Rexam switches to aluminium cans in Germany

Archiv – Rexam, the UK-based global consumer packaging group and one of the world’s leading beverage can makers, has announced plans to switch the beverage cans it manufactures in Germany from steel to aluminium.Rexam, the UK-based global consumer packaging group and one of the world’s leading beverage can makers, has announced plans to switch the beverage cans it manufactures in Germany from steel to aluminium. Key drivers behind the move are the favourable economics of the aluminium can in a deposit system combined with its strong environmental track record.
The decision reflects the fact that Germany will be introducing a nationwide return system for one-way containers by next May. Rexam believes aluminium’s high scrap value will make the beverage can the most viable packaging solution within the new return system. With a scrap value at least ‘‚¬ 0.01 higher than any other packaging material, a used aluminium beverage can is seen as the only packaging medium that will generate a good scrap income under the deposit scheme. In addition, beverage cans provide lower handling costs throughout the supply chain while returned cans offer handling efficiencies because they can be easily compacted.
Conversion of the Rexam plant in Berlin, Germany, will begin early next year and is expected to be completed by the end of the second quarter of 2006, after which the company plans to expand the facility from two to three lines and thereby create an estimated 40 new jobs. The cost of the conversion is expected to be around ‘‚¬ 24 million (US$ 29.2 million).