LyondellBasell declares FM on PO rail deliveries in Rotterdam area

26 April 2013 12:03  [Source: ICIS news]

LONDON (ICIS)--LyondellBasell has declared force majeure on rail deliveries of propylene oxide (PO) in the Rotterdam area until further notice because of strike action by its rail freight provider, according to market sources and company correspondence to its customers seen by ICIS on Friday.

It is understood that LyondellBasell has declared the force majeure because of the delay to deliveries for outstanding and forthcoming orders.

Strike action for LyondellBasell’s rail freight provider DB Schenker started late on 22 April until further notice, according to a spokesperson at DB Schenker Netherlands.

DB Schenker Rail services are experiencing severe disruption due to the strike action which has resulted in some cancellations, the company said on Thursday.

In the company correspondence sent to customers, it states that industrial action is being carried out in relation to a new collective labour agreement which is yet to be agreed.  The trade union, however, was not available to immediately comment.

The areas affected by the industrial action include the Kijfhoek marshalling yard near Rotterdam and the yards in the Rotterdam docks. DB Schenker said that it regrets the disruption to its customers and is keen to pursue further negotiations with the union.

By: Heidi Finch
+44 20 8652 3214

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