Responding to Asian Imports

Transcription

1 Responding to Asian Imports Wood-Plastic Composites 2011, , Austria Trend Savoyen Hotel, Vienna, Austria Asta Eder Composites Consulting

2 Overview Overview of bio-based composites Structure of the WPC imports Structure of the trade involved in imports Quality and price level of the imports Marketing strategy Marketing strategies of the European producers Product differentiation Cost leadership Market segmentation Wood certification systems Voluntary certification European quality and eco labels Ecological assessment Market size and outlook for bio-based composites Conclusions

3 Overview of fiber-reinforced polymers W ood Polymer Compos it es (W PC) Synthetic polymer + wood + additives Non expensive material, usually wood flour acts as a filler Application: Decking and Siding Nat ural Fibre Compos it es (NFC) Synthetic polymer + natural fibres(or wood) + additives Natural fibres are true reinforcements for polymer Application: Transport Bio-bas ed Compos it es Syntetic polymer + > 20% bio-based reinforcement or filler+ additives Application: Construction, transport, household goods Biocompos it es Biopolymer/ Bioplastic + natural fibre/ wood + additives Application: Packaging Nat urally Reinforced Polymer Compos it es (NRPC) Synthetic polymer + wood or natural fibres + additives Includes both WPC and NFC Fibre Reinforced Compos it es (FRC) Synthetic polymer + rice hull/husk as reinforcement + additives Application: House construction Nat ural Filled Polymer (NFP) Synthetic polymer + natural fillers

4 Asian WPC imports Amongst Asian countries China has the largest import volume to Europe. Imports from Japan are stable but on a much lower level. Chinese WPC industry has grown through exports in the decking application field Today China s WPC industry is the second largest in the world after the United States. This development begun after the U.S. companies started the WPC production in China The decking amounts 80% of the Chinese production volume of tpa (in 2010); prospects for the growth of the WPC production are tremendous

5 Import Structure in Europe Import houses Direct imports from DYI-Chains Outlet stores Small European companies import WPC decking also along with their own product

6 DYI-Chains Direct Imports

7 Outlet Stores

8 China Import Houses

9 Quality of the Imports Quality of the imports has a broad range

10 Imports Price Range Prices of the imports have a broad range

11 Marketing Strategy What is our targeted customer group? What type is our competition? What features are the same as the Asian WPC? Points of parity (PoP) What is the difference between the Asian WPC? Points of difference (PoD): Also called USP SWOT Analysis Marketing strategy

12 Marketing Strategies of the European Producers Product differentiation Cost leadership Market segmentation: Target group environmental concerned customers: Wood Certification Systems Voluntary Certification: European Quality and Eco labels Ecological Assessment

13 Very wide decking boards, Natur-Form, Novo-tech, 2011 Product differentiation Used by businesses to achieve and maintain competitive advantage Can be used if the target customer segment is not price-sensitive Decking tiles with natural stone Mc Farrland Cascade, 2011

14 Product Differentiation WPC Window Profile Excepted wood- and woodaluminum window with improved insulation capabilities with extruwood cap based on WPC Reduced material and assembly costs for the window Low-energy window certified by independent Austrian testing institute (MA 39, Vienna) according to relevant national and international standards

15 Cost Leadership- From Label Waste to Engineered Composite Decking and siding by UPM ProFi + virgin PP The 10-UNIT SYSTEM furniture concept is the wood plastic-composite products to emerge from cooperation between furniture manufacturer Artek, architect Shigeru Ban, and UPM-Kymmene.

16 Market Segmentation: Wood Certification Systems Forest Stewardship Council (FSC) The Programme for the Endorsement of Forest Certification (PEFC) Quality and test regulations for wood polymer materials Several governments support the certification of sustainably managed forests and will continue to use wood only from certified stands in its procurement measures. Wood fiber producers have obtained the PEFC Compounders like Beologic have FSC and PEFC

17 Market Segmentation: Voluntary Certification European Quality and Eco labels In addition to WPC standard PrEN that will be available as full EN standards in 2012 German quality label (VHI) is in tune with the PrEN standard CTB WPC Decking standard in France VTT expert services of developed technical approval ETA 11/0037 Different eco labels are used for example Nordic Ecolabel. The Nordic Ecolabel is eco labelling scheme that evaluates a product's impact on the environment throughout the whole lifecycle (co²).

18 Market Segmentation: Ecological Assessment Comparison between WPC and glass fiber reinforced polymer. The impacts will be considered in the following three stages: assembly (raw material extraction, raw material processing, and panel fabrication), use, and end of life. (LCA according to ISO/EN 14040)

19 Prospects for Bio-based Composites The global market for bio based composites reached $ 2.1 Billion in 2010 (Brief, 2011), with an annual growth rate of 15% in the past five years. By 2016, the bio-based (natural fiber and wood) composite market is expected to reach $ 3.8 Billion.

20 Conclusions The markets of WPC in Europe are growing The imports as well as the domestic European production will grow The quality of European marketing strategies and the development of the Chinese economy will influence the European market share of the imports in the future The European decking buyers awareness of ecological facts and quality issues will be crucial for the development of the WPC imports in Europe

21 Thank you for your attention!