Dow declared force majeure effective October 4, 2026, on membrane-grade 50% caustic soda solution material after a mechanical failure required an immediate unit shutdown and repairs, according to a letter sent to customers.
Dow estimated that caustic soda volumes may be allocated for a minimum of 10 days or until further notice. The company did not specify allocation volumes in the letter.
A distributor said the affected facility is Dow's Freeport, Texas, unit, which has a listed caustic soda capacity of 3.63 million tonnes per year, according to ICIS plants and projects. Market sources also said Dow was scheduled for a 10-day maintenance turnaround at its Plaquemine, Louisiana, plant.
The force majeure is likely to cause concern for US Gulf caustic soda players, which were already under tight supply constraints because of seasonal weakening in co-product chlorine demand and a sluggish PVC market.
US caustic soda spot exports were assessed at 420 to 440 dollars per dry metric tonne FOB US Gulf. Caustic soda is used in alumina processing, pulp and paper manufacturing and wastewater treatment.
