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Frequently Asked Questions

Middle Eastern Conflict

As the Middle East conflict continues to develop and impact key shipping routes, the resulting disruption is having major consequences for supply and cost structure. As the situation evolves, we want to keep you up to speed on how this is affecting the adhesives industry, and what it means for you.

FAQs
How is the conflict in the Middle East affecting Power Adhesives?

As many of you will know, adhesives rely on petrochemical feedstocks. Global petrochemical supply continues to remain highly disrupted, with regional outages and force majeures reducing feedstock flows, and ultimately tightening availability across key materials.

Major raw material suppliers are experiencing shortages, supply reductions and reduced outputs, which is further impacting availability and lead times.

At the same time, geopolitical tensions continue to increase cost pressure and add to supply volatility. Extended logistics delays caused by reduced vessel transits through the Strait of Hormuz are creating challenging planning conditions and increasing lead time uncertainty across both adhesives and applicators.

We hope for a swift end to this conflict, but a longer disruption will mean a longer path back to stability for feedstocks and components, with recovery likely to take some time.

Are product lead times affected?

 As the situation changes, we have updated our lead times in accordance to supply.

Our adhesive lead times are currently at four weeks, while our applicators are at eight weeks.

We are now providing monthly updates on the supply status of key products to assist you with order planning. To receive these communications, if you aren’t already signed up, contact marketing@paltd.net.

How long will the surcharge be in place for?

It is difficult to say how long the surcharge will remain, but it will be reviewed on a monthly basis and any changes will be communicated to you as soon as possible.

As a business, we will review the surcharge as the conflict impacts develop and adjust it accordingly.

Will the surcharge increase?

It’s our intention to keep the surcharge as low as we can, for as long as we can. However, with cost pressures and supply volatility continuing, we will review the surcharge each month and communicate any updates via email.

To receive these communications, if you aren’t already signed up, contact marketing@paltd.net.

If the global situation improves, will the surcharge be removed?

An improvement in geopolitical relations will be the first step in returning to a normal pattern of raw material supply and costs. However, a longer disruption will mean a longer path back to stability for feedstocks and components, with recovery likely to take some time.

This means that the surcharge will likely remain in place while the industry recovers, but we will seek to withdraw the surcharge as soon as we can return to normal operating conditions.

What should I do to keep product supply to my customers consistent?

Please get in touch to find out more about product availability and place your orders.

Our goal is to support you to maintain consistency of service, which we cannot guarantee if orders are placed at the last minute. We recommend placing forward orders to avoid unnecessary or unwanted delays.

What is Power Adhesives doing to mitigate these issues?

We are in regular communication with our customers to keep them updated on how geopolitical events are affecting operating conditions, and what that means for them.

As well as providing monthly updates on the supply status of key products to assist our partners with their order planning, we are also working on alternate products where possible to help ease supply and cost pressures.

To receive these updates, if you aren’t already signed up, contact marketing@paltd.net.

If I have a question, or a problem with my order, what should I do?

Our knowledgeable and supportive Sales team are here to help. Contact your Account Manager or Sales Support representative, who can assist you with any enquiries you might have.