Status: 24.10.2022 09:51 a.m
According to the industry, only a few manufacturers of protective masks are currently ramping up production again, according to the Mask Association Germany. On the contrary: there is a risk of a wave of bankruptcies.
Some mask manufacturers are currently ramping up their mask production again. However, many companies in the industry could soon face bankruptcy. “We are currently seeing slight growth in the industry. A few production plants, some of which have been idle for a year, are being restarted,” said Stefan Bergmann, spokesman for the Mask Association Germany. However, this only applies to very few companies.
The majority of the 75 companies represented by the association are still on the verge of bankruptcy or can cross-finance losses thanks to other production areas. “In the summer, the utilization of the German mask industry was around ten percent,” said Bergmann. “We estimate that it will be 20 percent by autumn. But that’s a flash in the pan and not sustainable.”
Cheap competition from China
Only a few have given up, also because the funding means that the machines have to be kept ready. “But as soon as that has passed, there will be a wave of bankruptcies.” According to Bergmann, the Federal Ministry of Economics provided 100 million euros at the beginning of the pandemic to support production. A further 180 million euros came from private investments.
Bergmann sees the cheap competition from China as the reason for the current reluctance. In Germany, the lowest purchase price for an FFP2 mask is now 30 cents, and there is an offer from China for 6.8 cents apiece. Most authorities and almost all other bulk buyers bought cheap masks.
But there is also some light. Association members reported that a few large clinics now only bought German masks because the staff refused to put on others.
Demand could increase sharply again
The company TechniSat had announced that it would restart the production of protective masks. “Since the beginning of last week, our machines in the plants in Staßfurt in Saxony-Anhalt and in Schöneck in Saxony have been running at full speed again,” said TechniSat boss Stefan Kön. TechniSat, based in Daun (Eifel), is actually a manufacturer of consumer electronics.
“At the beginning of the pandemic, masks were in short supply. At that time, we were asked to help procure masks because we also have a representative office in China. We organized masks, but found that their quality was inferior,” said the managing director . In addition, many manufacturers were traveling with forged certificates at the time.
“If there is an increased need for masks again, we are prepared,” emphasized Kön. “We expect that the demand for medical and especially FFP2 masks ‘Made in Germany’ will increase significantly in the coming weeks.” A lack of imports could exacerbate the situation on the market. In China, for example, lockdowns are regularly imposed, which could affect deliveries.