Dow to study silicones production in Saudi Arabia

Midland, Michigan - Dow Chemical Co. has signed two agreements to advance the company’s strategic, innovation agenda in Saudi Arabia.

Signed during the high-profile visit by the US president Donal Trump to Saudi Arabia, the two agreements involve the construction of a “state-of-the-art” manufacturing facility for production of polymers for coatings and water-treatment applications, and an MoU for a feasibility study on silicones.

The feasibility study will be related to a proposed investment in the company’s Performance Silicones franchise.

Financial details of the investments have not been announced.

The proposed silicones investment, said Dow in a 20 May statement, will include constructing a fully integrated, world-scale siloxanes and high performance silicones complex. Products from the plant will be geared towards markets and industries including home and personal care, automotive and high performance building and construction.

Once completed, the complex will create 350 full-time, technology-skilled jobs.

This move, said Dow, will serve to further integrate the former Dow Corning silicones business into Dow, and will accelerate the development of new hybrid materials for regional-specific needs.

“For example, the Middle East is home to many of the world’s largest and tallest buildings, which utilise high performance glass bonding technologies from Dow Silicones,” the Midland, Michigan-based chemicals company added.

“Dow has been a long-term strategic partner in Saudi Arabia for nearly four decades and is the largest foreign investor in the country,” said Dow chairman and CEO Andrew Liveris upon signing the agreements.

Dow was recently awarded the contract for supply of silicones sealants for the structural glazing facade of the Jeddah Tower in Saudi Arabia. Construction of the facade will start later this year.

The company has several joint ventures in the region including Sadara Chemical Co., which is a JV with Saudi Arabian Oil Co. – Saudi Aramco.

Sadara has 26 manufacturing units and is claimed by Dow to be one of the world’s largest integrated chemical facilities.

Other joint ventures in the region include a joint venture with Juffali & Brothers, and Saudi Acrylic Monomer Company (SAMCo).

In June, 2016, Dow became the first company to receive a trading license from the Government of Saudi Arabia, allowing 100% ownership in the country’s trading sector.