“I think we've done a very good job of staying ahead of [raw material costs] and keeping pace,” said Robert Patterson, who made his comments during a conference call on the US company’s Q1 earnings. “We did see some increases in costs and some of the larger ones were in PVC in the first quarter, as well as plasticizers.”
US PVC export prices rose to 47.17 cents/lb ($1,040/tonne) in March from 43.09 cents/lb in January, as assessed by ICIS, while plasticizers such as trioctyl trimellitate (TOTM) rose to an average of 149.50 cents/lb in March from an average of 141.5 cents/lb in January.
Patterson, who will take over as CEO of PolyOne on 15 May, said the company does a good job of monitoring such movements in the raw materials markets.
“We've always got to focus on those ingredients that I call sort of the ‘secret sauce,’” he said. “And one or two of those had higher-than-expected costs in the first quarter, but it didn't impact on margins.”