Aramco-Dow Joint Venture Sadara Chemical Halts Production Over Middle East Turmoil
03.31.2026 By Tank Terminals - NEWS

March 31, 2026 [Reuters]- Sadara Chemical Company, a joint venture between Saudi state oil ​giant Aramco and U.S. chemicals firm ‌Dow, has temporarily shut down production citing ongoing supply chain disruptions, a subsidiary ​said on Tuesday.

 

Sadara Chemical operates ​a complex in the Saudi city ⁠of Jubail with annual production ​capacity of over 3 million metric tons ​of chemicals and plastics.

The suspension was announced in a regulatory filing by Sadara Basic ​Services, which issues Islamic bonds ​for its parent.

“Sadara cannot provide, at the present ‌time, ⁠an estimate for the return to production, as this is contingent on domestic and international factors,” it said, ​adding ​the shutdown ⁠is expected to impact this year’s financial results.

The month-long ​Iran war has spread across ​the ⁠Middle East, disrupting energy supplies and threatening the global economy, as Tehran ⁠has ​responded to U.S. and ​Israeli attacks by targeting regional infrastructure and shipping.

 

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