Engineering polymer producer DuPont is making it clear that higher prices

Engineering polymer producer DuPont is making it clear that higher prices will continue into 2005 and beyond. Tightness in the feedstock market for DuPont’s polymers will continue for at least two to five years, according to Bjoern Hedlund, vice president of sales and marketing at DuPont Engineering Polymers.

In an interview with PRW.com, he said some very large investments are needed in new capacity for feedstock such as benzene and cyclohexane, but added that nothing will come on stream in the next few years. The knock-on effect is that costs for manufacturing nylon-66 are 30% to 40% higher this year, he said.

“This has never happened to the industry on this scale before,” said Hedlund. This month DuPont increased prices for its products with effect from 1 January 2005; this followed earlier increases in May and September. Despite these rises, DuPont has been able to recover only a portion of its cost increases, said Hedlund.