Things that matter. Sharing what we know and who we are.
At BMG, we take pride in sharing our perspective on the thermoforming world, offering technology tips that benefit the broader community, and providing insight into the daily lives of our employees. Take a moment every quarter to see what we're up to and gather some interesting or entertaining content that will help you better understand who BMG is and what we stand for.
A view from the top.
Turn uncertainty into opportunity.
To our valued partners and BMG team members,
Waiting to Invest Could Cost You Dearly.
While everyone has been doing their best to navigate rising interest rates, unpredictable demand, and tariff whiplash, there are a few other data points to consider. In companies worldwide, many capital projects have been put on hold, awaiting the “right time” for action. For leaders to be first off the line, they must be the first to activate the acquisition cycle. Companies that move first in this market will capture the margins and capacity that others who hesitate will leave on the table. While the market isn’t fully back to “normal,” the window for wise investment is open now. Freight costs are easing, and new U.S. legislation restoring 100% bonus depreciation on qualified equipment is helping companies capture ROI faster.
Why Acting Now Can Pay Off
It is evident that everyone is currently scrambling to determine where their next move will come from that will sustain or enhance their market positioning. A significant portion of companies are making acquisitions, while others are expanding their operations, and the most astute ones are enhancing their production capabilities to deliver improved business offerings. The smart move is to invest in areas that directly improve efficiency and margins. Upgrading production lines to increase throughput, reduce labor dependency, and run sustainable materials delivers measurable ROI, insulating companies from broader market swings.
Recent overarching legislation includes enhanced depreciation advantages, allowing certain capital investments to be written off more quickly. So what does that mean for manufacturers? Well, in a nutshell, it represents shorter ROI timelines, reduced effective capital costs, and easier board-level justification for growth projects. As the market has become more stabilised over the last six months, with accelerated depreciation and the stabilization of freight costs, the economics of many margin‑driven projects are becoming more attractive than they were just six months ago.
Here’s a quick look at how these advantages can improve your decision-making when it comes to capital acquisitions in thermoforming. Let's say you purchase a new BMG Thermoforming Platform in 2025. Capital cost is $900,000, and the corporate tax rate is 21%. Under the previous tax rules, you would realize a first-year deduction of $ 180,000, a tax savings of $ 37,800, and a four-year depreciation of $ 720,000. Under the new tax rules, you would realize a first-year deduction of $900,000, a first-year tax savings of $189,000, with an effective net cost in the first year of $711,000.
The overall impact of the new tax regulations delivers 5X the first-year tax savings, accelerating ROI and freeing up cash for other capital projects. This write-off significantly reduces ROI timelines, especially when combined with labor savings from new BMG technology.
Let's take a quick look at the market as of July 2025 and get a feel for the numbers.
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100% Bonus Depreciation is Back – Effective for new equipment in service after Jan. 19, 2025.
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Fed Funds Rate: 4.25–4.50% – Stable, but not yet easing.
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ISM Manufacturing: 49.0 – Slight contraction; demand remains uneven.
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Freight Costs: Down 1% W/W in late July, improving predictability.
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Tariffs: Still mixed; some normalization is evident, but policy remains a factor.
Although the market hasn’t fully recovered yet, the combination of depreciation advantages, easing freight costs, and proven BMG margin-boosting technologies creates a window of opportunity for wise investments. Companies that prioritize efficiency and throughput now will be well-positioned to meet & possibly exceed their 2025–2026 goals, while competitors will still be waiting.
BMG is ready to help your team model ROI, navigate incentives, and execute upgrades that pay for themselves. Contact your BMG representative to start the conversation.
Sincerely,
Tim Carpenter
CEO
A little bit about those who make us great!
Tyler Bloom - Beaverton, MI, USA
Tyler is a music aficionado who not only loves to listen to music of all kinds but also loves to play guitar. This is his favorite thing to do in his downtime, and he considers it his lifelong hobby. With that in mind, he also would love to schedule a trip to Memphis to visit Graceland, the home of Elvis Presley. When the season turns to fall, he turns his attention to one of his other pursuits: football, which has long been a passion of his. As an avid football watcher, he loves to see his favorite team, Michigan State University, lead the college rankings year after year. When he can get away from it all, his favorite destination for relaxation is Myrtle Beach, South Carolina, where he and his wife love to kick back and enjoy the relaxed atmosphere and everything else that beach life has to offer.
One of Tyler’s most enjoyable classes in school was the study of electronics and robotics, so you never know, he might pick up on his original plans of becoming an electrician. Since coming on board at BMG in Beaverton, MI, over 1.5 years ago, he has been happily engaged as a new member of the internal BMG tech support team. Tyler loves the customer interaction that he has and the fact that he gets first-hand experience with new and old technology that the BMG group has produced. A pizza connoisseur and a dog lover at heart, he was inspired at an early age by his grandfather and the dedication he put forth in everything that he did.
