Innovation and technology are the lifelines this year for the filtration industry, according to a recent conversation with Knowlton Technologies Director of Technology and New Business Development, Jamie Lee. Knowlton Technologies is a world leading manufacturer of engineered Specialty and Technical Media, Performance Nonwovens and Filled Composites constructed from metal, glass, polymer, ceramic and natural fibers.
“For most of our peers or competitors, the year will be challenging. Anyone in the direct OE automotive line of filtration market for on-the-road has no business growth to look forward to, in my mind, for several years,” Lee said, while noting that the OE automotive supply chain is down 60 to 70 percent while other industries may be down 30 to 50 percent. He believes this is because cars aren’t selling and there is a tremendous backlog of filtration parts for the on-the-road industry.
The survival of the filtration industry rests with companies possessing the ability to produce higher value, longer life products, he said, because these companies can chew- out market shares with innovation and technology.
Additionally, off-road filtration systems such as those used in construction will rebound more quickly than on-road products in part with the help from the government’s stimulus and recovery plans to improve infrastructures. But even in this field, the catch phrases will be higher value, longer life products, he said. Products which eliminate the need for frequent changes will sell. Discounting a product by 5-15% percent or so will not get sellers to their long-term goals.
“Some people will go out and buy the cheapest filters but that’s not a deal if you ruin an $8,000 engine. The future lies not with companies offering the lowest price for their filters but rather with companies making the best filters.”
Lee said filtration manufacturers would do well to explore making filters for water purification systems, the medical market, earth sciences and energy. He believes these markets provide the best opportunity for future growth.
“Micro fiber filters used in the medical separation field are manufactured from the same high quality fibers as those used to make scotch,” he said.
He points to bio fuel as another example, saying the development of bio fuels will require the use of many new filters, other than those used in common petroleum -based fuel production.
About the Authors
Lisa Sprowls of the Filtration Group of RSI has successfully placed a wide range of positions in the Filtration, Water and Wastewater industries. She has developed a clientele ranging from successful, small, privately held companies to the corporate giants of the industry throughout North America. To learn more about their recruiting services visit them at www.rsipeople.com/filtration
Copyright © Lisa Sprowls 2009
Tuesday, April 21, 2009
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