Dow Forecasts Long Term Middle East Supply Risks

Chemicals maker Dow expects regional tensions to keep costs high and delay industry capacity additions. The company beat quarterly estimates as tightening supply began to lift margins.

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DOW INC has issued a warning that supply chain disruptions stemming from regional instability in the Middle East are expected to persist through 2026. The chemical manufacturing giant highlighted that ongoing tensions are likely to keep energy costs elevated, specifically impacting the pricing of Brent Crude Oil and West Texas Oil. These elevated costs for oil and naphtha are anticipated to steepen the global cost curve for producers across the sector.

A view of the Dow corporate logo displayed on a facility in Midland, Michigan, captured in a file photo by Rebecca Cook.
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