Dow Corning to set up delayed Malaysia plant

U.S. silicone-based products maker Dow Corning Corp will build a plant in Malaysia this year as part of a pledge made in 1998 to invest two billion ringgit ($526 million) in the country, newspapers said on Tuesday.

The Michigan-based company, a venture between chemicals maker Dow Chemical Co. and glass producer Corning Inc., had proposed in 1998 to set up the facility in southern Johor state bordering Singapore.The Star newspaper quoted chief minister of Johor, Abdul Ghani Othman, as saying Dow Corning top managers met him recently and assured him the project would take off this year."The company told me that this is the right time to invest here and we are glad that they are going to start the project this year," Ghani said.

Dow Corning had shelved its Malaysian plans following the 1997-98 Asian financial crisis.

The Johor plant will produce silicone chemcials for use in the manufacture of many products including construction sealants and textiles.

600450 Dow Corning to set up delayed Malaysia plant

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