April 16, 2012 / 10:00 AM / 5 years ago

Arkema auto resin production delayed by weeks

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.

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