Midland, Michigan-With effect from 1 Nov., Dow says it will increase prices in the US and Canada for the following polyurethane products:* VORANATE* toluene diisocyanate (TDI) by $0.25/pound;* VORANOL*, VORALUX* and SPECFLEX* polyether and copolymer polyols by $0.10/pound.*Methylene diphenyl diisocyanate (MDI) by $0.07/pound. We continue to be faced with persistently high and volatile energy and raw material costs, including crude oil and natural gas, which are significantly impacting our cost of production,” said Pat Dawson, Dow business vice president, polyurethanes and thermoset systems in a 3 Oct. statement.”This already challenging environment has been further exacerbated by the recent hurricanes, which have caused significant logistical issues resulting from damage to the transportation infrastructure, as well as impacted raw material and natural gas availability,” Dawson said, adding that, The full impact of these events is still unfolding and their collateral effect continues to be assessed.” Given the high cost of gasoline, the prices of key precursor materials, such as propylene and toluene, are dramatically rising as their alternative value as a fuel additive increases,” continued Dawson. In the face of these severe industry pressures, our polyurethanes business has been taking steps to reduce operating expenses, increase productivity and improve organisational efficiencies. Despite these efforts, we are not able to continue to absorb these unprecedented cost increases and must raise our prices to help offset these rising costs,” he added.Dawson also pointed out that high global demand and tight supply conditions remain for MDI and polyols, and that current TDI supply/demand fundamentals are expected to change due to the industry consolidation underway.Dow says it is the world’s largest producer of polyether polyols, a leading producer of aromatic isocyanates (such as MDI and TDI), and a major supplier of propylene oxide, an essential component of polyether polyols. Dow’s polyurethanes products are used in rigid foams, flexible foams, adhesives, sealants, coatings, elastomers and agrifibres, as well as many other applications.”
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