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Dow Chemical Co. Rised the Prices

The largest U.S. chemical products maker Dow Chemical (DOW CHEMICAL CO.) Said, the price of energy and used in the production of STYROFOAM insulation materials, pesticides and plastic products grows up, will force the company in July the highest price increases 25 percent.

Dow Chemical said in a statement today, from 1st August, each from the truck cargo surcharge increase 300 U.S. dollars per wagon freight surcharge will increase 600 U.S. dollars.

Due to the rising price of the energy and hydrocarbons raw material, the CEO of Dow Chemical Liwei-(ANDREW LIVERIS) increased the prices by 20 percent last month. It is the most significant price hike in the 111-year history of this company. Dow Chemical said that energy and raw material prices "sustainable" rise again so that the company should take measures price increases.

Liwei said in a statement: "Because of the rising prices in the past few months, we have taken measures to restore our company's profit margins."

Dow Chemical said in the past five years, the company's energy and oil and natural gas and other hydrocarbon raw material costs have been substantially up four times, is expected to reach 32 billion U.S. dollars this year. The company also said it will reduce its global production factories, the reason is United States and the countries of the euro zone economic growth slowed.

Dow Chemical said the company euro STYROFOAM insulation materials production capacity of about 20 percent is idle. In addition, 30 percent of the acrylic acid production capacity in North America and 25 per cent of the global ethylene oxide production capacity was lying idle.

Over the past year, the price of crude oil has nearly doubled, and on the breach of the record high of 139.89 U.S. dollars a barrel on 16th June. This year, gas prices have risen 76 percent.

Originally Published: www.pharm-chem.com

Angulo Fu

A professional studies on China's import and export trade. Find qualified Chinese products and global trade offers, please browse Made-in-China.com.

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