Daily Newsletter

29 January 2024

Daily Newsletter

29 January 2024

Aluminium aerosol can industry seeks skilled workers amid global labour shortage

Market growth is primarily due to above-average increases in demand from the hairspray, deodorant and shaving foam sectors.

Claire Jenns January 26 2024

The International Organisation of Aluminium Aerosol Can Manufacturers (AEROBAL) has reported that its members' global shipments increased by 6% to 6.4 billion units in 2023.

Market growth is primarily due to above-average increases in demand from the hairspray, deodorant and shaving foam sectors, which grew by 12%, 9% and 55% respectively compared to 2022.

Overall, the personal care market accounted for 83% of total deliveries.

In contrast, demand from the pharmaceutical sector achieved a below-average increase of around 1%. Deliveries to the food and household products sectors fell by 3% and 15% respectively.

Demand in the 27 European Union member states and the UK rose 9%. Deliveries to South and North America increased by 10%. These regions account for 72% of total deliveries by AEROBAL members.

While demand from the African market also increased by 11%, deliveries to Asia/Australia and the Middle East fell by 2% each.

Fierce competition for skilled workers

AEROBAL Secretary General Gregor Spengler highlights the industry’s concern about a lack of qualified workers and the associated increases in labour costs.

To combat this, Spengler advised that “manufacturers must develop effective strategies to keep know-how carriers in their companies and recruit young talents so that production capacities can continue to be utilised efficiently in the future. There is fierce competition worldwide for well-trained and committed employees.”

Mixed outlook for the first half of 2024

Given the still high order backlog, manufacturers of aluminium aerosol cans are optimistic about the first half of 2024.

Spengler commented: "Demand is very robust overall. The convincing sustainability properties of aluminium, which can be recycled almost infinitely, are boosting sales.”

But the availability of high-quality post-consumer recycling material is becoming an increasing challenge for the aluminium aerosol can industry.

In the UK, major companies such as Tata Steel have continued to join the country’s Aerosol Recycling Initiative.

Another challenge dampening sentiment in the industry is the impact of persistently high inflation on consumer purchasing power in the main sales markets worldwide.

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