Dow to build MDI distillation and prepolymers facility in Freeport, Texas
Capacity to support and advance downstream systems growth in construction, consumer, and industrial systems markets; Dow to exit and shut down its polyurethane assets at La Porte, Texas operations
Midland, Mich. – June 09, 2021 – Dow (NYSE: DOW) announced today plans to build an integrated MDI distillation and prepolymers facility at its world-scale manufacturing site in Freeport, Texas. This investment supports increasing demand for downstream polyurethane systems products and advances Dow’s leading positions in attractive applications in construction, consumer, and industrial markets that are growing above GDP.
The new Freeport MDI facility will replace Dow’s current North America capacity in La Porte, Texas, and will also be capable of supplying an additional 30 percent of product to Dow’s customers. In coordination with the start-up of the new MDI facility, expected in 2023, Dow will shut down its polyurethane assets at the La Porte site.
“This MDI investment optimizes our existing asset infrastructure and enhances our global polyurethanes leadership position, further enabling us to support downstream systems customers’ growth,” said Jane Palmieri, president of Dow’s Industrial Intermediates & Infrastructure operating segment. “The back integration at the Freeport site creates a cost competitive supply of key upstream polyurethane raw materials, ensures a reliable supply position to support our growth in downstream high-value polyurethane markets and delivers a more sustainable production process.”
The new facility in Freeport will reduce Dow’s carbon footprint and water usage by:
- eliminating the need for the generation of thermal power by utilizing existing thermal energy from the Freeport site,
- reducing water intake and wastewater discharge (through production efficiencies), and
- eliminating the need for transport of raw materials.
Dow’s extensive Polyurethane Systems franchise upgrades key polyurethane components in order to produce rigid, semi-rigid and flexible foams, and coatings, adhesives, sealants, elastomers and composites for applications that range from industrial and infrastructure solutions, to consumer comfort solutions in flooring, furniture, bedding and footwear, to automotive solutions for vehicle interior, and energy-efficient insulation materials.
About Dow Polyurethanes
Dow Polyurethanes develops and delivers a broad portfolio of technologies and customized solutions to customers in a variety of industries under its StructuralScience, ComfortScience™, MobilityScience™ and InsulationScience category brands. Applications range from industrial and infrastructure solutions, to consumer comfort solutions in flooring, furniture, bedding and footwear, to automotive solutions for vehicle interior, and energy-efficient insulation materials. The business manufactures and sells key chemical components as well as fully-formulated polyurethane systems for rigid, semi-rigid and flexible foams, and coatings, adhesives, sealants, elastomers and composites. Dow is the world's largest producer of propylene oxide (PO), propylene glycol (PG), and polyether polyols, and is a leading producer of quality aromatic isocyanates, such as MDI. Striving to meet the specific needs of its customers in their local geographic regions, Dow Polyurethanes operates a global network of production sites and systems houses, as well as innovation and service centers. The business has an ongoing initiative to lead the industry in providing high-performance products that meet critical market needs and contribute to a more comfortable, healthier and resilient society. For more information, visit www.dowpolyurethanes.com and follow us on LinkedIn.
Dow (NYSE: DOW) combines global breadth, asset integration and scale, focused innovation and leading business positions to achieve profitable growth. The Company’s ambition is to become the most innovative, customer centric, inclusive and sustainable materials science company, with a purpose to deliver a sustainable future for the world through our materials science exp ertise and collaboration with our partners. Dow’s portfolio of plastics, industrial intermediates, coatings and silicones businesses delivers a broad range of differentiated science-based products and solutions for its customers in high-growth market segments, such as packaging, infrastructure, mobility and consumer care. Dow operates 106 manufacturing sites in 31 countries and employs approximately 35,700 people. Dow delivered sales of approximately $39 billion in 2020. References to Dow or the Company mean Dow Inc. and its subsidiaries. For more information, please visit www.dow.com or follow @DowNewsroom on Twitter.
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