Older injection molders are not faring well in the market as evidenced by several auctions recently. We have been informing out clients that as we head towards 2020, the pre-2000 injection molders would be losing their value. Nineties vintage machines at recent auctions have fared poorly with early nineties machines getting bids in the low thousands - if they get any bids or are purchased at all. The prices have been reflective of the machines being purchased for parts or for scrap. This can be disconcerting for owners who missed the window to sell their equipment and are now looking at machinery that doesn't have much value.
We are recommending that anyone using older injection molding machines as collateral or security have an appraisal completed even if the appraisal is only one or two years old. The market has shifted and the equity may have changed drastically. Banks and leaseholders using injection molding equipment as collateral and manufacturers looking to expand based on current values need to find out what the real current value. Older values may be markedly different than the ones today.
If you'd like to have an in-depth discussion about the used machinery market contact David Pietig, CEA.