No end in sight to rising resin prices

Tag : hydrocarbon resins
No end in sight to rising resin prices Squeezed by high energy and hydrocarbon costs, chemical suppliersare implementing price hikes that threaten to ripple through thesupply chain.

Dow Chemical Co. has announced it would raise polyethylene prices by seven cents apound in July and eight cents a pound in August. Along with afive-cent boost in June, the increases total more than 30 per cent.

This hike reflects a June 24 announcement in which Dow said it willincrease product prices by as much as 25 percent in July. Thiscomes on the heels of earlier hikes of as much as 20 percentannounced by the company on May 28.

In the past few weeks, DuPont has also increased prices on a number of its products, such aselectronics materials, Kevlar and Nomex fibers, titanium dioxidepigment and several resins and polymers.

According to DuPont spokesman Anthony Farina, the company, whichhas increased its average selling prices for 17 consecutivequarters, looks to engineer products with added value in order tojustify price increases. "When we increase our prices, we also haveto help our customers increase the prices that they charge," Farinasaid.

Additionally, Philadelphia-based Rohm & Haas Co. implemented a price surcharge on certain products in April to helppass on higher raw material and energy costs to customers. And BASF Corp. also announced price hikes June 24 for a range of styreniccopolymers and engineering plastics, effective July 1.

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