LANXESS announced that it has raised the price of sodium bichromate by as much as 20% worldwide, with immediate effect.
LANXESS is facing escalating operating costs. In order to ensure long-term product safety, LANXESS needs to reinvest in production equipment and processes. Therefore, this price increase is imperative.
Sodium bichromate is an intermediate that can be processed into chrome-containing specialty chemicals, mainly chrome tanning salts for tanneries throughout the world.
LANXESS can provide leather auxiliaries and field technical support for all aspects of leather processing and is one of the leading suppliers of leather auxiliaries worldwide.
LANXESS will focus on the transfer of chromium value chain in South Africa
Previously, LANXESS announced that it will close a leather factory in the city of Salat in Argentina in the fourth quarter of 2017 in order to focus its global chromium value chain on South Africa, further increasing the competitiveness of its leather chemicals business.
LANXESS explained that the move is to focus chrome tanning agent production operations in South Africa, where chromium ore is the main production base, LANXESS local factories can be directly produced sodium bichromate intermediates, chromium chemical products and mainly used for Tanning industry tanning agent.
LANXESS expects the simplified value chain of chromium products to generate EBITDA of 10 million euros per annum and the effect will be generated by the end of 2018 with a one-off cost of about 60 million euros in 2017 .