A substantial shortage of several key raw materials in recent weeks has led to significant developments in raw material prices with suppliers issuing statements about the situation. To compensate substantial price increases for such crucial materials like MDI or furfuryl alcohol (FA), ASK Chemicals announced that it would be increasing its selling prices for cold-box and no-bake binder systems as of 1st June 2017 in Europe.
In a statement, the company said: “The main drivers behind the shortage of FA are in particular stricter environmental regulations imposed on Chinese furfuryl alcohol manufacturers, which have led to a limited availability of FA on the global market. According to ASK Chemicals’ key suppliers for MDI the shortage is mainly due to technical issues in production.
“ASK Chemicals is undertaking ongoing and strong efforts to optimise costs to offset these rapidly escalating raw material prices. However, the price adjustment for organic binder systems is inevitable to allow ASK Chemicals and its affiliates to continue offering the high performance products and services its customers expect.”
Clariant also announced a price increase in Europe for its Gekoâ foundry green sand binders by three per cent and for its Ecosilâ foundry lustrous carbon formers by five per cent, effective 1st July 2017 or as soon as contracts allow citing the rising costs of certain raw materials and manufacturing.