Dow dives into polypropylene

Dow Plastics, one of the auto industry's largest plastics suppliers, announces it intends to become a major global supplier of polypropylene (PP). Its strategy includes global supply agreements with Montell Polyolefins, licensing agreements and new plant construction. Analysts say the move makes sense because PP is one of the fastest growing segments of the plastics industry. It also helps round out Dow's product portfolio, which hasn't included PP plastics since the 1960s. The move should be especially beneficial in automotive, where Dow's ABS and urethane products have been losing ground to versatile, low-cost PP in interior trim and exterior parts. Product will be available in the fourth quarter of 1996 for evaluation and qualification, Dow executives say. High-volume quantities will be available in North America and Europe in 1997.