Frame USA has been using a product called styrene—which is a plexiglass type material– in our larger picture frames since we began operations over 30 years ago.
For most of this time the styrene used in our picture frames has been purchased domestically from a large plastic manufacturer in the United States.
In the 4th quarter of 2013, this plastic manufacturer, through its distributor, came to us and let us know that they were raising the price of our styrene product by 67% over the first six months of 2014. This huge price increase came despite almost no increase in raw materials prices or resin increases. According to the sales manager at this manufacturer, “we believe the styrene product was undervalued in the marketplace” and this lead to the incredibly large 67% increase that is taking place.
“We want our customers to know that we are shocked at our vendor’s behavior which has lead to a major increases in our product prices effective today”, said Daniel P. Regenold, CEO of Frame USA. We are even more shocked that a vendor we have worked with for such a long time would take such negative action.
This increase in styrene prices is happening after consolidation in the clear styrene market took place in the last several years.
Frame USA is taking every step possible to find a more stable source of plastic material that will go in our picture frames in the future. We will not allow one company to artificially move the market price of material used in our American Made picture frames to the detriment of our customers. We are sorry about the need to increase our prices of our picture frames because of this unwarranted large raw material price increase.
Dan Regenold, CEO