In the second quarter of 2021, numerous consumer and producer price indexes reached all-time highs reflecting new inflationary pressures on producers not seen in decades. This inflation is global in nature, spreading across all areas of manufacturing, and may or may not be transitory in nature. As with all other global manufacturers, these recent and unusual inflationary pressures are having a significant and material impact on Rockwell Automation's entire product portfolio.
Since the onset of these extraordinary inflationary factors, Rockwell Automation has worked continuously to mitigate, minimize and absorb the impact of these inflationary factors on its product mix. Unfortunately, the breadth and scope of this impact has resulted in the need to take special measures to offset some of the increased costs.
Accordingly, effective November 28, 2021, Rockwell Automation will temporarily increase list prices by 4.3% on nearly all products within the Rockwell Automation portfolio. This 4.3% is in addition to the recent annual August adjustment. These adjustments are consistent with many global inflation indices reflecting consumer and producer inflation. The indicators and their new historical peaks can be found on the OECD website.
We anticipate that this additional 4.3% adjustment to list prices will be temporary and will be reversed once these very unusual inflationary pressures subside. If there is a "return to normal" from these inflated costs, a timetable for withdrawal will be announced.
Rockwell Automation will continue to monitor developments and the unusual high inflation environment and work to minimize the impact on our customers.
Thank you for your understanding of the situation, which is beyond our control.