Report predicts volatility for European container glass
According to a recently published report by Moody’s Investors Service, while demand for glass packaging products is likely to remain steady overall in Europe, the majority of European glass container producers will be exposed to volatility in energy costs over the next 12-18 months.
“Our expectation that volumes in the European glass container packaging industry will remain steady reflects the fact around 90% of glass packaging products are related to food and beverages, which are largely non-discretionary items. Therefore, we foresee only limited pressure on the operating profitability of rated glass container producers in Europe, despite the weak macroeconomic environment in Europe” says Anke Rindermann, Assistant Vice President and co-author of the report.
?Nevertheless, Moody’s notes that industry players are not completely immune to volume losses, as evidenced by the 2008-09 global financial crisis and recession.
The full report can be found on: www.moodys.com