HELSINKI, May 8, 2018 (Press Release) -Effective June 1, 2018, to offset rapid and unprecedented increases in freight costs, Kemira will implement a $0.02/pound price adjustment for all Process & Functional Chemicals sold on a delivered basis to pulp and paper customers in North America. The increase will apply to all customers whose price has not been previously adjusted for freight during 2018 and is independent of any future price adjustments based on raw material and manufacturing cost changes.
"Transportation costs have risen significantly and continue to rise. Carriers have raised freight rates to offset increasing costs due to the new "Electronic Logging Device and Hours of Service Rule" and a well-documented driver shortage. Likewise, our raw material suppliers are implementing price increases and/or freight surcharges to offset these same market forces," says Billy Ford, Senior Vice President, Pulp & Paper Americas. "While Kemira has taken every possible mitigating step, we are unfortunately no longer able to absorb these increased costs."
Kemira is a global chemicals company serving customers in water intensive industries. We provide expertise, application know-how and chemicals that improve our customers' product quality, process and resource efficiency. Our focus is on pulp & paper, oil & gas and water treatment. In 2017, Kemira had annual revenue of around EUR 2.5 billion and 4,732 employees. Kemira shares are listed on the Nasdaq Helsinki Ltd.