Resin supply shortage and high prices likely to continue

From Resin plants restarting, but supplies remain tight (Plastics News):

Some production of resin and feedstocks is returning to Texas and other parts of the Gulf Coast, but tight supplies and high prices are likely to continue at least through the first half of the year.

In the wake of Winter Storm Uri, which hit the region in mid-February, many material suppliers continue to have customers on force majeure sales limits or other types of allocation. Market sources contacted by Plastics News said that supplies of many commodity plastics are limited, if available at all.

Some plastics processors throughout the U.S. already have made production cuts, while others are concerned they might need to in the next few weeks. Automakers including Honda and Toyota already have made production cuts because of supply chain issues including foam for seating and microchips in a separate shortage issue.

The ice storm and extreme cold also affected supplies of adhesives needed to make gaylords and other cardboard boxes needed to ship resin. Box maker International Paper of Memphis has told customers that their production may be affected as a result.