decline in import may reach and surpass 20% at the end of 2015 in China).
ECONOMIC OUTLOOK IN TURKEY The tension on fragilities is striking • As a consequence of the general elections, the country is a candidate to change the perception of political uncertainty by petitioning towards the establishment of a powerful government and excelling to reforms forthwith. Reliability of economic policies was recently attracting attention as the most vital threshold. The sustainability of implementations towards expectations, following the reactivation of such basic threshold, will be the actual decisive element. • Basic nerve endings; growth, which has stalled contrary to the past periods, is striking as the capital abundance, which has faded into shrinkage in connection with inflation and global conjuncture, showing a trend towards increase without any growth. • Company and household indebtedness, saving deficiency and relative shrinkage in foreign exchange reserves are themes that should not be overlooked. • We estimate the year-end growth rate to be close to 3% band.
PLASTICS SECTOR OUTLOOK World plastics product manufacturing will reach 320.2 million tons in 2015 In 2014, world plastics product manufacturing attained a 311 million tons of production. When realizations in China, EU states and world production in the first half of 2015 are taken into consideration, we can envisage that total world production in 2015 will grossly be around 320.2 million tons.
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