Charlotte, NC, May 11--Honeywell Nylon is announcing a price increase of 5% over the May price for all residential and commercial carpet fiber products (bcf, staple & resin), effective May 29.
This pricing action is the result of the continued escalation of raw materials costs that have severely impacted the nylon manufacturing industry, which is dependent on petrochemical feedstocks. The cost of crude oil has continued to ramp up, approaching $40/bbl. Over the past 30 days, the projected price of natural gas for the balance of this year has increased more than 10%.
"These price outlooks indicate that the high raw materials costs that the industry has been experiencing will continue throughout this year," said Walter W. Hubbard, president of Honeywell Nylon, Inc. "Continued high global raw material demand and low reserves exacerbated by geopolitical uncertainty are driving volatility. These unprecedented raw materials costs continue to severely impact our production costs and our ability to remain competative in the marketplace. We simply cannot sustain our carpet fibers sales at the current operating margins."
