Dow Chemical
The Dow Chemical Co.
Traded as NYSE: DOW
Industry Chemicals
Founded 1897; 121 years ago (1897)
Founder Herbert Henry Dow
Headquarters Midland, Michigan, U.S
Area served
Key people
Andrew N. Liveris
(Chairman, President and CEO)
Products Chemicals, plastics, performance chemicals, catalysts, coatings, crop technology, crude oil and natural gas exploration and production
Decrease$ 3.520 billion (FY 2016)[1]
Profit Decrease$ 4.404 billion (FY 2016)[2]
Increase$ 79.511 billion (FY 2016)[2]
Increase$ 27.229 billion (FY 2016)[2]
Parent DowDuPont
Subsidiaries Dow AgroSciences, LLC.
Union Carbide Corp.
Rohm and Haas
ANGUS Chemical Company
Dow Roofing Systems

The Dow Chemical Company, commonly referred to as Dow, was an American multinational chemical corporation headquartered in Midland, Michigan, United States, and the predecessor of the merged company DowDuPont. In 2017, it was the second-largest chemical manufacturer in the world by revenue (after BASF)[3] and as of February 2009, the third-largest chemical company in the world by market capitalization (after BASF and DuPont). It ranked second in the world by chemical production in 2014.[4]

Dow manufactures plastics, chemicals, and agricultural products. With a presence in about 160 countries, it employs about 54,000 people worldwide.[5] The company has seven different major operating segments, with a wide variety of products made by each one.[5] Dow's 2012 sales totaled approximately $57 billion.[6] Dow has been called the "chemical companies' chemical company"[7] in that most of its sales are to other industries rather than end-users. Dow sells directly to end-users primarily in the human and animal health and consumer products markets.

Dow is a member of the American Chemistry Council. The company tagline is "Solutionism".

On September 1, 2017 it merged with DuPont to create DowDuPont Inc., the world's largest chemical company in terms of sales.


Dow is a large producer of plastics, including polystyrene, polyurethane, polyethylene, polypropylene, and synthetic rubber. It is also a major producer of ethylene oxide, various acrylates, surfactants, and cellulose resins. It produces agricultural chemicals including the pesticide Lorsban and consumer products including Styrofoam. Some Dow consumer products including Saran wrap, Ziploc bags and Scrubbing Bubbles were sold to S. C. Johnson & Son in 1997.[8]

Performance plastics

Performance plastics make up 25 percent of Dow's sales,[9] with many products designed for the automotive and construction industries. The plastics include polyolefins such as polyethylene and polypropylene, as well as polystyrene used to produce Styrofoam insulating material. Dow manufactures epoxy resin intermediates including bisphenol A and epichlorohydrin. Saran resins and films are based on polyvinylidene chloride (PVDC)

Performance chemicals

The Performance Chemicals (17 percent of sales) segment produces chemicals and materials for water purification, pharmaceuticals, paper coatings, paints and advanced electronics. Major product lines include nitroparaffins, such as nitromethane, used in the pharmaceutical industry and manufactured by ANGUS Chemical Company,[10] a wholly owned subsidiary of The Dow Chemical Co. Important polymers include Dowex ion exchange resins, acrylic and polystyrene latex, as well as Carbowax polyethylene glycols. Specialty chemicals are used as starting materials for production of agrochemicals and pharmaceuticals.

Water purification

Dow Water and Process Solutions (DW&PS) is a business unit which manufactures Filmtec reverse osmosis membranes which are used to purify water for human use in the Middle East. The technology was used during the 2000 Summer Olympics and 2008 Summer Olympics.[11]

Agricultural sciences

Agricultural Sciences, or (Dow AgroSciences), provides 7 percent of sales and is responsible for a range of insecticides (such as Lorsban), herbicides and fungicides. Seeds from genetically modified plants are also an important area of growth for the company.[12] Dow AgroSciences sells seeds commercially under the following brands: Mycogen (grain corn, silage corn, sunflowers, alfalfa, and sorghum), Atlas (soybean), PhytoGen (cotton) and Hyland Seeds in Canada (corn, soybean, alfalfa, navy beans and wheat).

Basic plastics

Basic plastics (26 percent of sales) end up in everything from diaper liners to beverage bottles and oil tanks. Products are based on the three major polyolefins - polystyrene (such as Styron resins), polyethylene and polypropylene.

