On May 19, Covestro declared force majeure on all MDI products for all end use markets in North America , citing unforeseen production issues in Covestro's operation.
Separately, market sources indicated that Dow's MDI plant in North America is experiencing similar problem, further tightening MDI supply. The issues at both plants may be related to carbon monoxide / chlorine supply constraints.
The broader US chemical industry is currently grappling with rising costs for C3 and benzene, as well as shortages of carbon dioxide and carbon monoxide, all of which are impacting local Isocyanate production.