Market sources informed SSESSMENTS.COM that Dow Inc had notified its Argentinian clients saying polyethylene (PE) supply would not be disrupted despite shutdowns in some of its production facilities. Dow also noted that its other production units could fulfil demand from customers in Argentina.
Previously, SSESSMENTS.COM reported that Dow is idling a solution PE train in Freeport, Texas, a gas phase PE unit in Seadrift, Texas, another PE plant in Bahia Blanca, Argentina, and two elastomers units in Louisiana to avoid oversupply. These plants have a total capacity of around 2 billion pounds/year (907,000 tons/year), accounting for about 10% of Dow’s Packaging & Specialty Plastics capacity.
Dow’s Bahia Blanca facility has two crackers with a capacity of 275,000 tons/year and 455,000 tons/year. It also operates downstream HDPE, LDPE, LLDPE, and expanded PE units in the complex. Market sources informed SSESSMENTS.COM that the Argentinian PE plant to be shut is the one which produces HDPE.