Overview
The market for new plastic extrusion equipment is stable. This is primarily due to the fact that this machinery is very diverse in its applications. Extrusion lines are used for a wide variety of applications, including packaging materials, industrial textiles, pipe and tubing, profiles, siding, fence, fiber composites and for pelletizing, and recycling. It's important to recognize that in addition to the extruder, there is a wide variety of equipment necessary to make the range of products described. This equipment adds a considerable amount of cost to the overall investment.
Industry Condition – Average
Key Industry Indicators
Commodity Tracker
Overview
The secondary market for plastic extruders used for sheet and packaging applications is greatest for machines with capacities from 3.5" to 4.5" in diameter and that are less than six or seven years old. Davis Standard, Welex, American Maplan, and Berstoff are among the most recognized original equipment manufacturers. Assuming the extruder is late model, the right size, and has not been customized for the specific user, it is usually the most easily salable part of the extrusion line. In general, extrusion machinery has experienced relatively stable demand over the past three years, and depreciation trends are expected to remain predictable for the foreseeable future.
Whenever possible, extruding lines (regardless of product type) should be sold as a line to maximize sale price. However, extruders and the related standard equipment can also be sold piecemeal and, sometimes, this results in the highest selling price. Careful attention should be paid to understanding how extrusion lines are equipped. Sometimes equipment in advance of the extruder as well as downstream are dedicated to specific product line applications. In these cases, every attempt should be made to package the sale of the line with the rights to produce the product line.
Used Equipment Values – Average
- Supply of used equipment – Stable
- Demand for used equipment – Stable
- Trends in used values – Market depreciation at predicable levels
Factors Influencing Value & Marketability
- Screw diameter of extruder
- Horsepower
- Extrusion ratio
- Heat zones
- Control sophistication
- Type of screw
- Equipment both upstream and downstream from the extruder
Valuation Monitor
AccuVal routinely provides appraisal, consulting, and asset management services throughout every segment of the
Plastics industry.
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Representative Clients Our Associates Have Served
Success Stories
- Disposition Strategy Implemented While Managing Crisis
- Valuations of Some of the World's Most Sophisticated Coating Technologies Used in Microwave Safe Paper Products
- Appraisals Supporting One of the First and Largest Global Asset Based Loans of Industrial Textiles
- Conducted Analysis Supporting the Feasibility of the Divisional Spinoff of a Paper Coating Operation
- Implemented Asset Optimization Strategies and Dispositions of Extruding Lines and Plants
- View all Success Stories
Associated Packaging Technologies
Polyair Inter Pack Inc.