Newsletter - August
Market Updates
• Concerns remain with global shipping delays and prices from Asia
• Costs are up more than 200% from Prior Year and +10% from last month
• Delta variant has forced shut downs and exacerbated shipping problems in China
• Hurricane season could be above normal which may only add to the current supply chain challenges
• Global Tropical Storm Henri brought flooding to East Coast of United States in late August
• Between mid-August and September, approximately 80% of all tropical storms and hurricanes are formed (according to expert, Dan Kottlowski)
• Forecasters predict this season will most likely be above normal based on the current atmospheric and oceanic conditions
• Chemical Data (CDI), part of ICIS reports that a hurricane in the Gulf Coast would cause prices to sky-rocket from an already elevated base of nearly 2x historical prices for HDPE and over 3x for PP
• In the August released “State of the US Coatings Industry 2021” report, author George Pilcher outlined that US industry failed to build resilience into supply chains, and we are now paying the price for negligence”