The first phase will be on line in 2007, employing 79 workers. Phase II of the project involves capital spending on renovation and construction of a plant for the manufacture of automotive filters. The second phase will add 30 employees, with startup planned for late 2009.

"We are pleased to bring this project to Midland," says Romeo Kreinberg, Dow's senior vice president for plastics. "This is Dow's world headquarters and we have done manufacturing here for more than 100 years. This automotive project is an excellent example of a product area within our plastics portfolio that we are expanding to take advantage of business opportunities."

The announcement follows approval of an amendment to Dow's Brownfield Redevelopment Plan and Renaissance Zone Development agreement by both the City of Midland and Michigan's Economic Development Corp. A tax incentive package includes more than $9.9 million in single business tax credit from the state, along with exemption for property tax within the Renaissance Zone. The City of Midland also offered a 12-year local Industrial Facilities Tax exemption that will go into effect when the first phase of the project is complete.