Dow Chemical, the biggest U.S. chemical manufacturer, said on Wednesday it would hike prices for all its products by up to 20 percent next month, the latest signal that escalating energy prices were stoking inflation.
Dow's CEO, Andrew Liveris, noted that first quarter feedstock and energy costs were up "a staggering 42 percent," putting strains on the company and its relations with customers. For most chemical companies, price increases have failed to keep up with raw material increases.
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Dow Chemical said that fourth-quarter earnings fell 52 percent, hurt by weak U.S. housing and auto markets, spiraling energy and raw material costs, and one-time restructuring charges.