Basic chemicals

Basic chemicals (12 percent of sales) are used internally by Dow as raw materials and are also sold worldwide. Markets include dry cleaning, paints and coatings, snow and ice control and the food industry. Major products include ethylene glycol, caustic soda, chlorine, and vinyl chloride monomer (VCM, for making PVC). Ethylene oxide and propylene oxide and the derived alcohols ethylene glycol and propylene glycol are major feedstocks for the manufacture of plastics such as polyurethane and PET.

Hydrocarbons and energy

The Hydrocarbons and Energy operating segment (13 percent of sales) oversees energy management at Dow.[9] Fuels and oil-based raw materials are also procured. Major feedstocks for Dow are provided by this group, including ethylene, propylene, 1,3-butadiene, benzene and styrene.

Dow Chemical Corporate headquarters in Midland


Early history

Dow was founded in 1897 by chemist Herbert Henry Dow, who invented a new method of extracting the bromine that was trapped underground in brine at Midland, Michigan.[13] Dow originally sold only bleach and potassium bromide, achieving a bleach output of 72 tons a day in 1902. Early in the company's history, a group of British manufacturers tried to drive Dow out of the bleach business by cutting prices. Dow survived by also cutting its prices and, although losing about $90,000 in income, began to diversify its product line.[14] In 1905, German bromide producers began dumping bromides at low cost in the U.S. in an effort to prevent Dow from expanding its sales of bromides in Europe. Instead of competing directly for market share with the German producers, Dow bought the cheap German-made bromides and shipped them back to Europe. This undercut his German competitors.[15] Even in its early history, Dow set a tradition of rapidly diversifying its product line. Within twenty years, Dow had become a major producer of agricultural chemicals, elemental chlorine, phenol and other dyestuffs, and magnesium metal.

During World War I, Dow Chemical supplied many war materials the United States had previously imported from Germany. Dow produced magnesium for incendiary flares, monochlorobenzene and phenol for explosives, and bromine for medicines and tear gas. By 1918, 90 percent of Dow Chemical production was geared towards the war effort.[16] At this time, Dow created the diamond logo that is still used by the company.[17] After the war, Dow continued research in magnesium, and developed refined automobile pistons that produced more speed and better fuel efficiency. The Dowmetal pistons were used heavily in racing vehicles, and the 1921 winner of the Indianapolis 500 used the Dowmetal pistons in his vehicle.[16]

In the 1930s, Dow began producing plastic resins, which would grow to become one of the corporation's major businesses. Its first plastic products were ethylcellulose, made in 1935, and polystyrene, made in 1937.

Diversification and expansion

From 1940 to 1941, Dow built its first plant at Freeport, Texas, in order to produce magnesium extracted from seawater rather than underground brine.[18] The Freeport plant is now home to Dow's largest site - and one of the largest integrated chemical manufacturing sites in the world. The site grew quickly - with power, chlorine, caustic soda and ethylene also soon in production.[18] Growth of this business made Dow a strategically important business during World War II, as magnesium became important in fabricating lightweight parts for aircraft.[19] Based on 2002-2003 data, the Freeport plants (known as Texas Operations internally) produced 27 billion pounds of product - or 21 percent of Dow's global production.[20] In 1942 Dow began its foreign expansion with the formation of Dow Chemical of Canada in Sarnia, Ontario to produce styrene for use in styrene-butadiene synthetic rubber. Also during the war, Dow and Corning began their joint venture, Dow Corning, to produce silicones for military and, later, civilian use.

The "Ethyl-Dow Chemical Co." plant at "Kure's Beach" NC, the only plant on the East Coast producing bromine from seawater, was attacked by a German U-boat in 1942.[21]

In the post-war era, Dow began expanding outside of North America, founding its first overseas subsidiary in Japan in 1952, and in several other nations soon thereafter. Based largely on its growing plastics business, Dow opened a consumer products division beginning with Saran wrap in 1953. Based on its growing chemicals and plastics businesses, Dow's sales exceeded $1 billion in 1964, $2 billion in 1971, and $10 billion in 1980.

Nuclear weapons

From 1951 to 1975, Dow managed the Rocky Flats Plant near Denver, Colorado. Rocky Flats was a nuclear weapons production facility that produced plutonium triggers for hydrogen bombs.

