SHIN-ETSU PULLS ANNUAL FORECAST ON MIDDLE EAST TURMOIL

Shin-Etsu Chemical Co. declined to issue its full-year outlook as geopolitical tensions in the Middle East create operational headwinds. The company pointed to supply chain constraints and commodity price fluctuations stemming from the regional conflict as key factors limiting forecast visibility. The move reflects broader vulnerabilities in global chemical supply chains, where Middle East production and shipping routes remain critical. Price pressures on petrochemicals and rare materials have intensified amid the conflict, complicating margin projections. Shin-Etsu, a major producer of semiconductors, chemicals, and materials, typically provides annual guidance to investors. The decision to withhold forecasts signals management's inability to model near-term business conditions with sufficient confidence. The company did not specify a timeline for reinstating guidance. Other manufacturers have reported similar supply challenges in recent months as Middle East instability persists.