TOKYO, July 9, 2008 _ Ube Industries, Ltd. today announced that it will implement price increases for dihydric phenol derivatives including catechol and hydroquinone in Japan and overseas. The price increase is due to higher production costs caused by the rising price of fuel and raw materials including phenol (which is the principal raw material in the manufacture of dihydric phenol products), higher transport costs caused by an increase in fuel prices, and increasing demand for dihydric phenol products and derivatives compared to available supply. Ube Industries will initiate negotiations with its customers regarding the price increase.
|such as catechol and hydroquinone||Increase by 20%|
|Date of Price Changes||Shipments on or after July 15, 2008|
Catechol is used as raw material for products such as fragrances, agrochemicals, and TBC, and demand in each application is flourishing. Hydroquinone is used for polymerization inhibitors such as acrylic acid ester, as well as photographic chemicals and agrochemicals. Notably, demand for hydroquinone is growing for applications in polymerization inhibitors.
Ube Industries is the only Japanese manufacturer of catechol, with a total annual production capacity of 10,000 tons of dihydric phenol derivatives as a whole from the production base in Ube City (Yamaguchi Prefecture).