28 April 2011 18:35 [Source: ICIS news]
NEW YORK (ICIS)--US-based Dow Chemical continues to explore alternative options for its commodity plastics assets, its chief executive said on Thursday.
“Commodity plastics that have anything to do with propylene or ethylene, in the long-term, will not be in Dow’s future,” said chairman, president and CEO Andrew Liveris during Dow’s first-quarter earnings conference call.
While Liveris would not identify which plastics businesses were being considered for divestiture, these likely include Dow’s polypropylene (PP) and high density polyethylene (HDPE) - both of which were classified on the “basic plastics” side on one of Dow’s presentation slides.
The low density polyethylene (LDPE) and linear low density polyethylene (LLDPE) assets were classified on the performance plastics side, and labelled as “technology differentiated products”.
“We continue to explore alternative options for the less differentiated, and non-strategic, portions of this division,” said Liveris.
“We want to tilt our portfolio toward higher margins and higher-growth end markets. This includes packaging, health and hygiene, elastomers, and electrical and telecommunications,” he added.
Paul Hodges studies key influencers shaping the chemical industry in Chemicals and the Economy
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