UP RESIN GROUP
INFORMATION SHEET
                                                                                                                                  05
The importance of Fibre Reinforced Plastics (FRP) in
the European labour market
FRP industry: a substantial employer in Europe             The previous table shows the total number of
A dynamic sector within the European chemical              companies operating in the UP (unsaturated
industry is Fibre Reinforced Plastic (FRP) production      polyester resin) industry in Europe. Despite the
and conversion: a segment as diverse as the material       relatively small size of the UP segment compared to
itself. Convertors range in size from the very small,      major consumers of styrene like the polystyrene
manual operations to the highly industrialised             industry, it shows what a significant employer the
international companies. With the relatively low entry     UP industry is throughout Europe.
requirements, small companies can begin operations
with minimal capital outlay.
At the opposite end are the large FRP shipyards like
Bénéteau (pictured right), bathroom furniture
manufacturers, pipe producers and SMC/BMC
(sheet/bulk moulding compound) convertors that will
typically employ several hundred people on a multi-site
basis. These companies make substantial investments
in state-of-the-art production techniques and in
environmental compliance measures.
CEFIC/ Plastics Europe sponsor review
The styrenics group of CEFIC, together with Plastics
Europe, asked the CMAI (Chemical Market Associates
Inc.) to carry out a high level socio-economic review of
the styrenics industry in the enlarged EU – with the       Large boatyards, for example, can directly employ hundreds of people
purpose of assessing the number of people employed         in production and finishing, as well as providing a livelihood for
and the value added to the industry in each member         numerous supply chain companies.
country. Countries included the 15 EU member states
(as of May 1 2004) together with Norway, Switzerland
and the EU accession countries of Latvia, Lithuania,       Demographics
Estonia, Poland, Czech Republic, Slovakia, Slovenia,       The marine industry is a major employer in the FRP
Hungary, Malta and Cyprus.                                 sector with many large producers in the UK, France,
                                                           Italy and Spain. The FRP industry in Germany is
                                                           also sizeable, being home to many of the large
Number of UP styrenic convertors in Europe                 SMC/BMC companies. East European countries
                                                           such as Poland are enjoying above average levels
  Country                      UP Styrenic convertors      of growth while West European economies have
                                                           remained somewhat static over recent years.
  Austria                              75
  Belgium                            173
                                                           Taking the industry as a whole, European FRP
  Denmark                            214
  Finland                             147                  companies are relatively small and numerous. Each
  France                            1250                   has their own specific requirements, which often
  Germany                           1447                   necessitate a higher level of customisation and
  Greece                                61                 technical support from the UP supplier. This makes
  Ireland                               36                 UP more of a specialty business than a commodity
  Italy                             1500                   business. Many FRP companies can be classed as
  Netherlands                         271                  SMEs (small and medium-sized enterprises). Small
  Norway                              151                  companies are defined by the EU as having fewer
  Portugal                            107                  than 50 employees and a turnover of < €7 million,
  Spain                             1250                   while medium companies are defined as having
  Sweden                              189                  fewer than 250 employees and a turnover of < €40
  Switzerland                           42                 million. Enterprises must also be independently
  UK                                1500                   owned to be classified as an SME. Throughout
  Czech Rep.                          381
                                                           Europe, SMEs are recognised as an important
  Slovakia                            109
                                                           provider of local employment.
  Hungary                             162
  Poland                              410
  Enlarged EU                        9475
                                                                                                                  Continued       1
          INFORMATION SHEET (continued)
                                                                                                                                                                                            05
                                                                                                            Supporting a vibrant industry
                                                                                                            It can be seen from the charts opposite that the
                                                                                                            European UP / FRP sector is a major employer
                                                                                                            throughout the enlarged EU. The nature of the
                                                                                                            business and the relative ease of entry also
                                                                                                            attracts many innovative and entrepreneurial
                                                                                                            SMEs that are at the core of national economies.
                                                                                                            As FRP convertors adopt more environmentally
                                                                                                            friendly and industrialized processes, they will
                                                                                                            attract a higher caliber skilled workforce.
