NetComposites
Thermwood

Solvay Engineered Polymers Increases Price of Thermoplastic Polyolefin Materials

09 September 2005

Solvay Engineered Polymers, Inc., is to raise prices on its thermoplastic polyolefin (TPO) and vulcanized thermoplastic elastomer (TPV) products.

Prices of these engineered polyolefin materials will be raised by US$ 0.10 per pound. The new prices will take effect on October 1, 2005.

The increase will apply to orders of all sizes, whether truckload purchases or less-than-truckload (LTL) volumes. The new prices will apply to the company's TPO and TPV products, which are marketed under the DEXFLEX, SEQUEL, DEXPRO, INDURE, NEXPRENE and RESPOND brand names.

Citing recent trends and levels of petrochemical prices, company president Fred Young indicated how those developments affect every phase of operations at Solvay Engineered Polymers. ""We have already absorbed significant raw material cost increases over the last two years. And while we had anticipated some relief in this area, this clearly is not the case. Polypropylene and elastomer suppliers are continuing to raise their prices, and these are the primary building blocks of our engineered products."" Young also points to related prices of gasoline and natural gas, ""which have driven up both the cost of producing our materials and the cost of distributing them to our customers.""

""Polypropylene supply conditions continue to tighten as global demand remains strong,"" explains Bob Gerlach, the company's vice president for automotive operations, ""so any cost increase from our suppliers will quickly affect our economics. We no longer enjoy the lead time afforded by gradual cost increases to plan an orderly advance of product prices. Nor is there a consensus about future price levels in olefin-based petrochemicals. This increase, while abrupt, is nonetheless necessary if we are to remain capable of developing and providing products and services that deliver low total-cost solutions for the automotive industry and the other markets we serve.""





Share this story


Related / You might like...

Dura Composites Launch New Co-Extruded Fire-Rated & Slip-Resistant Decking Ranges

Dura Composites has expanded its Dura Deck range to include Dura Deck Resist, a co-extruded decking board with an innovative 360 degree outer angle which protects its core from the elements, as well as a new and improved Dura Deck Eco.

USQ Delivers Technology Workshop on Composite Rebars

The University of Southern Queensland (USQ) has partnered with Composites Australia to provide Australian civil and composite engineers with access to the latest knowledge on an innovative reinforcing solution to the costly corrosion of concrete infrastructure.

Huntsman PU Composite Technologies Take Centre Stage at Gent Design Exhibition

Composite products, based on polyurethane technologies from global chemical company Huntsman, are taking centre stage at a design exhibition at the Design Museum Gent, Belgium.