Contamination from fires and radioactive waste leakage plagued the facility under Dow's management. In 1957 a fire burned plutonium dust in the facility and sent radioactive particles into the atmosphere.[]

The Department of Energy transferred management of the facility to Rockwell International in 1975. In 1990, nearby residents filed a class action lawsuit against Dow and Rockwell for environmental contamination of the area; the case was litigated in federal court. In 2008 a federal judge ordered Dow and Rockwell to pay a combined $925 million in damages to the plaintiffs.[22] However, in September 2010, the Tenth Circuit Court of Appeals reversed the decision.[23] According to the Appellate Court, the owners of the 12,000 properties in the class-action area had not proved that their properties were damaged or they had suffered bodily injury.[24]

Vietnam War: napalm and Agent Orange

The United States military dropped napalm bombs on North Vietnam during the Vietnam War. Dow was one of several manufacturers who began producing the napalm B compound under government contract from 1965. After experiencing protests and negative publicity, the other suppliers discontinued manufacturing the product, leaving Dow as the sole provider. The company said that it carefully considered its position, and decided, as a matter of principle, "its first obligation was to the government".[25] Despite a boycott of its products by anti-war groups and harassment of recruiters on some college campuses, Dow continued to manufacture napalm B until 1969.[25] The USA continued to drop napalm bombs on North Vietnam until 1973.

Agent Orange, a chemical defoliant containing dioxin, was also manufactured by Dow in New Plymouth, New Zealand, and in the United States for use by the British military during the Malayan Emergency and the U.S. military during the Vietnam War. In 2005, a lawsuit was filed by Vietnamese victims of Agent Orange against Dow and Monsanto Co., which also supplied Agent Orange to the military. The lawsuit was dismissed.[26]

Dow Corning breast implants

A major manufacturer of silicone breast implants, Dow Corning (Dow Chemical's Joint Venture with Corning Inc.) was sued for personal damages caused by ruptured implants. On October 6, 2005, all such cases pending in the District Court against the company were dismissed. A number of large, independent reviews of the scientific literature, including the Institute of Medicine in the United States, have subsequently found that silicone breast implants do not cause breast cancers or any identifiable systemic disease.[27][28]

Bhopal disaster

Union Carbide became a subsidiary of Dow Chemical in 2001. The Bhopal disaster of 1984 occurred at a pesticide plant owned by Union Carbide India Ltd., a subsidiary of Union Carbide, 17 years before Dow Chemical Co.'s acquisition. A gas cloud containing methyl isocyanate and other chemicals spread to the neighborhoods near the plant where more than half a million people were exposed to it. More than 27 years after the event, the actual number of fatalities is still unknown.[29] The official immediate death toll was 2,259 and the government of Madhya Pradesh has confirmed a total of 3,787 deaths related to the gas release. Others estimate 3,000 died within weeks and another 8,000 have since died from gas-related diseases. There are wide variations in the estimated number of individuals permanently disabled by the event. By one independent estimate, 40,000 individuals were left permanently disabled, maimed, or suffering from serious illness as a result of the disaster. A government affidavit in 2006 stated that the leak caused 558,125 injuries, including 38,478 temporary partial injuries and approximately 3,900 severely and permanently disabling injuries.[30] Union Carbide was sued by the Government of India and agreed to an out-of-court settlement of US$470 million in 1989. In 2010 eight former executives of Union Carbide India Ltd. were found guilty of death by negligence. Activists sought to have Dow Chemical held responsible for the ongoing cleanup of the site,[31] now under the control of the state government of Madhya Pradesh.


Until the late 1970s, Dow produced DBCP (1,2-dibromo-3-chloropropane), a soil fumigant, and nematicide, sold under the names the Nemagon and Fumazone. Plantation workers who alleged that they became sterile or were stricken with other maladies subsequently sued both Dow and Dole in Latin American courts. The cases were marred by extensive fraud, including the falsification of test results and the recruitment of plaintiffs who had never worked at Dole plantations.[32] While Nicaraguan courts awarded the plaintiffs over $600 million in damages, they have been unable to collect any payment from the companies. A group of plaintiffs then sued in the United States, and, on November 5, 2007, a Los Angeles jury awarded them $3.2 million. Dole and Dow vowed to appeal the decision.[33] On April 23, 2009 a Los Angeles judge threw out two cases against Dole and Dow due to fraud and extortion by lawyers in Nicaragua recruiting fraudulent plaintiffs to make claims against the company.[34] The ruling casts doubt on $2 billion in judgments in similar lawsuits.[35]

