Everberg, Belgium-Huntsman Polyurethanes announced 16 June that it is to increase the price of all grades of thermoplastic polyurethanes (TPU) by Euro 200/tonne in Europe, Africa & Middle East. The increase takes effect 1 July 2006 or as contracts allow, Huntsman said.
"This price increase reflects the relentless increases of raw material and feedstock costs, mainly originating from record-high crude oil and natural gas, which continue to impact the cost of raw materials such as benzene, adipic acid, intermediate polyesters and consequently TPU products," said Nick Webster, vice president, Europe, Africa & Middle East, in Huntsman's statement.
Webster (pictured) also pointed out that "several raw material suppliers - particular in the area of adipic acid, a key raw material in the manufacturing of TPUs - have recently had plant outages and production problems." This has, the Huntsman executive continued, forced some to declare force majeure on raw material supplies: the result is that "market prices of these critical raw materials have increased further, while stocks have declined."