October 23, 2017
Dear Valued Partners:
Due to ongoing market supply chain disruptions in the Gulf area caused by Hurricane Harvey and its after effects, resin suppliers have announced implementation of a third price increase. We’ve been notified by our suppliers that these continued outages are likely to limit resin supply through the remainder of the year.
In response to these increases, Alliance Plastics will implement an increase of 4%, effective with all new orders placed on or after November 13th. This increase is in addition to the previously announced 4% increase implemented in September, and the 6% increase implemented on October 16th. This increase is effective for all film product orders, requiring immediate shipment.
It certainly appears that resin will remain tight through the 4th quarter, and as a result, product lead times could be affected. We urge you to check your current inventory levels and make the necessary arrangements to ensure proper supply levels are maintained. Let us know how we can assist in this effort.
We do understand that these increases are difficult and appreciate your understanding and patience as we work through them together.
Your Alliance Plastics sales and customer service support teams will stay in close contact with you to advise of changing market conditions. Our field sales representatives are also available to demonstrate our lines of engineered films, designed to minimize the impacts of these recent increases.
We truly appreciate your partnership. Please don’t hesitate to contact me if you have any questions.
Kevin M. Quidore
Chief Operating Officer