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Hurricane Ida Leads Another Resin Producer to Force Majeure
September 09, 2021

Another company has declared force majeure (FM) today as Petrochemical and Resin producers in Louisiana continue to assess operations in the aftermath of Hurricane Ida, which affected several refineries and plants last week.

In a letter to customers, Dow said it has declared FM on LLDPE and HDPE production from its St. Charles facility in Louisiana due to extreme weather conditions related to Hurricane Ida, which resulted in an unplanned shutdown and disruptions to operations, logistics and raw material supply.

Dow added that it was using all commercially reasonable means to address the situation and hopes to be able to resume full product supply soon and that it was determining allocation availability

Its manufacturing operations in Louisiana were shut down ahead of Ida, but in a status update provided earlier this week the petrochemical major said it began bringing operations back online at its Plaquemine facility and was progressing towards a restart at its St. Charles facility.

Ida forced other producers to declare FM on resins such as PVC and Polypropylene (PP). Last week Pinnacle Polymers declared FM on PP production at its Garyville, Louisiana plant.

The new batch of FMs after Ida comes as other resin companies are still lifting FMs and sales allocation programs and building inventory following the devastation to operations from Winter Storm Uri back in February.

Braskem, TotalEnergies, and LyondellBasell have ended FM on PE and PP in recent weeks, but a handful of companies still have theirs in place.

By Brian Balboa for The Plastics Exchange


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