Leading AdBlue supplier GreenChem is set to increase its AdBlue price across Europe from 1 January in response to rising raw material costs.
A statement from the company said: "GreenChem today announced a price increase of 2.8p per litre of AdBlue with effect from 1st January in the UK (this is being matched by an equivalent price rise across all European markets)." This is equivalent to 3.3c.
GreenChem said the rising cost of urea, the main raw material used for the production of AdBlue, caused the decision and that international urea prices had increased by 67% in the final six months of 2010.
Teun de Bruijn, GreenChem's founding Director, said: "We have no alternative to increasing our prices to consumers, and competitors have already announced or are expected to announce shortly similar changes since they are faced with the same economic factors."
In October Yara increased the price of its Air1-branded AdBlue across Europe in response to "consistent rises" in the price of urea.
According to GreenChem's statement China's export tax on urea has in part led to increases in the cost of supply: "A key factor in the price increase is a decision of the Chinese Government to impose an export tax on many raw materials supplied from the country - including urea. This increase has impacted on world prices for the substance and is coupled with a seasonal increase in urea prices at this time of year and also the negative effects of currency movements."
