Dow plans VCM reduction

Dow Chemical says it plans to reduce production of vinyl chloride monomer and phase out production of ethylene dichloride (EDC) at its facility in Oyster Creek, TX by the end of 2005. This net reduction accounts for approximately 4% of the North American VCM industry capacity. VCM and EDC capacity of other units at the Oyster Creek facility will not be affected.
A Dow spokesman said long-term operation of these particular production streams would require capital investments unjustified by current economics. Dow said it will honor its current VCM commitments to customers by supplying from the company’s other VCM plants and by other commercial agreements.