Latest information for customers and stakeholders: Pricing, COVID-19 & Sustainability

UPDATED 1st September 2022

Safety, health and well-being of our people

At Victrex, the safety, health and well-being of all our employees is the highest priority and fundamental to everything we do, alongside security of supply for our customers and ensuring we continue to be a sustainable business. We established a COVID-19 committee at the start of 2020 and continue to take appropriate precautions and remain proactive in our approach, even if case rates have declined globally since the start of the pandemic.

Chemicals as an essential industry

The UK government defines Chemicals as an essential industry with essential workers, with Victrex also having a long-standing history in supporting many critical and "life-sustaining" applications, particularly in Medical. In the US, many states define Chemicals as being 'life-sustaining'. Overall, our global supply chain continues to function effectively with high service levels for our customers.

Return to site

Overall, the majority of our global employees have now Returned to Site, supported by our Global Flexible Working Policy, although our Return to Site plans vary by region:

• Our UK Return to Site was completed in March 2022, with all controls lifted and some guidelines remaining
• Our China technical centre reopened in June 2022 with local controls in place in line with legislative requirements
• Our US offices and manufacturing facilities have all returned to site
• Our Europe team have all returned to site with some local controls in place
• Our Japan team returned in May 2022 with Korea teams returning in June 2022 with some local controls in place.

Risk assessments for Return to Site are only in consultation and approval through our COVID-19 committee.

Security of supply for customers and pricing

Our raw material and finished goods stocks remain appropriate at the current time for our customers, with global warehouses able to supplement our production. Well over 90% of our customer deliveries have been on time in full (OTIF) since the onset of COVID-19.

Victrex has a world-class track record of security of supply for our customers.

With the unprecedented increase in energy, raw materials and transportation costs, which are being seen worldwide, we have seen a significant impact to our cost base, which has led to further price increases. We continue to monitor energy and raw material costs, taking actions as necessary through pricing or efficiency.

Sustainability

Sustainability is integral to Victrex's business model and is a clear part of our purpose 'Bringing Transformational & Sustainable Solutions That Address World Material Challenges Every Day'.

Our products help bring environmental & societal benefit, for example, by supporting lightweighting and CO2 reduction in Aerospace and Automotive applications, and clinical benefit in Medical. We have a target to grow our Sustainable products from nearly 50% today to over 70% by 2030.

We have also set a clear carbon net zero goal for our scope 1 & 2 emissions by 2030, with a number of workstreams in place to support us in how we can reduce our carbon footprint. Our broader Sustainability agenda includes Inclusion & Diversity (I&D) and STEM (Science, Technology, Engineering & Maths), where we are seeking to develop and inspire the next generation of students in science and innovation through outreach work.

Within the community, Victrex has a strong track record of supporting our communities wherever we operate globally.