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Information on current uncertainties in the global commodity markets

Dear customers,

As you are certainly experiencing yourselves at the moment, the global commodity markets are subject to considerable fluctuations and uncertainties.

The situation has deteriorated further due to some additional "force majeure declarations" from our suppliers in recent weeks. Some of our long-standing suppliers had to slow down or stop their production.

As a result, the cost of our raw materials has risen dramatically in a short period of time virtually across the board. High mark-ups are now required to secure these basic materials. There is little certainty about future supplies and further developments.

Of course, our purchasing and supply chain team constantly monitors the current and forecast supply of our key materials in order to quickly adapt to changing conditions.
In response to these developments, we have expanded our warehouses for several months now and have increased inventories wherever possible.

Furthermore, we continue to pursue mitigation measures such as qualifying additional alternative sources, securing contractual delivery commitments and organising expedited shipment of materials to cover emergencies.
Despite these efforts, we anticipate that our customers will regrettably continue to experience delays and extended delivery times. Across-the-board price increases in our product lines will be necessary to absorb the enormous price increases.

We would ask that you take these circumstances into account when planning your inventories.

We will, of course, continue to work tirelessly to ensure a constant supply of raw materials to guarantee the ability to deliver.

If you have any questions or need for further assistance, your RATHGEBER contact team will be happy to help.

We very much hope that both delivery quantities and prices will soon become predictable again and thank you for your understanding as well as your support during this unprecedented time.

Andreas Schrägle
Managing Director

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