Middlebury, Connecticut--Further to its announcement 20 August, Crompton Corp has said it intends to raise prices of its Flexzone range of anti-ozonants, and given more details of its capacity closures.
The company is raising prices of Flexzone grades by an across-the-board $1.32/kg, and then adding a further benzene price incrementor. The company says that for each $0.10/gallon the benzene prices moves away from the three-year average of $1.90/gallon, it will adjust the price by $0.022/kg, or the equivalent in local currencies. The company's 77PD (Flexzone 4L) is not subject to this adjustor. The increases become effective from September 1, or as soon as contractual obligations permit, said Crompton.
A Crompton spokesman said the company uses CMAI to track the benzene price and the August price was listed as $3.85/gallon, triggering an increment of $0.43/kg. That would bring the total increase to $1.75/kg, or about â‚¬1.46/kg.
The company also gave further details of the capacity closures, saying that the Flexzone plants in Ansan, Korea and Rayong, Thailand would both close. The combined capacity of those two plants was 7000 tonnes per year, said Crompton. The company added that the facility in Kaohsiung, Taiwan would remain open and would be the main source of supply for customers in the Asia-Pacific region.