Jeff White - Knoxville, TN, USA
Long walks in the park in search of birdies, eagles, and albatrosses, punctuated by the chasing of errant little white balls that disappear into the woods with a long crooked stick in hand. Sure, it's golf, and Jeff is an avid proponent both as a player and a fan. As part of his fandom, he would love to have an opportunity to share a round with Lee Travino, if only for the comical wit that Lee brings to the game. Jeff also spent a good portion of his youth competing as an amateur motocross racer, culminating in winning the 125B Class at Daytona. He now spends his days racing around the shop trying his hand at the fine art of machining metal. Having joined the BMG machine shop team as its manager two years ago, Jeff now enjoys chasing the perfect surface. He defines an ideal day as running a state-of-the-art BMG CNC milling machine with no fires to put out, which might interrupt him.
Yes, he is an outdoor type, as evidenced by his love of golf, but he also enjoys being a fan of football; his favorite team is the Tennessee Volunteers, which also explains his affinity for the color orange. Speaking of love, Jeff is married and has two great children, who perhaps someday will become Vols themselves. As far as getting away from all of the action, he enjoys time with his family at the beach, and would love to travel to New Zealand sometime in the near future so he can experience for himself the sweet taste of fresh-picked Kiwi and the unique taste of Manuka Honey only found in this particular island country.
What’s Happening On The North American Continent?
From Canada to Mexico and Sea to Shining Sea, the world of thermoforming is changing every day. As we cautiously enter the third quarter of 2025, the US, along with its business partners on the North American continent, is working diligently to understand the new rules of engagement regarding tariffs and the overall cost of doing business. Everyone is looking for calmer seas before making any long-term commitments, but short-term decisions still need to be made. That being said, communication is the key, and BMG is nothing if not open to any discussions that will lead to short-term answers and long-term solutions that will steady the industry. Global environmental awareness and regional government regulations are also reshaping the landscape. The demand for newer economical technologies that offer sustainable solutions is influencing the plastics and thermoforming sectors like never before. BMG will continue to drive key developments in plastics thermoforming and packaging technologies, as well as the growing focus on sustainable manufacturing.
As we look across the North American continent, we see multiple adjustments being made to the basic mechanics of the thermoforming market, which will impact the global market as a whole. As we navigate a more intuitive process progression, we will witness North American thermoforming facilities rapidly adopting end-of-line automation solutions to overcome internal and external labor challenges, boost overall efficiencies, ensure quality standards, and meet evolving global industry standards, making automation a defining trend in this sector and others. As everyone is trying to configure solutions for the roller coaster ride of the tariff positioning of the US, tariffs are increasing and impacting global costs, disrupting supply chains, and challenging the competitiveness of North America’s thermoforming market, prompting manufacturers to seek new strategies to remain profitable and efficient in this ever-changing climate of uncertainty. In any business, change is a constant, so, understandably, the North American market is well-suited to adjust to minimize long-term impacts while maintaining a profitable stance in the short term, which positions it to realize advantages in this changing market.
If you are interested in reviewing additional content on this subject, please click the link below and view this perspective in its entirety on the oneBMG.com website.
Tech Talk and other interesting tidbits.
It has always been BMG’s perspective that an educated client is a prosperous client. When you succeed, we succeed. Because everything that we create is a very intricate collection of various precisely engineered processes that are constantly in need of attention to operate at their potential, we feel it is necessary to share technical information as often as possible in order to give our clients the information they need to succeed in a fast-paced industrial environment. As a continuation of our relationships with our clients, we want to share some key insights and process information every quarter that may be of assistance in keeping production technology up and running without a hitch. We are all well aware that downtime is the demon we work very hard to keep at bay. So, please check back every quarter to see what we have included in this section. You won’t want to miss any of it.
Tooling - Fremont
Hi, this is Ty Hansen from BMG’s Fremont facility with a few ”Tech Talk Tips.” I’m one of the Tooling Project Engineers here at BMG Fremont in Ohio. I thought I would share some items that you might find helpful as you navigate the minefield of maintenance and problem-solving. Sometimes, there are a few items that you can check to obtain some of the answers you need to fix your problem, or some items you can cross off your list before contacting BMG for assistance. We’re not saying they will solve all your issues, but it will get you pointed in the right direction.
Situation - Poor definition and detail.
Reason - The sheet temperature may be less than optimal.
Action - Increase the heat in the affected areas.
Reason - Low Vacuum or Low Forming Pressure.
Action - Check vacuum and pressure systems for plugged holes.
Reason - The Seal ring is bad, or the tool is not closed enough, resulting in a leak from the blow form.
Action - Replace the seal and adjust the head.
