Asahi Kasei Chemicals Price-Hikes of Petrochemicals
There is a prevailing movement to shift soaring prices of naphtha, a basic raw material, for the petrochemical industry, to petrochemical products. In and after May, Asahi Kasei Chemicals Corporation and Shin-Etsu Chemical Co., Ltd. hiked synthetic resin prices as a result of skyrocketing crude oil
Prices of styrene monomer, a raw material for paints, also advanced 20 yen (13%), effective from shipments on May 1.
Shin-Etsu Chemical raised vinyl chloride resin used for water service pipes by 15 yen/kg (13%) starting from June shipments. The company increased 10 yen in the fall of 2005, but the subsequent precipitous rise of naphtha prices worsened earnings.
Shin-Etsu is the first firm to make a price rise of vinyl chloride since the start of 2006.
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