SOUTH NORMANTON, UK – February 2, 2024 – Sun Chemical will implement selected freight surcharges impacted by the Red Sea crisis globally.
Against the backdrop of geopolitical instabilities, maritime transportation through the Suez Canal and Red Sea has been especially severely impacted since November. With around 30% of the world’s container trade shipped via this route, many shipments are facing delays and some are being rerouted via the Cape of Good Hope, significantly increasing the distance travelled and adding further costs and time. Cargo air freight is also seeing a spike in demand to avoid such longer diversions.
Vessels departing from China, India, and the rest of the Far East are being affected by safety measures, shipments delays, rotation of containers, as well as ports’ congestion, causing journey extensions of at least 20 days on the outward and 20 days on their return. Several forces majeures have been invoked already, while the situation is also causing significant cost increases and could soon start to impact the availability of raw materials.
As a proactive response to these challenges, Sun Chemical is actively monitoring the evolving situation through its extensive global network of partners. The primary objective remains ensuring the continued supply of high-quality products and services to customers. In light of the dynamic nature of the crisis, Sun Chemical is taking necessary steps to secure raw materials and minimise transportation delays.
Sun Chemical is committed to mitigating rising costs whenever possible, however, the rapid escalation in freight cost pressures has made the introduction of some freight surcharges unavoidable. Sun Chemical will communicate specific adjustments directly with its customers, underscoring its dedication to transparency and collaboration in navigating the challenges posed by the Red Sea crisis. This strategic approach ensures that Sun Chemical continues to provide reliable and innovative solutions to its valued customers in the face of unprecedented global disruptions.
About Sun Chemical
Sun Chemical, a member of the DIC Group, is a leading producer of packaging and graphic solutions, color and display technologies, functional products, electronic materials, and products for the automotive and healthcare industries. Together with DIC, Sun Chemical is continuously working to promote and develop sustainable solutions to exceed customer expectations and better the world around us. With combined annual sales of more than $8.5 billion and 22,000+ employees worldwide, the DIC Group companies support a diverse collection of global customers.
Sun Chemical Corporation is a subsidiary of Sun Chemical Group Coöperatief U.A., the Netherlands, and is headquartered in Parsippany, New Jersey, U.S.A. For more information, please visit our website at www.sunchemical.com or connect with us on LinkedIn or Instagram.