Chemicals, Solvents & Intermediates
August 27, 2026
India's Laxmi Organics extends force majeure on acetyl derivatives amid typhoon
By Kamna Kapoor
Editor:
HIGHLIGHTS
Typhoons disrupt Chinese acetic acid supply
Production cuts hit downstream plants
CFR South Asia acetic acid rises by $25/mt on week
India-based specialty chemicals producer Laxmi Organics has extended its force majeure declaration on acetyl derivatives, citing worsening disruptions to acetic acid and other imported raw material supplies as a result of typhoon-related delays affecting Chinese ports, according to a customer letter dated Aug. 27 and published on its website.
The company said the availability of acetic acid and other imported feedstocks has deteriorated since July, following a series of typhoons, including Bavi and White Dolphin. Additional storms, namely Typhoon Narra, Saudel and Gaenari, are expected to further disrupt port operations, shipping movements and vessel availability across China, it said in the letter.
As a result, imported cargo arrivals are being delayed by around 15-20 days, leading to frequent stockouts of acetic acid and other key raw materials, Laxmi Organics said. The company added that the supply constraints have forced production cuts and shutdowns at its facilities, limiting the availability of finished products.
"Under these circumstances, we continue to remain under Force Majeure until the supply chain for Acetic Acid and other critical raw materials stabilizes," the company said in the letter.
Laxmi Organics expects the disruption to continue through September and said finished products would be supplied on an allocation basis during the period.
The producer advised customers to plan procurement requirements in advance and work closely with its sales team to secure product allocations.
Indian importers have been translating the impact of delays in Chinese acetic acid imports on domestic ex-tank prices, as port inventories continue to stay tight. India domestic ex-tank Kandla offers were heard at Rupees 70/kg while ex-tank Mumbai offers were heard around Rupees 69/kg. Meanwhile, arrivals in September were offered around Rupees 55-56/kg.
Platts, part of S&P Global Energy, assessed CFR South Asia acetic acid up $25/mt on the week at $511/mt on Aug 27.
