MADISON HEIGHTS, Mich., March 3, 2011 /PRNewswire/ -- Due to rising raw material costs, and with immediate effect, Henkel is implementing a price increase for certain product groups of its industrial adhesives. Increase amounts will vary based on market segment and technology. On average, the price increases will range from 10 to 25 percent.
The price increase is a result of the ongoing escalation of raw material costs over the last 15 months, especially affecting oil and natural gas based products. Continual spikes in global demand, coupled with capacity constraints in primary chemical, rosin, and resin feed stocks, have further tightened supply, and driven raw material prices upward.
For this reason, further price increases will become necessary in the following categories: polyurethane, hot melts, adhesives, sealants, lubricants and surface treatment products.
Henkel feels compelled to take this step in order to further ensure delivery of the same high quality product and service standards expected by its customers.
Henkel operates worldwide with leading brands and technologies in three business areas: Laundry & Home Care, Cosmetics/Toiletries, and Adhesive Technologies. Founded in 1876, Henkel holds globally leading market positions both in the consumer and industrial businesses with well-known brands such as Persil, Schwarzkopf and Loctite. Henkel employs about 48,000 people and reported sales of $20.07 billion and adjusted operating profit of $2.27 billion in fiscal 2010. Henkel's preferred shares are listed in the German stock index DAX and the company ranks among the Fortune Global 500.
Web site: www.henkelna.com/automotive