Huntsman implements natural gas surcharge on MDI sales in Europe
The Woodlands, TX – Huntsman Corporation announced that it was implementing a natural gas surcharge of Euros 125 per ton on all sales of MDI in Europe, Africa, the Middle East and India, in response to the unfortunate and unprecedented natural gas price increases in the region. The surcharge will be effective 1st October 2021 and is in addition to any previously announced MDI price increases.
European natural gas prices have risen to record levels in recent months driven by the combination of structural changes in European energy sources and generation. The unprecedented cost of natural gas, already more than three times historic levels and continuing to rise, has adversely affected the energy inputs, intermediates, and multiple feedstock costs incurred in Huntsman’s MDI production.
Tony Hankins, President of Huntsman’s Polyurethanes division, said: “Huntsman is already working with its customers to manage the impact of the surcharge, which was necessary to respond to the unexpected and unprecedented increase in our production costs.”