News
NEWS: UK aluminium sector hit as three major manufacturers enter administration
The UK’s aluminium window and door manufacturing sector has been hit by a fresh wave of collapses, with three high-profile companies entering administration in recent weeks. English Architectural Glazing (EAG), its manufacturing arm Multifab, and trade supplier AluFold Direct have all ceased trading, citing tough market conditions. The string of closures follows the earlier demise of specialist manufacturer Dutemann, raising concerns over the health of a sector once seen as stable and growing.
In a statement, EAG’s directors said the business had been unable to secure new contracts or trade profitably “despite considerable investment”. Attempts to attract fresh investment were unsuccessful, prompting the board to apply for the appointment of administrators Begbies Traynor.
AluFold Direct, a well-established supplier of aluminium fenestration products, has also entered administration. The news has sent shockwaves through the trade, with the firm considered a reliable name in the market.
Industry commentators suggest the downturn stems from increased competition and falling trade prices. One sector observer told Glazing Today: “It was inevitable we were going to see some heavy losses in the aluminium trade supply sector. It was a growth sector with decent margins and this attracted low-cost and price suppliers.”
Lower barriers to entry and efforts by systems providers to expand their networks have led to a drop in aluminium window and door prices, eroding manufacturers’ profit margins. Established businesses, the commentator added, were slow to adapt and adjust their cost structures, leaving them vulnerable.
However, not all firms in the sector are struggling. Businesses focused on the high-end installation market report stable trading conditions. A retailer targeting this segment told Glazing Today: “It’s really tough at the moment. Sales in the middle and bottom priced segment have really taken a nosedive. We have targeted the higher-end of the market and are witnessing reasonable leads and sales.”
The recent failures highlight growing divisions within the aluminium fenestration market. While demand in the premium segment remains resilient, more price-sensitive areas are feeling the squeeze.
The developments add to wider concerns about the UK construction sector, which has been grappling with inflation, fluctuating demand and supply chain challenges. As administrators assess the future of the affected businesses, attention will now turn to whether other firms can weather the mounting pressures facing the industry.
Why this matters: This signals a pivotal moment for UK fenestration, exposing vulnerabilities in trade supply, pricing pressures, and outdated models—prompting urgent reassessment of strategies to survive in an increasingly divided market.
