Keyline has warned that PVC prices are likely to carry on rising as issues in the supply chain remain unsolved.
Keyline customers and suppliers are being impacted by a number of price increases affecting plastic products following extended issues in the supply chain currently escalating significantly. Those issues come as a result of severe shortages of raw materials used by producers of PVC, Polyethylene and Polymer Resin.
Prices have continued to rise since November 2020 due to the shortages, high product demand in the UK and globally and logistical issues. In addition, more recently there have been production plant outages in Europe and North America, with some shutdowns being caused by the extreme cold weather seen in February.
These incidents have led to producers enforcing ‘force majeure’ that has left manufacturers facing significant price increases, restricted volume and the need to source more expensive products to keep supply in place.
This, in turn, has resulted in manufacturers having to pass on the price increases to the market to maintain supply of products, with a number of them dut to take effect from 5th April 2021.
Keyline has already discussed these increases and their impact at length with its suppliers and has assured its customers that the company is doing its best to minimise impact where it can.
With branches holding strong levels of stock, committed support from both its primary and secondary suppliers, and working with the latest supply information, the company is confident it is in a good place to continue supply to its customers.
All of its suppliers have confirmed that sufficient raw material has been secured for the immediate future to ensure that production will continue, although some extended leadtimes may be experienced. Where these challenges continue in the medium term Keyline will remain in close contact with its customers, keeping them informed as the situation progresses.