Zinc oxide powder and pellets maker, Zochem plans to increase its zinc oxide prices by 3-5pc starting Oct 15.
The Tennessee-based company announced on Oct 12 that the increased rates would not affect consumers who were under an existing contract with them. However, new contracts signed after Oct 15 would be subject to the increased prices. The company did not disclose the current zinc oxide prices.
The firm said in a press release that the price rise was in line with the company’s efforts to keep its business sustainable in the face of rising freight costs as well as those arising from COVID-19 related shutdowns earlier in the year.
Moreover, according to Ron Crittendon, chief executive officer at Zochem, the price increase would allow the company to continue producing high-quality zinc oxide while “providing value to customers.” The hike is also slated to help the company to improve its capital and expand its product offerings.
The zinc oxide producer provides the material to tire, rubber, chemicals, electronics, and pharma industries.