Dow plans to close the polyols plant in Tertre, Belgium by end of Q1 2026 as part of Dow polyurethanes (PU)’s efforts to optimize cost and supply position, according to a company spokesperson.
Last year, Dow announced a strategic review of its European assets, with a particular focus on its polyurethanes footprint, The decision to shut the Tertre plant was driven by high costs and a “burdensome” regulatory environment, the spokesperson added.
The intended Tertre site closure is expected to affect 37 Dow roles and 8 contractor positions.
The U.S.-based producer informed customers of the plans in a letter dated 29 September and seen by ICIS last week.
The news is the latest blow to the European polyurethanes (PU) sector, following on the heels of INEOS Oxide announcement of plans to shutter its propylene oxide (PO) production facility at Cologne, Germany.
Dow does not foresee any negative impact to customers or related markets to deliver the same product mix required, according to the spokesperson.
“These intended actions support the Company’s Polyurethanes business’s ongoing drive to right-size regional production capacity relative to the market demand, remove higher-cost assets, enhance cost efficiency and ensure long-term competitiveness,” the spokesperson added.
ICIS records show the Tertre facility has an annual production capacity of 55,000 tonnes of polyether polyols.
Dow were reviewing the competitiveness of several assets in Europe, particularly around its PU operations, amid “increasing challenges” presented by the region’s regulatory environment according to CEO Jim Fitterling in 2024.
Polyols are often reacted with isocyanates to make PU, which are used to make mattresses, foam insulation for appliances (refrigerators and freezers), home and automotive seats, elastomeric shoe soles, fibres and adhesives.
