Global shortage of raw materials continues for adhesives as well


Manufacturers of adhesives and basic chemicals are sometimes forced to reduce their production due to the worldwide shortage of raw materials for adhesives. This can lead to a shortage of products for glue users.

INCREASE GLOBAL RAW MATERIAL SHORTAGE

It was previously reported that the raw material shortage continued. Where possible, less scarce or alternative products are chosen.

Now several suppliers in the industry are stating that the global raw material shortage is increasing. Prices were previously driven up by a shortage, but now production stops are also following. Stocks at suppliers are running out, causing the entire chain to come to a standstill more and more.

CONSEQUENCES OF RAW MATERIAL SHORTAGES FEELABLE IN THE ENTIRE CHAIN

Many manufacturers can no longer provide delivery guarantees. In some industries, some factories have already closed completely due to the shortage of raw materials. It is not expected that the raw material shortage will continue into a complete supply stop in the Netherlands, but that there are problems is confirmed. The limited availability of raw materials is a limiting factor for production volumes. Manufacturers now have to prioritize their deliveries and prefer loyal customers over new requests.

PROBLEM OF RAW MATERIALS TOO SHORT NOT OVER

It is not yet clear until when the shortage of raw materials will continue. It is feared that this situation will continue until the autumn of this year. Due to the improving economy in China, and therefore less exports to the Netherlands, the distribution problems and reduced production, the situation on the world market is not over yet. Importing raw materials from other countries is therefore not a direct solution either. In addition, prices in America and Asia are also much higher, making it lucrative that many raw materials are still exported there from Europe.

Price increases are necessary

Due to the shortage of raw materials, price increases are necessary in the supply chain. Product shortages and price increases cannot be absorbed by one link in the chain. Therefore, the higher prices will be passed on to our customers.

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