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Celanese lifts force majeure condition for some products sold in western hemisphere
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Celanese lifts force majeure condition for some products sold in western hemisphere
Aug 8, 2024 3:22 PM

Aug 8 (Reuters) - Specialty chemicals maker Celanese

said on Thursday it had lifted the force majeure

condition it invoked in the second quarter for its acetic acid

and vinyl acetate monomer products sold in the western

hemisphere after supply conditions improved.

Force majeure declarations are meant to relieve

companies of their contractual obligations for supply

disruptions caused by events beyond their control, such as

natural disasters.

The company invoked force majeure in June after multiple

suppliers of raw materials essential to its manufacturing

experienced operational failures.

Celanese said earlier in August that its total losses due to

unplanned supplier disruptions at its Clear Lake low-cost

production facility in Texas were the highest in over 15 years.

The impact of the force majeure in the second quarter

was about $35 million, CEO Lori Ryerkerk said.

The company is a top producer of acetic acid and VAMs, which

are used to make paints and coatings, among other products.

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