Tax evasion

In February 2013 a federal court rejected two tax shelter transactions entered into by Dow that created approximately $1 billion in tax deductions between 1993-2003. In the stated opinion, the Court termed the transactions "schemes that were designed to exploit perceived weaknesses in the tax code and not designed for legitimate business reasons." The schemes were created by Goldman Sachs and the law firm of King & Spalding, and involved creating a partnership that Dow operated out of its European headquarters in Switzerland.[36][37] Dow stated that it had paid all tax assessments with interest. The case was a lawsuit against the Internal Revenue Service seeking a refund of the taxes paid.[38] The case was appealed to the 5th Circuit court, where Dow's claims were again rejected. Dow has petitioned for an en banc hearing by the 5th Circuit, arguing that the decision was contrary to established case law.[39]

Recent mergers, acquisitions and reorganization

1990s - transition from geographic alignment to global business units

In the early 1990s, Dow embarked on a major structural reorganization.[40] The former reporting hierarchy was geographically based, with the regional president reporting directly to the overall company president and CEO. The new organization combines the same businesses from different sites, irrespective of which region they belong (i.e. the vice president for Polystyrene is now in charge of these plants all over the world).[41][42][43]

Union Carbide merger

At the beginning of August 1999, Dow agreed to purchase Union Carbide Corp. (UCC) for $9.3 billion in stock.[44] At the time, the combined company was the second largest chemical company, behind DuPont.[45] This led to protests from some stockholders, who feared that Dow did not disclose potential liabilities related to the Bhopal disaster.[46]

William S. Stavropoulos served as president and chief executive officer of Dow from 1995 to 2000, then again from 2002 to 2004.[47] He relinquished his board seat on April 1, 2006, having been a director since 1990 and chairman since 2000. During his first tenure, he led the purchase of UCC which proved controversial, as it was blamed for poor results under his successor as CEO Mike Parker.[48] Parker was dismissed and Stavropoulos returned from retirement to lead Dow.[49][50]

2006-2008 restructuring

On August 31, 2006, Dow announced that it planned to close facilities at five locations:[51]

  • Sarnia, Ontario was Dow's first manufacturing site in Canada, located in the Chemical Valley area alongside other petrochemical companies.[52] In 1942, the Canadian government invited Dow to build a plant there to produce styrene (an essential raw material used to make synthetic rubber for World War II). Dow then built a polystyrene plant in 1947. In August 1985, the site accidentally discharged 11,000 litres of perchloroethylene (a carcinogenic dry cleaning chemical) into the St. Clair River, which gained infamy in the media as "The Blob", and Dow Canada was charged by the Ministry of the Environment.[53][54] Up to the early 1990s, Dow Canada's headquarters was located at the Modeland Centre, and a new three-story complex called the River Centre was opened up on the Sarnia site in 1993 to house Research and Development.[55] Since then, several plants (Dow terminology for a production unit) on the site have been dismantled, particularly the Basic Chemicals including Chlor Alkali unit whose closure was announced in 1991 and carried out in 1994 which affected nearly half of the site's employees. The Dow Canada headquarters were moved to Calgary, Alberta in 1996, and the Modeland Centre was sold to Lambton County and the City of Sarnia with Dow leasing some office space. The Dow Fitness Centre was donated to the YMCA of Sarnia-Lambton in 2003. The Sarnia Site's workforce declined from a peak of 1600 personnel in the early 1990s to about 400 by 2002.[56] In the late 1990s, land on the site was sold to TransAlta which built a natural gas power plant that begun operations in 2002 to supply electricity to the remaining Sarnia site plants and facilities, so that Dow could close its older less efficient steam plant (originally coal fired and later burning natural gas).[57] On August 31, 2006, Dow announced that the entire Sarnia site would cease operations at the end of 2008. The Sarnia site had been supplied with ethylene through a pipeline from western Canada but BP officials warned Dow that shipments from the pipeline had to be suspended for safety reasons, and the loss of an affordable supply for the low density polyethylene plant rendered all the other operations at the site non-competitive.[58] The Low-Density Polyethylene and Polystyrene units closed in 2006, followed by the Latex Unit in 2008, and finally the Propylene Oxide Derivatives Unit on April 2009. Dow afterward focused its efforts on the environmental remediation of the vacant site, which was sold to TransAlta.[56] The former site has since been renamed the Bluewater Energy Park, with the River Centre remaining available for lease.[59]
  • One plant at its site in Barry (South Wales), a triple string STR styrene polymer production unit. Integral in the company's development of the super high melt foam specific polymers & Styron A-Tech high gloss, high impact polymers.[60]
  • One plant at its site in Porto Marghera (Venice), Italy.[61]
  • Two plants at its site in Fort Saskatchewan, Alberta, Canada.[52]

On November 2, 2006, Dow and Izolan, the leading Russian producer of polyurethane systems, formed the joint venture Dow-Izolan iand built a manufacturing facility in the city of Vladimir.[62] Also in 2006, Dow formed the Business Process Service Center (BPSC).

