By Lily Wang
Since 2000, The Dow Chemical Company has achieved 20% annualized growth on sales in Greater China, with its 2010 sales exceeding US$4 billion, which accounted for 42% of the Asia-Pacific sales (US$9.6 billion). The Greater China region has become Dow''s second largest market outside North America. The company currently operates 6 business centers and 18 manufacturing sites in Greater China, with 3 500 employees.
   Dow has a dedicated strategy for the Chinese market - In China For China. 99% of its products manufactured in China are to meet the demands in the exciting local market. With the right geographic footprint and ambitious strategy for the Chinese market, Dow will continue to accelerate its growth in Greater China.
   With its acquisition of Rohm and Haas in April 2009, Dow has restructured its operating segments, with significant emphasis on specialty and innovation-focused business. Dow Advanced Materials Division includes the Electronic and Specialty Materials Segment and the Coatings and Infrastructure Segment. On the booming new energy and housing markets in China, demands for advanced materials have been growing at a fast pace. 1Q sales of its Advanced Materials in Greater China took up 36% of the Asia Pacific sales, reflecting the importance of the high growth markets to Dow''s strategic ambitions. "99% of our business in China is in value added products, such as performance, specialty and market-driven businesses, and only about 1% is in basic chemicals and basic plastics. So we have a very highly value-added business portfolio in Greater China," said Peter Sykes, President, Greater China of The Dow Chemical Company at a press conference on June 14. Dow will continue its strong focus on China to achieve market-driven organic growth with its powerful and highly value-added products businesses.
   To drive the regional development, Dow will continue to increase investment in China. "Even excluding our investment in Shaanxi province, we have investments under way now at different stages of progression that involves another several hundred million dollars in the next few years," added Mr. Sykes.
   Dow is also strengthening its sales network in the country this year to expand its geographic reaches from coastal regions to western and central areas, in order to capture the growth opportunities in those very fast-growing local markets.
   Building more collaborative partnerships with customers is also one of the priorities. The company will meet the specific needs of its customers by providing innovative solutions to help them compete more effectively, not only in China, but also in global markets.
   Furthermore, Dow emphasizes that clean energy is an important component of China''s 12th Five-Year Plan. Raising energy efficiency is crucial in addition to new technologies of energy storage, solar cell, photovoltaic systems and clean water.
   Dow announced this March to establish a new joint venture with Chinese Befar Group to produce perchloroethylene, a key building block material for non-ozone depleting refrigerants used in industrial, automotive, consumer, commercial, building and construction, and other applications. In the same month, Dow and Chinese refrigerator producer Haier announced successful partnership for energy-saving appliances. Dow''s PASCAL technology helps Haier deliver a new generation of energy-efficient refrigerators and freezers. In the automobile market, Dow enhances its local R & D capabilities and technical support by adding more technical resources in this region and new state-of-the-art technologies. Dow Automotive Systems innovations are focused on four key aspects, namely lightweight, safety, emission control, quality and appeal.
    How can Dow align its innovative focus with China''s 12th Five-Year Plan? Peter said," We believe in the importance of innovation for sustainability, and the importance of managing the environment, energy efficiency and clean energy. Our innovation efforts in the Dow Shanghai Center are to support China''s shifting economic growth pattern and to meet local market demands."