Dow Chemical increases prices by up to 20%

Dow joins most chemical suppliers and producers in announcing price increases. In a corporate move, The Dow Chemical Company announced today that on June 1 it will raise the price of all of its products by up to 20% – depending on their exposure to rising energy, feedstock and transportation costs – and will review all terms with all customers.

The price increases and reviews are said to be essential as the Company attempts to recover the rise in energy and related raw material costs. A spokesman stated that their first quarter 2008 feedstock and energy bill increased 42% percent in the last year and that further increases are expected.

Dow spent $8 billion on energy and hydrocarbon-based feedstock costs in 2002. At the current rate, those costs would climb to $32 billion this year.