The sealant giant soared 15%! Dow and Wacker issued price increases...

Recently, raw materials have risen sharply, and major downstream manufacturers have frequently issued price increase letters, and the price of silicone rubber has been adjusted by 30% in half a month. Leading downstream companies such as Sibao, Zhijiang and Jitai issued three or four price increase letters within half a month. Some small factories have closed, and those with alternatives are looking for alternatives. Small factories without replacements have lain flat, indicating that they will stop taking orders, stop production, or plan to change businesses.

Dow Chemical:
After careful consideration and cost accounting, Dow Chemical’s silicone business will implement price increases for the main products of Dow Chemical’s silicone high-performance construction business from October 1, 2021 or the date permitted by the contract, with an adjusted increase of 10%. . Dow Chemical said: The silicone business has launched a program to improve business cost efficiency to help ease the ever-increasing cost pressure in the market. However, we continue to observe that our overall cost structure is still rising due to the huge impact of rising raw material prices, environmental protection costs and logistics costs. Price increase has become a last resort measure to ensure that Dow Chemical’s silicone business, as a long-term and reliable supplier, will continue to meet your expectations for product innovation, technology and application support.

Wacker Chemie:
Will increase the price of all construction silicone sealant products. As long as the existing customer contract allows, the price increase will take effect from August. For all products shipped from September, the newly adjusted price will also apply to the number of products ordered outside the scope of the contract. WACKER stated that this move is to cope with the increase in the price of strategic raw materials, auxiliary materials and packaging materials, as well as a number of measures that must be taken due to the new crown epidemic, to further improve the services provided by WACKER's construction silicone sealant business unit to customers. The price adjustment is for all product series including finished products and raw materials related to construction silicone sealants.

Zhijiang:
As the price of organic silicon raw materials continues to skyrocket, the company carefully considers that since September 2nd, the price of all our construction silicone rubber products will rise again by 10%-15%. Since August 16, this is the third time that Zhijiang has issued a price increase letter in the past half a month!