Sika Corporation, Industry Division has announced price increases between 3 –5 percent on all products, effective January 1, 2018. Instead of a blanket percentage increase, the company has adjusted products differently based on the added material and production costs associated with each technology range. The company announced in a statement that, through this pricing method, it has tried to reduce the total impact of the announced price increases.
As seen in the entire specialty chemical industry, raw material costs continue to escalate throughout 2017, largely due to rising critical major items such as propylene, polyols and other petrochemicals, as well as energy and transportation charges, according to the company. The press release stated that these increased costs have been reported in local and world news as well as the trade journals serving the adhesives and sealant industry.
Over the past year, Sika’s suppliers continue to communicate the need for increased pricing and in some cases, their inability to supply due to either significant interruption to their key materials and/or their own operation facilities.