Industry News

AOC Increases Prices on All Products Sold in the United States and Canada

Published on 2004-12-10. Author : SpecialChem

AOC will increase prices by US $0.06 per pound on all products sold in the United States and Canada shipped on or after January 1, 2005. This is in addition to the increase effective November 15, 2004.

Rising raw material costs are responsible for the increase. Crude oil and natural gas remain near record high levels, resulting in more expensive feedstocks. Maleic Anhydride and Propylene Glycol, two major raw materials, are in extremely tight supply. Imports of these materials have become necessary to satisfy the demands of the North American market. Recent price increases for both of these materials have been in the range of $0.10 - $0.12 per pound. In addition to these raw materials, Ethylene Glycol, Diethylene Glycol, Phthalic Anhydride and Dicyclopentadiene continue to rise. Demand continues at a high rate causing shortages for some key materials, requiring purchases at higher rates on the open market. Both situations increase manufacturing costs in order to provide uninterrupted supply.

With the inability to absorb higher costs while continuing to invest in better performing and environmentally friendly products, selling prices must reflect current conditions.

AOC acknowledges customers and their support for understanding these difficult times.

AOC continues to invest for the long-term growth and health of the composites industry by providing innovation and capacity to meet the growing demand. The company remains committed to offering customers the best overall value in the market place.

Source: AOC

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