In December 2007, Dow announced a series of moves to revamp the company. A December 4 announcement revealed that Dow planned to exit the automotive sealers business in 2008 or 2009.[63] Within several weeks, Dow also announced the formation of a joint venture, later named K-Dow, with Petrochemical Industries Co. (PIC), a subsidiary of Kuwait Petroleum Corporation. In exchange for $9.5 billion, the agreement included Dow selling 50-percent of its interest in five global businesses: polyethylene, polypropylene and polycarbonate plastics, and ethylenamines and ethanolamines.[64] The agreement was terminated by PIC on December 28, 2008.[65]

Rohm & Haas Co. purchase

On July 10, 2008, Dow agreed to purchase all of the common equity interest of Rohm and Haas Co. for $15.4 billion, which equated to $78 per share.[66] The buyout was to be financed with equity investments of $3 billion by Berkshire Hathaway Inc. and $1 billion by the Kuwait Investment Authority.[67] The purpose of the deal was to move Dow Chemical further into specialty chemicals, which offer higher profit margins than the commodities market and are more difficult to enter for the competition.[] The purchase has been criticized by many on Wall Street who believe Dow Chemical overpaid (about a 75 percent premium on the previous day's market capital) to acquire the company; however, the high bid was needed to ward off competing bids from BASF.[68] The transaction to purchase the outstanding interest of Rohm and Haas closed on April 1, 2009.[69]

Accelerated implementation

On December 8, 2008, Dow announced that due to the 2008 economic crisis, it would accelerate job cuts resulting from its reorganization. The announced plan included closing 20 facilities, temporarily idling 180 plants, and eliminating 5,000 full-time jobs (about 11 percent of its work-force) and 6,000 contractor positions.[70]

Strategy interruption

Citing the global recession that began in the latter half of 2008, the Kuwaiti government scuttled the K-Dow partnership on December 28, 2008.[71] The collapse of the deal dealt a blow to Dow CEO Andrew Liveris' vision of restructuring the company to make it less cyclical. However, on January 6, 2009 Dow Chemical announced they were in talks with other parties who could be interested in a major joint venture with the company.[72] Dow also announced they that it would be seeking to recover damages related to the failed joint venture from PIC.[72]

After the K-Dow deal collapsed, some speculated that the company would not complete the Rohm & Haas transaction, as the cash from the former transaction was expected to fund the latter.[73] The deal was expected to be finalized in early 2009 and was to form one of the nation's largest specialty chemicals firms in the U.S.[74][75][76] However, on January 26, 2009 the company informed Rohm and Haas that it would be unable to complete the transaction by the agreed upon deadline.[77] Dow cited a deteriorated credit market and the collapse of the K-Dow Petrochemical deal as reasons for failing to timely close the merger. Around the same time, CEO Andrew Liveris said a first- time cut to the company's 97- year- old dividend policy was not "off the table." On February 12, 2009, the company declared a quarterly dividend of $0.15/share, down from $0.42 the previous quarter. The cut represented the first time the company had diminished its investor payout in the dividend's 97-year history.[78][79]

The transaction to purchase the outstanding interest of Rohm and Haas closed on April 1, 2009.[80] After negotiating the sale of preferred stock with Rohm and Hass' two largest stockholders and extending their one-year bridge loan an additional year, the company purchased Rohm and Haas for $15 billion ($78 a share) on March 9, 2009.[81]

2007 dismissal of senior executives

On April 12, 2007, Dow dismissed two senior executives for "unauthorized discussions with third parties about the potential sale of the company". The two figures are executive vice president Romeo Kreinberg, and director and former CFO J. Pedro Reinhard. Dow claims they were secretly in contact with JPMorgan Chase; at the same time, a story surfaced in Britain's Sunday Express regarding a possible leveraged buyout of Dow. The two executives have since filed lawsuits claiming they were fired for being a threat to CEO Liveris, and that the allegations were concocted as a pretext.[82] However, in June 2008 Dow Chemical and the litigants announced a settlement in which Kreinberg and Reinhard dropped their lawsuits and admitted taking part in discussions "which were not authorized by, nor disclosed to, Dow's board concerning a potential LBO" and acknowledged that it would have been appropriate to have informed the CEO and board of the talks.[83]

