The sanctions against Russia due to the war in Ukraine and its impact on supply chains pose a special challenge for foundries as well as for their downstream industries, but we are happy to accept it. More than ever, the situation requires active procurement management of all necessary input materials. We have prepared ourselves for this.
At Römheld & Moelle Eisengießerei this means:
- We are an electric smelter, which means we are independent of supply bottlenecks for coal. Gas is only needed for ladle preheating. The prices for electricity have risen massively, but bottlenecks are not to be feared at present.
- Some ductile iron materials require the use of pig iron, which is threatened by supply shortages. 70% of the quantities imported into the EU come from Russia and Ukraine. Römheld & Moelle’s supply is secured by reserved quotas for the next few months. We are already working on further securing until the end of the year and beyond. The price level for pig iron has also increased significantly.
- Important alloying elements such as nickel, copper, manganese and various alloys also come from Russia and Ukraine. These materials are required for the production of the different types of materials. Römheld & Moelle’s supply of these materials has also been secured until the end of 2022. To this end, we expanded our bunker capacity accordingly in March.
- Due to the current fuel prices, freight rates are currently becoming noticeably more expensive. In addition, there is a shortage of truck drivers from Ukraine, so that capacities are becoming scarce. Thanks to many years of cooperation with partner freight forwarders, we can continue to deliver safely.
We can therefore guarantee that the Römheld & Moelle iron foundry will continue to be able to supply safely. Due to the rising costs of raw materials, we are continuously adjusting our sales prices fairly. We will also only pass on price increases that we actually pay. Your contact person in the sales department will be pleased to inform you about the current model and casting prices.
You can continue to rely on deliveries from Römheld & Moelle Eisengießerei. We recommend that you reserve your capacities for the coming months now