Dow Chemical, Izolan form Russian joint venture

The Dow Chemical Company and Izolan announced August 8 the formation of a joint venture company that will provide customer-tailored, polyurethane systems products to a growing customer base in Russia. Subject to regulatory and other customary approvals, the new company, Dow Izolan, will be based in Vladimir, a city 170 kilometers northeast of Moscow.

Dow Izolan will combine Dow's Polyurethane Systems business, known for its global leadership position in technology and raw materials back integration, with Izolan's strong local customer focus, product positioning and market experience, to become the leader in Russia's polyurethane systems house marketplace.

The new company will employ more than hundred employees, mainly from Izolan's current site in Vladimir. Further, the joint venture plans to build a new, large, state-of-the-art production plant in the Vladimir area within the next two years. The new facility will produce a broad variety of polyurethane systems products to meet the growing needs of customers in the region.

"This joint venture demonstrates Dow's continued commitment to invest in our Performance businesses and to grow in emerging geographies," stated Pat Dawson, vice president for Dow Polyurethanes. "By blending the strengths of both our companies, we are establishing the foundation for a strong and successful partnership that will better serve the needs of customers, accelerate innovation and provide opportunities for additional investment in the region." Dawson added.

No further details relating to the transaction were disclosed.