2014 - New operating segments

In the fourth quarter of 2014, Dow announced new operating segments in response to its previously announced leadership changes. The company stated it would give further support to its end-market orientation and increase its alignment to Dow's key value chains - ethylene and propylene.[84]

U.S. Gulf Coast investments

Several plants on the Gulf Coast of the US have been in development since 2013, as part of Dow's transition away from naphtha. Dow estimates the facilities will employ about 3000 people, and 5000 people during construction.[85] The plants will manufacture materials for several of its growing segments, including hygiene and medical, transportation, electrical and telecommunications, packaging, consumer durables and sports and leisure.[86]

Dow's new propane dehydrogenation (PDH) facility in Freeport, Texas, is expected to come online in 2015, with a first 750000 metric tonne per year unit, while other units could become available in the future.[87][88] An ethylene production facility is expected to start up in the first half of 2017.[89][90][91]

Chlorine merger

On March 27, 2015, Dow and Olin Corporation announced that the boards of directors of both companies unanimously approved a definitive agreement under which Dow will separate a significant portion of its chlorine business and merge that new entity with Olin in a transaction that will create an industry leader, with revenues approaching $7 billion.[92] Olin, the new partnership, became the largest chlorine producer in the world.[93]

Merger with DuPont

On December 11, 2015, Dow announced that it would merge with DuPont, in an all-stock deal. The combined company, which will be known as DowDuPont, will have an estimated value of $130 billion, be equally held by the shareholders of both companies, and maintain their headquarters in Michigan and Delaware respectively. Within two years of the merger's closure, DowDuPont would be split into three separate public companies, focusing on the agriculture, chemical, and specialty product industries. Estimates are it would take up to two years for the tax-free split. Shareholders of each company will hold 50% of the combined company.[94] Dow Chemical CEO Andrew N. Liveris would become executive chairman of the new entity, while DuPont CEO Edward D. Breen would become CEO.[95] In January 2017, the merger was pushed back a second time pending regulatory approvals.[96]

The same day, Dow also announced that it had reached a deal to acquire Corning Incorporated's stake in their joint venture Dow Corning for $4.8 billion in cash and a roughly 40% stake in Hemlock Semiconductor Corporation. The sale is expected to close in early 2016.[97][98] Commentators have noted that the deal is likely to face antitrust scrutiny in several countries.[99]

Focus on higher margin business

Dow Chemical has begun to shed commodity chemical businesses, such as those making the basic ingredients for grocery bags and plastic pipes, because their profit margins only average 5-10%. Dow is, as of 2015, focusing resources on specialty chemicals that earn margins of at least 20%.[93][100] This is in line with its restructuring, together with reducing debt, and expecting to raise more than $11 billion from asset sales by mid-2016.[101]

Dow Chemical works in Kings Lynn.

Dioxin contamination

Areas along Michigan's Tittabawassee River, which runs within yards of Dow's main plant in Midland, were found to contain elevated levels of the cancer-causing chemical dioxin in November 2006. The dioxin was located in sediments two to ten feet below the surface of the river, and, according to the New York Times, "there is no indication that residents or workers in the area are directly exposed to the sites".[102] However, people who often eat fish from the river had slightly elevated levels of dioxin in their blood.[102] In July 2007, Dow reached an agreement with the Environmental Protection Agency to remove 50,000 cubic yards (38,000 m3) of sediment from three areas of the riverbed and levees of the river that had been found to be contaminated.[103] In November 2008, Dow Chemical along with the United States Environmental Protection Agency and Michigan Department of Environmental Quality agreed to establish a Superfund to address dioxin cleanup of the Tittabawassee River, Saginaw River and Saginaw Bay.[104]

Sale of herbicide business

In December 2015, Dow Chemicals agreed to sell its global herbicide business as low crop prices prompted consolidation in the agricultural sector.[105]

Environmental record

In 2003, Dow agreed to pay $2 million, the largest penalty ever in a pesticide case,[106] to the state of New York for making illegal safety claims related to its pesticides. The New York Attorney General's Office stated that Dow AgroSciences had violated a 1994 agreement with the State of New York to stop advertisements making safety claims about its pesticide products. Dow stated that it was not admitting to any wrongdoing, and that it was agreeing to the settlement to avoid a costly court battle.[107][108]