Reason - The mold temperature was set too cold.
Action - Increase mold temperature.
Situation - Lack of definition on the part bottom.
Reason - The sheet temperature might not be hot enough.
Action - Increase Heat in the affected areas.
Reason - Low Vacuum or Low Forming Pressure
Action - Check the vacuum and pressure systems; there may be a plugged hole. Also, check the main vacuum timer or position.
Reason - Form pressure is too low.
Action - Turn Up Blow Form Pressure.
In closing, these are just a few key items to consider, whether you are performing scheduled maintenance or a situation has evolved and you need assistance in confirming a solution. It is essential to gather all relevant information and/or parts beforehand and make sure you have everything you need. If you need assistance with a solution, please reach out as soon as possible during the repair process, and BMG will assist you with whatever means necessary to complete the job.
Here’s what’s happening in Thermoforming in Beaverton, Michigan
BMG’s International Headquarters.
Located in the upper eastern Michigan, BMG’s global headquarters has been at this location since the early 1960s and is home to over 150 employees. The headquarters is located on the banks of the Tobacco River, a 12.7-mile tributary of the Tittabawassee River located in Gladwin and Midland counties. The river rises in Beaverton at the confluence of the river's North, Middle, and South branches in Ross Lake. Picturesque to say the least!
From the rural countryside of northeastern Michigan in the town of Beaverton, BMG coordinates a global thermoforming engineering and manufacturing company that reaches worldwide. Under the BMG umbrella, there are other facilities in Fremont, Ohio, and Knoxville, Tennessee. BMG is the leading global B2B engineering and manufacturing company specializing in custom thermoforming packaging and product systems. Through recent acquisitions, BMG has positioned itself as one of the only custom end-to-end thermoforming solutions corporations in the world.
24/7/365 customer service support is coordinated here for over 85 countries worldwide. We pride ourselves on our ability to respond to situations anywhere in the world, ensuring customers have what they need, when they need it, and where they need it, to support our mission of producing the best thermoformed packaging possible.
Besides being the international headquarters for BMG, the Beaverton location also oversees the engineering, forming, and manufacturing functions for their large-scale thermoforming platforms produced for BMG’s clients. The Ohio and Tennessee locations handle tooling and automation development.
All aspects of creating BMG’s thermoforming solutions are managed in Beaverton, including process engineering development and service, creating a true one-stop shop location for the end-to-end production of thermoforming solutions for the industry.
“We take great pride in our legacy and the positive influence BMG has had on our community. It’s remarkable to think that what started as a challenge for just three individuals back in 1952 has grown into the thermoforming leader that thrives here in our hometown,” said Brian Keeley, President & COO at BMG.
Check out our incredible ebook collection!
We have compiled a few interesting reads for your review.
As we have improved technology and other innovations in our day-to-day travels down the thermoforming highway, we realized that many of the findings and processes we encountered might be of interest to our clients and the general public. With that in mind, we have established a repository on our website where you can download our ebooks and read them at your convenience. We might even have to do one on creating free moments! Anyway, just scan the barcode below or click the link, and you will have access to all the e-books we have created to date. Don’t forget to periodically check back, as we continually create new content.
“How to” Tech Talk videos have arrived.
It has always been BMG’s perspective that an educated client is a prosperous and successful client. When you succeed, we succeed. Because everything we create is a complex and intricate collection of precisely engineered processes that constantly require attention to operate at their full potential, we believe it is essential to share technical information as frequently as possible, providing our clients with the information they need to succeed in a fast-paced industrial environment. As a continuation of our relationships with our clients, we want to share some key insights and process information every quarter that may be of assistance in keeping production technology up and running without a hitch. We are all well aware that downtime is the demon we work very hard to keep at bay. So, please check back every quarter to see what we have included in our video section on the BMG website. You want to miss any of it.
Great places to visit us this year.
BMG will be attending a few shows in the fall this year.
United States
Pack Expo Packaging Conference, 9/29-10/01 - South Hall, Booth SL-15030
West, North, & South Halls of the Las Vegas Convention Center, Las Vegas, Nevada.
European Union
K2025 - 10/8-10/15 - Booth 3A11 - Hall 3
Messe Düsseldorf, D-40474 Düsseldorf, Am Staad (Stockumer Höfe), at the fairgrounds in Düsseldorf, Germany
Working together towards a sustainable future!
In an ever-changing and unpredictable global marketplace, BMG continues to create category-leading sustainable renewable thermoforming solutions, providing best-in-class engineering and manufacturing enhanced by unparalleled support, all provided to a worldwide market from our/your backyard.
If there is anything that you would like to see us address in our Tech Talk section in the next edition of Trade Trends, drop us a note here. We will certainly put your suggestion into action, and thank you in advance for helping us provide important information to those who find it useful.