Effects Of Katrina – Force Majeure

Force Majeure is a legal term which basically means I can break my contract because of weather beyond my control.


Hydrogen is an essential product used in the production and processing of steel. The Air Products hydrogen plant in New Orleans provides as much as 30%-40% of all merchant hydrogen consumed in North America. It is our understanding that Air Products has declared ‘force majeure’ with customers east of the Rocky Mountains with at least one steel company suspending orders until further notice. Air Products is working to supply customers by routing hydrogen from other sources and areas, the company said in a statement. Air Products still does not know the full extent of damage to its New Orleans operations. But it said hurricane damage will limit its ability to supply hydrogen there ‘for an extended period of time’.

Other, less steel related cases of Force Majeure:

Peroxymeric Chemicals , a business unit of The Dow Chemical Company

Specialty chemicals company Cytec Industries Inc.

CSX Corp. , a Southern railroad

I don’t have a web reference, but Greer Steel has also declaired force majeure.

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