Dow will close the PO plant by the end of 2025
Dow Chemical plans to close its propylene oxide (PO) plant in Freeport, Texas, by the end of 2025, people familiar with the matter said on May 16.
The unit was nearing the end of its useful life, and the decision to close the unit was part of Dow's efforts to optimize its cost and supply profile. This PO plant will continue to operate until the end of 2025, while the downstream polyether polyol plant will continue to operate after the PO plant is closed. Currently, the PO plant in Freeport supplies raw materials for the polyol plant.
After 2025, Dow will utilize its global propylene oxide assets or third-party suppliers to supply PO to polyol plants. The company is also investing in logistics capabilities such as propylene oxide storage tanks, pipelines, and new barges to transport external PO to the site.
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