Chandra Asri (TPIA) Issues Force Majeure After Hormuz Strait Closure

Integrated petrochemical company PT Chandra Asri Pacific Tbk (TPIA) has issued a force majeure notice to its business partners following the closure of the Hormuz Strait, which disrupts the smooth distribution of raw materials in the global supply chain. ‘The company has issued a force majeure notice to its business partners in accordance with the contractual provisions in force,’ said Suryandi, Director of HR & Corporate Affairs of the Chandra Asri Group, in a formal statement on Wednesday (4 March). Management emphasised that this step is administrative and measured, after a thorough review of the potential implications for fulfilling obligations to customers. The force majeure notice is also described as a form of transparency to stakeholders amid geopolitical dynamics. The company said it will continue to monitor developments in the US–Iran conflict, while preparing contingency steps to maintain operational resilience. ‘As part of our risk mitigation strategy, the company will reduce operating run rates at several plants,’ he explained. Currently, management is coordinating intensively with customers to minimise the impact of the operational adjustments. Chandra Asri reiterates its commitment to sustaining the business, strengthening resilience, and evaluating the impact on operations comprehensively.