Commodity market shortages result in Saertex price increase
Price increase to maintain long-term stability in delivery performance in a market that has been dynamically affected by a raw materials shortage and increased product demand.
Photo Credit: Saertex
While successfully meeting the high demand for products without interruption during the onslaught of the COVID-19 pandemic, Saertex (Saerbeck, Germany), the manufacturer of technical textiles, reports that it is now experiencing a greatly changed, tense supply situation in the commodity markets. This is due to a variety of external factors, intensified by the indirect effects of the pandemic. It is aso accompanied by a significant increase in product demand.
“We see a drastic shortage of raw materials like glass fibers, cost increases for all process and operating materials. And there is also a massive rise in freight costs,” says Sebastian Dohnke, global head of Purchasing at Saertex.
As a result, the company says it will be adjusting its prices according to the dynamic developments that will most likely occur in the coming weeks. Depending on the product range, the increase will be 10-20%. While existing contracts are generally respected, a review cannot be ruled out in view of the extraordinary current developments.
Through a global production network on five continents and long-term partnerships with suppliers, Saertex says it has a proven, stable supply chain. The company has a confident outlook on the challenges ahead.
“We will keep our customers informed with absolute clarity about the dynamic developments in the commodity markets,” says Christoph Geyer, CEO of the Saertex Group, “and we are confident to manage these extraordinary times together with our partners.”
