TOKYO, May 7, 2010 _ Ube Industries, Ltd. today announced that it will implement price increases for diphenol products including catechol and hydroquinone in Japan and Asia. 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 diphenol products), higher transport costs caused by an increase in fuel prices, and increasing demand for diphenol products and derivatives compared to available supply. Ube Industries will initiate negotations with its customers regarding the price increase
|Products for Japanese market||Increase by 15%|
|Products for Asian market||Increase by 15%|
Shipments on or after June 1, 2010
Catechol is used as a raw material for products such as fragrances, agrochemicals, and monomer polymerization inhibitors, and demand in each application is flourishing. Hydroquinone is used for polymerization inhibitors such as acrylates, 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 diphenol derivatives as a whole from the production base in Ube City (Yamaguchi Prefecture).