Latest news with #MidlandSilicones
Wales Online
08-07-2025
- Business
- Wales Online
Welsh factory to shed almost 300 jobs in cost-cutting move
Welsh factory to shed almost 300 jobs in cost-cutting move Chemical giant Dow is closing three parts of its operation including one section in Barry, Vale of Glamorgan Three sites across Europe will close as part of the changes announced by Dow (Image: John Myers ) Hundreds of jobs are set to be lost after a chemical giant confirmed plans to cease some of its operation in Wales along with shutdowns at two other sites in Europe. Dow has confirmed its basic siloxanes operations at Barry will be shut down by the middle of next year. In total, alongside closures of two sites in Germany, around 800 jobs will go with 291 roles in Wales having previously been identified as at-risk as part of cost-cutting measures. In January the US company announced a workforce reduction of 1,500 roles around the world to make financial savings of $1bn. The company has operated from the Barry site since 1971 when it bought the site from Midland Silicones and now employs 850 people on a 160-acre site. For our free daily briefing on the biggest issues facing the nation sign up to the Wales Matters newsletter here . The confirmed closure of part of the plant means job losses could affect a third of the workforce. Dow is a chemical producer and was one of the largest in the world in 2021. The US manufacturer has more than 200 sites globally in 30 different countries, employing approximately 36,000 people currently including 850 workers at the Barry plant. Article continues below Basic chemicals are used internally by Dow as raw materials and are also sold worldwide in areas such as the food industry, paints and coatings and dry cleaning products. The company previously said cheap competition from abroad was behind the potential closures as its basic products are no longer competitive on the open market with China undercutting prices. Dow currently employs 850 workers in Barry (Image: John Myers ) The shutdown of the "upstream assets" across three sites in Barry and Germany aims to "right-size regional capacity, reduce merchant sale exposure, and remove higher-cost, energy-intensive portions of Dow's portfolio in the region," according to the company. The shutdowns are expected to start in mid-2026 and be completed by the end of 2027 with demolition to continue into 2029 where needed. Jim Fitterling, Dow chair and CEO said: "Our industry in Europe continues to face difficult market dynamics as well as an ongoing challenging cost and demand landscape. "Over the past decade we have demonstrated Dow's commitment to operating with a best-owner mindset by taking proactive actions across higher-cost or non-strategic assets. "Looking ahead we remain committed to realizing the value of our incremental growth investments and enhancing profitability and cash flow through more than $6bn in near-term cash support." Due to the closures Dow is expecting to spend $630m-$790m for the disposal of assets as well as severance and related benefit costs. Article continues below When the potential job losses were first mooted union Unite called the proposals "outrageous" with general secretary Sharon Graham saying: "The potential loss of so many well paid jobs in the area will be devastating, not just to our members and their families, but to the local economy as well."
ITV News
29-04-2025
- Business
- ITV News
Almost 300 jobs at risk at chemicals factory in Barry
Hundreds of jobs are at risk at a chemical giant's Welsh factory. US company Dow has confirmed to the union Unite that it is closing down an area of its plant in Barry, Vale of Glamorgan. Unite say that almost 300 jobs are at risk due to this closure. The company, which produces a wide range of silicon products, has operated from the Barry site since 1971 when it bought the site from Midland Silicones, and now employs 850 people on a 160-acre site. A statement from Dow confirmed that the shutdown of basic siloxanes operations at Barry has been identified as a "potential outcome". It added that this would affect 291 employees at the Barry site over the next three to four years. Unite are calling on Dow to "reconsider its decision" and protect as many jobs as possible. The announcement comes as Dow assess its European assets in a bid to make savings. A consultation on redundancies is now underway but no job losses are expected until 2026. Dow, which has more than 200 manufacturing sites across the world, was among the three largest chemical producers in the world in 2021. However, it says cheap competition from abroad is behind the closure, as its basics product are no longer competitive on the open market. The announcement comes after Dow confirmed potential job cuts on January 31. A spokesperson for Dow said: "As part of Dow's assessment of its European assets, the company has identified the basics siloxanes operations