                                                                                                            In a global market place international
       Highly automated processes are used for producing SMC/BMC compound from UP                           competitiveness is vital, and working groups
       resins and for moulding (converting) the material into finished parts typically used in the
       automotive and electrical / electronic industries.                                                   within organizations like Plastics Europe, based in
Top 10 Countries: UPRFRP
                      Converters                                                                            Brussels, play an important role in representing
    Top 10 Countries:    Convertors                                                                         the interests of the UP industry at large, while
      Sweden            189
                                                                                                            helping national industries to develop in a
                                                                                                            responsible and sustainable way. CEFIC also
     Denmark             214
                                                            Direct Employment: Producers                    actively advocates at the European institutions to
                                                                                                            draw their attention to the international
   Netherlands                271
                                                                                                            competitiveness of European manufacturing and
Czech Republic                       381
                                                                                                            the need for a specific industrial policy, focused
       Poland                         410                                                                   on creating the right framework conditions for
        Spain                                                                1250
                                                                                                            success. This requires better knowledge of the
                                                                                                            future prospects of individual sectors.
       France                                                                1250
     Germany                                                                           1447                 UP producers are at the beginning of a value
                                                                                                            chain supplying a broad spectrum of other
           UK                                                                            1500
                                                                                                            manufacturing      industries   such    as    civil
          Italy                                                                          1500               engineering, construction, automotive and marine.
                                                                                                            Innovations in the UP industry are a prerequisite
                  0   200           400      600     800     1000     1200      1400      1600       1800
                                               Number of UPR converters
                                                                                                            for the success of its downstream customers. As
                                                                                                            such, Europe’s FRP industry is a key contributor
           Above and Below: Wherever possible actual data has been used. In the                             to sustainable development, a vital source of new
           absence of information, CMAI has estimated the number of convertors in a
           country in relation to its demand – compared to a reference country for                          applications in other sectors of the economy and
           which information was available                                                                  an essential success factor in the European
                                                                                                            Union’s employment and growth agenda. A strong
          Workers employed in the European UPR sector                                                       market-oriented environment that encourages
                                                                                                            innovation,     accessible intellectual property
                                            UPR                 UPR                                         protection, and taxation systems geared towards
           Country                                                                       Total
                                            Producers*          Convertors**                                rewarding entrepreneurship: these are among the
           Austria                            162                    975                   1137             conditions that can help sustain competitiveness
           Belgium                              0                   1254                   1254             for the European UP sector in an increasingly
           Denmark                              0                   2090                   2090             challenging global economy.
           Finland                            162                   1115                   1277
           France                             405                 12000                   12405             This publication is intended for guidance only and while the information is
           Germany                            405                 11959                   12364             provided in good faith and has been based on the best information
           Greece                             195                    658                    853             currently available, is to be relied upon at the user’s own risk. The
                                                                                                            information contained in this document is provided in good faith and, while
           Ireland                              0                    418                    418             it is accurate as far as the authors are aware, no representations or
           Italy                             1070                 11202                   12272             warranties are made with regards to its completeness and no liability will be
                                                                                                            accepted for damages of any nature whatsoever resulting from the use of
           Netherlands                         81                   2508                   2589             or reliance on the information contained in the publication.
           Norway                              81                   1115                   1196
           Portugal                           195                   1127                   1322
           Spain                              681                 14914                   15595
           Sweden                               0                   1533                   1533
           Switzerland                        162                    836                    998                PlasticsEurope
           UK                                 729                 11456                   12185                Avenue E. van Nieuwenhuyse 4
           Czech Rep.                         211                   1393                   1604                B-1160 Brussels, Belgium
                                                                                                               Telephone + 32 2 676 1732
           Slovakia                           106                   4180                   4286
           Wearing suitable skin, eye
           Hungary                            106                    697                    803
                                                                                                               Fax +32 2 675 3935
                                                                                                               Email info@plasticseurope.org
           Poland                             527                   4180                   4707
           and
           Enlarged EU                       5278                  85610                  90888
                                                                                                               www.plasticseurope.org
           * Direct Employment: Producers **Direct and Indirect In-House Employment: Convertors