Shin-Etsu Chemical Co., Ltd. (Head Office: Tokyo; President Yasuhiko Saitoh) announced that it is going to increase the sales prices of all of its silicone products, one of Shin-Etsu’s main business segments, both in Japan and globally.
The cost of silicon metal, the main raw material of silicones, is rising, with such background factors as supply shortages due to China’s robustly increasing demand, as well as increases in production costs. In addition, methanol costs and catalyst raw material costs, including that of platinum, are also increasing as a result of supply shortages. Furthermore, such cost factors as logistics costs and secondary materials costs are also increasing and have become factors that are putting pressure on earnings.
Shin-Etsu Chemical has judged that it has become difficult to absorb the entire amount of these increased costs only by means of our own company’s efforts to reduce manufacturing costs, and unavoidably, it has become necessary to implement price revisions, as stated below:
Applicable products:
All silicone products that are handled by Shin-Etsu’s Silicone Division
Price revision rate:
10-20% increases in all products
Timing of implementation:
Effective for product shipments made starting from April 2021
