HOUSTON (ICIS)–Huntsman’s profits from its
polyurethanes division into the automotive
sector were increased yr on 12 months in the very first
quarter, but profits might see some reduction in
the next quarter owing to the effects of the
world-wide semiconductor lack, CEO and
President Peter Huntsman stated all through a Friday
earnings contact.
“Our 1st quarter sales in the automotive
marketplace had been up 12% in the initial quarter from
the former calendar year as we have not witnessed any serious
impact from the chip lack on demand from customers for our
solutions. We feel this is primarily owing to our
automotive small business becoming mainly
European-centric and targeted on luxury motor vehicle
traces,” Huntsman claimed.
“We are looking at a 2-3% fall in profits to the
automotive sector so much in the next quarter
because of to chip-linked production slowdowns. We
have managed to reallocate significantly of the
methylene diphenyl diisocyanate (MDI) volumes
in problem to other sectors and are not
anticipating to see any actual effects on margins,”
Huntsman extra.
Tony Hankins, Division President, Polyurethanes
commented, “The items we offer to the
automotive sector are commonly specialised
formulations going into the superior-conclusion auto
market. There are some similarities among
these formulations and some of our other industry
segments. Some of the viscoelastic grades we
provide to automotive clients also go into
significant-close home furniture, which offers very similar to
even superior margins than automotive. The
high-conclude home furniture industry is developing at a speedy
rate at the moment, so there are unquestionably
alternatives there.”