According to the United States Environmental Protection Agency (EPA), Dow has some responsibility for 96 of the United States' Superfund toxic waste sites, placing it in 10th place by number of sites.[] One of these, a former UCC uranium and vanadium processing facility near Uravan, Colorado, is listed as the sole responsibility of Dow.[109][110] The rest are shared with numerous other companies. Fifteen sites have been listed by the EPA as finalized (cleaned up) and 69 are listed as "construction complete", meaning that all required plans and equipment for cleanup are in place.[111]

In 2007, the chemical industry trade association - the American Chemical Council - gave Dow an award of 'Exceptional Merit' in recognition of longstanding energy efficiency and conservation efforts. Between 1995 and 2005, Dow reduced energy intensity (BTU per pound produced) by 22 percent. This is equivalent to saving enough electricity to power eight million US homes for a year.[112] The same year, Dow subsidiary, Dow Agrosciences, won a United Nations Montreal Protocol Innovators Award for its efforts in helping replace methyl bromide - a compound identified as contributing to the depletion of the ozone layer. In addition, Dow Agrosciences won an EPA "Best of the Best" Stratospheric Ozone Protection Award.[113] The United States Environmental Protection Agency (EPA) named Dow as a 2008 Energy Star Partner of the Year for excellence in energy management and reductions in greenhouse gas emissions.[114]

Board of directors

The members of the board of directors of The Dow Chemical Co. were, prior to the closing of the merger with DuPont on September 1, 2017:[115]

Major sponsorships

In July 2010, Dow became a worldwide partner of the Olympic Games. The sponsorship extends to 2020.[121][122]

In September 2004, Dow obtained the naming rights to the Saginaw County Event Center in Saginaw, Michigan; the center is now called the Dow Event Center. The Saginaw Spirit (of the Ontario Hockey League) plays at the Center, which also hosts events such as professional wrestling and live theater.[123][124]

In October 2006, Dow bought the naming rights to the stadium used by the Great Lakes Loons, a Single-A minor league baseball team located in its hometown of Midland, Michigan. The stadium is called Dow Diamond. The Dow Foundation played a key role in bringing the Loons to the city.

In 2010, Dow signed a $100m (£63m) 10-year deal with the International Olympic Committee and agreed to sponsor the £7m Olympic Stadium wrap.[125] Dow also sponsors Austin Dillon's #3 Chevrolet in the Monster Energy NASCAR Cup Series.

Major collaborations

Lab Safety Academy

On May 20, 2013, Dow launched the Dow Lab Safety Academy, a website that includes a large collection of informational videos and resources that demonstrate best practices in laboratory safety.[126] The goal of the website is to improve awareness of safety practices in academic research laboratories and to help the future chemical workforce develop a safety mindset. As such, the Dow Lab Safety Academy is primarily geared toward university students. However, Dow has made the content open to all, including those already employed in the chemical industry. The Dow Lab Safety Academy is also available through the Safety and Chemical Engineering Education program, an affiliate of American Institute of Chemical Engineers (AIChE); and The Campbell Institute, an organization focusing on environment, health and safety practices.

The Dow Lab Safety Academy is one component of Dow's larger laboratory safety initiative launched in early 2012, following a report from the U.S. Chemical Safety Board[127] that highlighted the potential hazards associated with conducting research at chemical laboratories in academic institutions. Seeking to share industry best practices with academia, Dow partnered with several U.S. research universities to improve safety awareness and practices in the departments of chemistry, chemical engineering, engineering and materials. Through the pilot programs with U.C. Santa Barbara (UCSB), University of Minnesota, and Pennsylvania State University, Dow worked with graduate students and faculty to identify areas of improvement and develop a culture of laboratory safety.

Nature Conservancy

In January 2011, The Nature Conservancy and The Dow Chemical Co. announced a collaboration[128] to integrate the value of nature into business decision-making. Scientists, engineers, and economists from The Nature Conservancy and Dow are working together at three pilot sites (North America, Latin America, and TBD[129]) to implement and refine models that support corporate decision-making related to the value and resources nature provides. Those ecosystem services include water, land, air, oceans and a variety of plant and animal life. These sites will serve as a "living laboratories", to validate and test methods and models so they can be used to inform more sustainable business decisions at Dow and hopefully influence the decision-making and business practices of other companies.[130]


Dow CEO Andrew N. Liveris called 2005 the company's "best year ever" with operating profits of $5.4 billion, a jump of 56.5 percent compared with the previous year.[131] Net income rose more than 60 percent to $4.5 billion, on sales of $46.3 billion. 2006 looks as if it could be even better, with first-quarter net earnings of $1.2 billion.[132] All this is occurring in the context of adverse operating conditions, caused by high energy and raw material costs, and the effects of two damaging hurricanes.

