—Weather woes trip up output at chemical firms “” Unexpected weather conditions in the US have led at least three chemical producers to declare force majeure, a clause in supply contracts freeing companies from meeting delivery commitments. Most recently, the nylon producer AdvanSix declared force majeure as a result of shortages and delivery delays for cumene. Deliveries of the raw material are crimped by what the firm calls “weather-related logistics disruptions in the Gulf Coast area and supplier operational constraints.” AdvanSix says its first-quarter income will be reduced by up to $10 million as a result. Meanwhile, another nylon producer, Ascend Performance Materials, said late last month that it has extended force majeure on the raw material hexamethylene diamine as well as all polymers, compounds, and fibers.
by Michael McCoy |
March 15, 2019