at Barry, U.K. among other upstream portions of Dow's portfolio that will require further action. The potential outcome identified at this time for Dow's basics siloxanes operations at Barry is a shutdown. "The potential outcome to close basics siloxanes operations in Barry would be likely to affect 291 employees at the Barry Site, over the next 3-4 years. Siloxanes production is one of several manufacturing facilities and operations at our Barry site, which in total employs approximately 850 employees and contractors. "This potential shutdown would help strengthen the Company's competitive position in the specialty silicones market in Europe and the U.K. The production of specialty silicones in Barry will continue, supporting key markets such as automotive, electronics, energy, construction, and personal care." Unite general secretary Sharon Graham said: "It is outrageous that valued workers are being punished for a situation not of their control. The potential loss of so many well-paid jobs in the area will be devastating, not just to our members and their families, but to the local economy as well." Unite regional officer Richard Jackson said: "Unite is calling on Dow to reconsider its decision and work with us, government and other stake holders to find an alternative solution to this closure. Unite is also calling on Dow to work with the union in order to avoid compulsory redundancies and to seek to protect as many jobs as possible. The union will ensure it is involved all the way throughout this process." Operations at the Barry site first started in 1941, then under the ownership of the Ocean Salts company. Ownership of the site has changed a number of times over the years, with the site becoming a wholly owned subsidiary of The Dow Chemical Company, now Dow Inc, in 2016.
Wales Online
28-04-2025
- Business
- Wales Online
Hundreds of jobs set to be lost at Welsh factory
Hundreds of jobs set to be lost at Welsh factory A consultation on redundancies at a Welsh factory which employs 850 people is now underway Almost 300 jobs are at risk at a chemical manufacturing site in Barry (Image: John Myers ) Hundreds of jobs are set to be lost at a chemical giant's Welsh factory. US company Dow has confirmed to the union Unite that it is closing down an area of its plant in Barry, Vale of Glamorgan. Unite say that almost three hundred jobs are at risk due to this closure. The company has operated from the Barry site since 1971 when it bought the site from Midland Silicones, and now employs 850 people on a 160-acre site. The closure of part of the plant means that job losses could affect a third of the workforce. Unite are calling on Dow to "reconsider its decision" and protect as many jobs as possible. For our free daily briefing on the biggest issues facing the nation, sign up to the Wales Matters newsletter here In February, the firm confirmed it was "assessing alternative siloxanes supply options" at the site. Basic chemicals are used internally by Dow as raw materials and are also sold worldwide in areas such as the food industry, paints and coatings and dry cleaning products. Dow's Barry site employs 850 people (Image: John Myers ) A consultation on redundancies is now underway but it is expected that the closure will be long and protracted with no dismissals expected until mid-2026. Article continues below Dow, which has over 200 manufacturing sites across the globe, was among the three largest chemical producers in the world in 2021. However, it says cheap competition from abroad is behind the closure, as its Basics product are no longer competitive on the open market with China undercutting prices. The announcement from the union comes after Dow confirmed potential job cuts on January 31. The company issued a statement which said they needed to make $1 billion in cost savings, in response to uncertainty in the wider economy. Dow were expected to achieve this through a $500 million to $700 million reduction in direct costs, primarily focused on purchased services and third-party contract labour; and decreased labour costs, including through a workforce reduction of approximately 1,500 Dow roles globally. Unite general secretary Sharon Graham said: "It is outrageous that valued workers are being punished for a situation not of their control. "The potential loss of so many well paid jobs in the area will be devastating, not just to our members and their families, but to the local economy as well." Unite regional officer Richard Jackson said: "Unite is calling on Dow to reconsider its decision and work with us, government and other stake holders to find an alternative solution to this closure. "Unite is also calling on Dow to work with the union in order to avoid compulsory redundancies and to seek to protect as many jobs as possible. The union will ensure it is involved all the way throughout this process." Dow have been contacted for a statement. Article continues below
