Dow expands silicone capacity with Zhangjiagang investment
Dow, one of the largest chemical producers in the world, will investment US$300 million in its silicone manufacturing site in the Zhangjiagang Free Trade Zone in Jiangsu Province.
The investment will be used to further develop the company's silicone producing capacity in the next five years and meet growing global demand for silicone intermediates and finished products, according to the memorandum of understanding signed between the two parties on Monday.
Silicone is a key material for producing sealants, adhesives, lubricants, medicine, cooking utensils, and thermal and electrical insulation.
Mauro Gregorio, president of Dow Performance Materials & Coatings, said that “customers across industries are seeking more innovative, sustainable, and differentiated silicone products — especially customers in China and the Asia Pacific region.”
“With the agreement signed, we are well positioned to focus on some key industries, such as mobility and transportation, building and infrastructure, electronics, and home and personal care,” he added.
Yoke Loon Lim, president of Dow China, said that the company views China as a rapidly growing market and the planned investments reflect its confidence in it.
Dow manufactures plastics, industrial intermediates, coatings and silicones. With 109 manufacturing sites in more than 30 countries, it employs about 36,500 people worldwide. Dow sales in 2019 totaled US$43 billion.