Despite shortage of raw materials: BGS on expansion course in the business area of radiation crosslinking

The continued upswing in the construction sector and offshore wind power as well as the expansion of e-mobility contributed sustainably to this positive result. Radiation crosslinking of cables was in particularly high demand, resulting in improved insulation and increased chemical resistance. Following strong growth in 2020, radiation crosslinked pipes (PE-Xc) was the only segment that showed a slight declining trend.

Amongst other things, radiation crosslinked plastics are used in the form of injection moulded components and other shaped parts for the automotive and electrical industry as well as in machine construction, as insulation for cables and wires, for pipes, or as lightweight construction materials in aerospace technology. “The benefits of processed plastics are multiple: Through the treatment with high-energy beta or gamma rays, we improve the material properties of inexpensive standard polymers in such a way that they become permanently more resistant to heat, wear and chemicals, and can thus replace more expensive high-performance plastics. Their high quality and efficiency are increasingly in demand. As soon as the supply situation for technical plastics has returned to normal, we expect renewed growth here,” explains BGS Managing Director Dr. Andreas Ostrowicki. Rising energy costs pose a challenge for the company in the current business year.

Investments planned in production areas

Due to the increasing need, particularly in the course of developing e-mobility, the company is continually investing in the expansion of its capacities and is upsizing its production spaces at BGS’s founding location in Wiehl this year. In the current business year, total investments are planned in the seven-digit range.