|
(plasteurope) -- As part of its Efficiency for Growth
plan, first launched in 2011, US chemical giant Dow (Midland, Michigan) has said
it will close some of its plants in Europe as well as in both North and South
America.
The move, which Dow said comes in response to the ongoing
weakness in Europe’s economy, will see the group shed about 900 jobs worldwide.
The actions are expected to generated annual saving of about USD 250m, the
chemical group said, adding that these were part of its goal to deliver an
additional USD 250m in cash flow from cost interventions launched this year. As
a result of the actions, Dow said it would take USD 350m in charges in Q1 2012
related to asset impairments and write-offs as well as severance payments and
other costs.
Dow's "Styrofoam" production plant in Charleston, Illinois,
is one of the facilities earmarked for closure (Photo: Dow)
As part of the
plan, Dow will shut down three of its “Styrofoam” production plants, located in
Estarreja / Portugal, Balatonfuzfo / Hungary as well as Charleston, Illinois /
USA. The group also said it would idle its XPS line in Terneuzen / The
Netherlands. In Latin America, Dow plans to shut its 60,000 t/y TDI plant in
Camacari / Brazil. In addition to the closures, the US group said it would
consolidate some of its other polyurethane and epoxy assets. |
