Midland, Michigan-Dow Chemical Co. is to exit the Peroxymeric (PXC) Chemicals business, with production ceasing for most products by 31 Oct 2006. The move follows "a period of declining revenue and poor market conditions for these products," said Dow's statement on the plans.
Dow said the business will continue offering its Cyracure photoinitiators, produced by a third party on Dow's behalf, to support its UV cure customers. But all other products will be discontinued.
For the polyurethanes sector, this includes Tone-brand caprolactone monomers and polymers, polyols and m-series caprolactone acrylate. The business will also stop production of Cyracure and ERL cycloaliphatic epoxides, Flexol EPO and LOE epoxidised oils.
"We are taking every reasonable step to minimise disruption to our customers' operations and help them through the transition to new products and sources of supply," said James Sloan, global PXC product manager, in Dow's announcement. Sloan added that Dow, "can no longer justify the high cost of participating in the market or further investing in the business based on insufficient returns and increasingly poor market conditions for these products."
PXC products are speciality chemicals that go into a wide variety of end use products, including: electrical insulators, insulation tapes, high-voltage coils and transformers, automotive primers and topcoats, roofing and appliance finishes, shoe adhesives and more.