BASF declare force majeure on MAA at Ludwigshafen, Germany on low river Rhine levels

LONDON (ICIS)–BASF has declared force majeure on the supply of methacrylic acid (MAA) at Ludwigshafen, Germany, the chemicals major said in a letter to customers on Thursday.

Force majeure has been declared because of the historically low river Rhine water levels, with declarations on other products also issued.

The low water levels are impacting the entire chemical markets, with difficulties in moving feedstock and also finished products.

MAA supply has remained tight throughout the year, while supply for methyl methacrylate (MMA) has eased.

There are fewer suppliers in the MAA market, and higher prices in Asia have also added to the tightness in the European market.

MAA players are concerned by this latest development, with worries over supply going into 2019 if there is not rain soon.

MAA is produced industrially on a large scale as a precursor to its esters, especially methyl methacrylate (MMA).