July 25, 2008
Kuraray Plastics Co., Ltd.
Kuraray Plastics Co., Ltd. announces that the price of Kuraray Plastics' hydrogenated styrenic thermoplastic elastomer, SEPTON compound, will increase by ¥50 per kilogram for domestic and overseas shipments commencing August 1, 2008.
SEPTON compound, a substitute for polyvinyl chloride and vulcanized rubber, is an eco-friendly molding material. It has attracted strong demand for use in the manufacture of auto parts, parts for home appliances, and electronic components, as well as for medical and industrial products.
While SEPTON compound prices were last revised for shipments from February 21, 2008, the recent upswing in primary raw material as well as auxiliary material costs due to the sharp rise in crude oil and naphtha prices have far exceeded Kuraray Plastics' efforts to reduce and rationalize costs. Furthermore, higher across-the-board overhead expenses including utility as well as distribution costs have resulted in a rapid downturn in SEPTON compound business profit both in Japan and overseas.
Under these circumstances, Kuraray Plastics will implement the following price revision with the aims of maintaining stable SEPTON compound supply and improving profitability.
¥50 per kilogram
Shipments from August 1, 2008