Although oil prices are low and are predicted to decrease further during 2017, there has been an unprecedented increase in the cost of other raw materials for UPR and related products production. This is mainly driven by an increase in demand coupled with a reduction in supply over the last 3 months affecting key materials such as styrene which has increased by 70% since October 2016, and isophthalic acid which has increased to over €2000 per tonne. This inevitably causes an increase in UPR and related products prices – although this is in line with material price increases in other industries such as the steel sector where costs have increased by 50%.
2017 has started positively in most business areas, with a strong automotive industry being a particularly buoyant area for thermoplastic applications and product development.
The Anti-Dumping/Anti-Subsidiary duty for glass fibre is under review and in terms of timing for the continuation, we understand that the Commission's disclosure needs to be issued in either March or the first half of April in order to meet the early June deadline for the final decision, and that the disclosure may be ready as early as the first half of March.
This is a statement from the Composites UK Material Suppliers Subgroup. Download a pdf version of the statement here.