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Dow Chemical Evaluates Plant Closures in Germany, Threatening 500 Jobs

High energy costs and regulatory challenges prompt Dow to consider shutting key facilities in Schkopau and Böhlen, sparking calls for a policy shift to stabilize the Mitteldeutsches Chemiedreieck.

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Overview

  • Dow Chemical is assessing temporary shutdown or permanent closure of its Schkopau and Böhlen plants, a move that could eliminate 500 jobs directly.
  • Christof Günther, head of Chemiepark Leuna, warns that closures would disrupt the integrated chemical cluster, weakening supply chains and regional competitiveness.
  • Günther emphasizes the broader economic impact, noting that each chemical job supports three additional jobs in related sectors.
  • He urges the German government to revise its energy policy, advocating for the resumption of Russian pipeline gas and reconsideration of domestic shale gas extraction.
  • The Mitteldeutsches Chemiedreieck faces mounting pressure from high energy prices, dense regulation, and insufficient baseload power, jeopardizing its global competitiveness.