Tag Archives | force majeures

FMs Jan16

Force majeures at record level, despite high profits

All accidents are preventable.  This simple fact, which used to be top-of-mind for every chemical industry manager, seems to have been increasingly either forgotten or ignored in recent years.  The evidence is in the chart above: showing industry force majeures since 2008 (as reported on ICIS news): They were at a record level in 2015, […]

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H1 sees worst-ever number of chemical plant force majeures

The first half of 2015 was the worst half-year for force majeures in the chemical industry since reliable data became available via ICIS news in 2005.  As the chart shows, there were 479 reports of outages, more than double H1 2014 and well above the previous peak of 375 in H1 2011. This is absolutely […]

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2013 a bad year for force majeures

2013 wasn’t a good year for plant reliability.  The blog’s 6-monthly survey of force majeure reports in ICIS news shows: There were 386 reports of force majeures in 2013 This was very similar to the 391 level seen in 2010 It also reverses the decline seen in 2012 after the record 495 reports in 2011 This is a worrying […]

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Force majeures continue to increase

Companies have clearly been cutting capital budgets, in response to the slowing global economy.  That’s the only conclusion to be drawn from the blog’s 6-monthly review of force majeures, as reported by ICIS news.  They have been climbing steadily for months, and June saw them at twice the June 2012 level, as the chart shows. […]

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January shows worrying rise in force majeures

As the major regional economies continue to slow, more companies are starting to reduce capital budgets. Maintenance spending is always an easy target for a cutback. The cost of poor performance may not be seen for some time, whilst the bottom line sees an immediate benefit. Thus it is worth keeping a careful eye on […]

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Force majeures decline as operating rates slow

The good news is that the blog’s 6 monthly review of force majeures shows considerable improvement from H1 2011′s performance. As the chart indicates, the number of ICIS news reports of force majeures halved from 375 in 2011 to 179. Some of the decline was, of course, expected as there has thankfully been no repeat […]

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H2 force majeure reports show little improvement

The blog’s 6 monthly review of force majeures (FM) reveals worryingly little improvement in performance. As the chart shows, H2 was slightly better than H2 2010. But realism suggests it was flattered by Q4′s low operating rates, which probably reduced the actual need for FMs. The chart is based on the number of FM mentions […]

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Force Majeures continue to increase

Its now a year since the blog first highlighted the worrying rise in force majeures (FMs) since the Great Recession began. Most disappointingly, continuing strong profitability has not led to any improvement. In fact, as the chart shows, the position has worsened over the past 6 months. It is based on the number of FM […]

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Force majeures reduce to 2007 level

The above chart is very welcome news at the start of 2011. It updates the blog’s posting in July, which highlighted the dramatic increase in mentions of force majeures in ICIS news during H1. This linked to increasing concerns about availability issues amongst consumers. The fear was that maintenance spend on plant and equipment might […]

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Force Majeure reports show worrying increase

Force majeures can be very costly in a downturn, as they enable competitors to gain market share, whilst the business suffers a loss of revenue and earnings. Yet maintenance spend on plant and equipment, and training, is always a soft target for cutbacks when cash is tight. The blog also knows from its own experience […]

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