Due to current economic conditions and overcapacity for LDPE in the North American marketplace, Dow Chemical is to close its Poly 2 LDPE plant in Freeport, Texas. The shutdown is expected to be completed by the end of March 2009.
Pieter Platteeuw, global business director, LDPE, states: “The Basic Plastics business carefully evaluated several options, but the supply-demand outlook for LDPE in North America, combined with the age, cost position and the relatively old technology of the plant, as well as the need for additional investment do not make continued operation a viable option.”
He continues: “We are committed to the North America low density polyethylene market and our customer base. We will work closely with our customers to supply them from our other plants in North America.”
The decision affects approximately 40 people at the Poly 2 plant, which has three autoclave low density reactors with a combined capacity of 225mn lb. It has been in operation since 1959.