What did the Federal Court of Appeal decide?

The court upheld Ottawa’s decision to list plastics as toxic under federal law, which keeps the national single-use plastics ban in place. This means restrictions on items like bags, straws, and stir sticks continue. The ruling also supports federal authority to regulate plastic pollution while further appeals, if any, are considered.

How could the Canada plastic ban affect DOW?

DOW sells polyethylene and related resins used in packaging. The ban can reduce demand for older single-use formats and speed up shifts to recyclable or reusable designs. Near term, that raises compliance and conversion costs for customers. Longer term, premium recyclable films and materials could offset some volume loss if adoption scales.

Could this ruling still be appealed to the Supreme Court?

Yes. Parties can seek leave to appeal to the Supreme Court of Canada. Leave is not automatic and timelines can vary. Until the Supreme Court decides whether to hear the case, the appeal court ruling stands and the federal single-use plastics framework remains in force across the country.

Is DOW stock attractive after the ruling?

DOW offers a 7.31% TTM dividend yield, trades at 0.51x sales and 1.29x book, but shows negative EPS and free cash flow with EV/EBITDA at 30.57. Technicals are bullish yet overbought. For Canada-focused investors, this is a mixed setup. Position sizing and patience around legal and earnings catalysts make sense.

What should Canadian investors watch next?

Track any Supreme Court leave request, federal enforcement guidance, and talk of adding items to the ban list. For DOW, focus on April 23, 2026 earnings, Canadian customer updates, and margin trends in packaging. Pricing power on recyclable films and inventory turns will signal how well the business is adapting.

Law and Government

DOW Stock Today: February 02 Canada Court Upholds Plastic Ban

ByHuzaifa Zahoor February 3, 2026

Canada plastic ban stays in force after the Federal Court of Appeal upheld Ottawa’s move to list plastics as toxic. For Canadian investors, the ruling raises regulatory risk for resin and packaging names, including DOW. The latest available data show DOW at $28.88, up 4.83% on the day, with volume above average. The single-use plastics ban covers bags, straws, and stir sticks nationwide. We explain what the decision means, who is most exposed, and how the stock screens on valuation, dividends, and technicals for a Canada-first view.