Solutia Inc. (NYSE:SOA), a performance materials and specialty chemicals company, said Wednesday that its Saflex polyvinyl butyral [PVB] product portfolio will see a 5% price increase effective July 1.
The change is a result of an unprecedented increase in raw material prices seen in the first half of 2011, the company said.
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"The key raw material feedstocks used to make Saflex interlayer, ethylene and propylene, are trading at or above historical highs, despite the fact that oil is well below its 2008 peak," explained Eric Nichols, president and general manager of Solutia's Advanced Interlayers division. "Rising costs are most pronounced in the propylene markets, where the shift to lighter feedstocks is affecting supply, in addition to increased demand."
Solutia manufactures its Saflex PVB interlayers globally and it can be found in 40% of laminated architectural and automotive glass worldwide.
With the 5% price increase, Solutia is confident it will be able to continue providing customers with its exceptional product. “We have recently made several significant investments to ensure long-term cost competitiveness and the stable supply of quality, high-performance interlayer products around the world," said Rick Calk, vice president of commercial operations for Solutia's Advanced Interlayers division.