Plastics Machinery Shipments Rebound in Third Quarter

After dropping in the first and second quarter of 2024, North American plastics machinery shipments bounced back in the third quarter, posting an estimated total shipment value of $319 million, representing a 41.9% increase from the previous quarter, but an 8.8% decline year-over-year. In the second quarter, the estimated shipment value of $224.8 million marked a 15.4% decrease from the first quarter of the year and a drop of 36.2% compared to the same period in 2023.

Those figures are reported by the Plastics Industry Association’s (PLASTICS) Committee on Equipment Statistics (CES), which released third quarter 2024 shipment data for primary plastics machinery in North America, covering injection molding and extrusion.

In the primary plastics machinery sector, twin-screw extrusion shipments nearly tripled with a 149.7% increase quarter-over-quarter, while rising 43.1% compared to 2023. Single-screw extrusion shipments increased 31.9% compared to the second quarter but were down 27.8% compared to the third quarter of last year. A similar trend was observed in injection molding shipments, which rose by 34.3% on a quarterly basis but were down 11.1% year over year.

The latest CES quarterly survey showed 70% of respondents expect improved market conditions over the next year. Additionally, the percentage of respondents reporting an increase in quoting activity rose slightly to 42% from 40% in the previous quarter.

For the quarter, U.S. plastics equipment exports rose by 2.1% to $348 million compared to the previous quarter but were down 19.9% year over year. Mexico and Canada remained the top export markets, accounting for a combined $156.4 million, or 45%, of U.S. plastics machinery exports.

“U.S. manufacturing has faced an interest rate-driven slump,” PLASTICS’ Chief Economist Perc Pineda said in a release. He added that the Federal Reserve’s recent rate cuts — including a 50-basis-point cut in September, followed by 25 basis points in November, and likely another 25 basis points in December — are expected to bring the Fed funds rate to a target range of 4.25 to 4.50%. “This should gradually help the manufacturing sector move past the recent downturn,” Pineda said.