Arkema auto resin production delayed by weeks
PARIS, April 16
PARIS, April 16 (Reuters) - French specialty chemical group Arkema, one of the top three suppliers of auto resins in Europe, said on Monday it did not see the production of resin PA-12 returning to normal for several weeks, risking a slowdown in global auto production.
An explosion at the end of March at a chemical plant in Germany owned by Evonik industries is blamed for the shortage of PA-12, a resin used in the making of automobiles' break and fuel components.
"We are in a situation of force majeure," said a spokesperson for Arkema, France's leading PA-12 producer. "We cannot reach full capacity in the coming weeks."
PSA Peugeot Citroën and Renault, would not comment on the affect the slowdown in production of PA-12 has on their car production.
She added that the group is currently looking for other suppliers of PA-12 and would offer clients two other polyamides, PA-11 and PA-10, to replace PA-12 when possible.
A meeting between automakers and suppliers to discuss the matter, including alternate sources of resins, will be held on Tuesday, moderated by the Automotive Industry Action Group of suburban Detroit.
We are living longer but not creating financial plans to keep pace. Advisers give tips on how to make sure you don’t outlive your money. Video