Liveris supports the vertically integrated approach used at Dow, which produces everything from basic chemical feedstocks to high value products such as pesticides and reverse osmosis membranes. These value-adding product chains, along with Dow's wide product range, help the company to weather the storms of the global economy. Despite this, high energy and feedstock costs may begin to take their toll, particularly if global demand begins to fall just as supply is rising.

Like many chemical companies, Dow is facing pressures of regulation in the US and Europe, particularly as the EU introduces its new REACH policy. Litigation costs in the US taken over by Dow as a result of its 2001 takeover of Union Carbide also remain a concern.

For these reasons, Dow is looking to the Middle East and Asia for new projects. In Kuwait, Dow is constructing (with PIC of Kuwait) a new world-scale ethane cracker for production of ethylene, along with an ethylene oxide/ethylene glycol plant and (for 2008) a facility for production of aromatic hydrocarbons. In Oman, the company is working with the Oman government to build a new world-scale polyethylene plant. In China, the company is collaborating with Shenhua Group (the country's largest coal mining company) to improve catalyst efficiency to allow viable conversion of coal to olefins. Dow is also seeking to expand its R&D presence in Asia, adding 600 jobs in Shanghai by the end of 2007, and the company may open up a large R&D center in India.

The joint ventures planned for Asia are typical of Dow's "asset-light" approach, which works by offering a combination of intellectual property and money in exchange for a share in a world-scale production facility. At the same time, Dow is considering selling a share of some of its existing assets in order to free up cash.

Subsidiaries and joint ventures

Dow Chemical has a number of subsidiaries and joint ventures.[133]


  • Arabian Chemical Company (Latex) Ltd.
  • Arabian Chemical Company (Polystyrene) Limited
  • Battleground Water Company
  • Biotechnology Research and Development Corporation
  • Blue Cube Holding LLC (and affiliates)
  • Buildscape, Inc.
  • Buildscape, LLC
  • CanStates Holdings Inc. (and affiliate)
  • CD Polymers Inc.
  • Centen Ag Inc. (and affiliates)
  • Chemars III LLC
  • Chemtech II L.P.
  • Clean Filtration Technologies LLC
  • DC Partnership Management Inc. (and affiliate)
  • DCOMCO, Inc.
  • Denmerco Inc.
  • Diamond Capital Management Inc.
  • Dofinco, Inc.
  • Dow Business Services LLC
  • Dow Capital International LLC
  • Dow Chemical (China) Investment Company Limited (and affiliates)
  • Dow Chemical (Singapore) Private Limited (and affiliates)
  • Dow Chemical China Holdings Pte. Ltd.
  • Dow Chemical Delaware Corp. (and affiliates)
  • Dow Chemical International Ltd. (and affiliates)
  • Dow Chemical Kuwait B.V.
  • Dow Chemical Singapore Holdings Pte. Ltd.
  • Dow Chemical Taiwan Limited
  • Dow Corning Corporation
  • Dow AgroSciences, LLC.
  • Union Carbide Corporation
  • Rohm and Haas
  • ANGUS Chemical Co.

Current joint ventures

  • EQUATE Petrochemical Co. K.S.C.
  • The Kuwait Olefins Company K.S.C.
  • The Kuwait Styrene Company K.S.C.
  • TKOC - JV between Dow and Petrochemical Industries Company
  • Map Ta Phut Olefins Company Limited
  • MEGlobal
  • SCG-DOW Group
  • Sadara Chemical Company - JV between Saudi Aramco and Dow Chemical
  • Dow-Mitsui Chlor-Alkali LLC - JV between Mitsui & Co. and Dow

Notable employees


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Further reading

  • Ray H. Boundy, J. Lawrence Amos. (1990). A History of the Dow Chemical Physics Lab: The Freedom to be Creative. M. Dekker. ISBN 0-8247-8097-3.
  • E. Ned Brandt. (2003). Growth Company: Dow Chemical's First Century. Michigan State University Press. ISBN 0-87013-426-4
  • Don Whitehead and Max Dendermonde. (1968). The Dow Story: The History of the Dow Chemical Co. McGraw-Hill. ISBN 90-800099-9-7.

External links

  This article uses material from the Wikipedia page available here. It is released under the Creative Commons Attribution-Share-Alike License 3.0.



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