The media predicted a crisis in the EU glass industry due to gas prices

High gas prices in the EU and plans to reduce the consumption of this energy carrier by 15 percent may lead to a crisis in the EU glass industry and a halving of glass production, the Wall Street Journal writes.

On Tuesday, as shown by the data of London's ICE stock exchange, exchange prices for gas in Europe approached $3,000 and grew by 3 percent.

“The glass industry in Europe is heavily dependent on gas, which is used to heat furnaces up to 1400 degrees Celsius... Even a modest reduction (of gas consumption) is not ideal. should reach the member states of the European Union - could lead to a drop in glass production by more than half," the newspaper writes.

Therefore, according to the Wall Street Journal, the EU glass industry is "lobbying for priority access to gas and warning governments that turning off European furnaces and importing bottles will destroy the region's industrial assets."

The newspaper stresses that the EU is "already experiencing a shortage of bottles" and alcohol companies are "struggling to secure an adequate supply" of glass.

A noticeable increase in the cost of gas in Europe began last spring, when the average spot price in terms of the TTF hub index fluctuated in the range of $250-300 per thousand cubic meters. At the end of the summer, the value of a contract with a "day ahead" delivery exceeded $600, and in early October it was already $1,000.

At the end of July, the European Commission proposed, and the EU countries at the beginning of August agreed with a number of amendments, the goal of reducing gas demand in the EU by 15% by the end of March next year. As long as this is a voluntary benchmark, the countries of the Union themselves can choose measures on how to achieve it. However, under certain conditions, reducing gas consumption in the EU may become mandatory. These measures were proposed against the backdrop of EU fears about the lack of supplies of "blue fuel" from Russia.

Source: https://ria.ru/