Dow Chemicals says it will cut 5% of its global workforce.
The company is closing roughly 20 plants, including facilities in Michigan and Ohio as well as several in Europe. It expects to save $500 million annually as a result by the end of 2014. By reducing its capital spending and investments, it will save a further $500 million.
The 2,400 layoffs amount to 5% of Dow Chemical's (DOW, Fortune 500) global work force.
"The reality is we are operating in a slow-growth environment in the near-term and, while these actions are difficult, they demonstrate our resolve to tightly manage operations -- particularly in Europe -- and mitigate the impact of current market dynamics," Dow CEO Andrew Liveris said in a statement.
Related: AMD announces job cuts amid declining PC sales
The company's shares fell 0.7% in after-hours trading Tuesday.
Fellow chemical producer DuPont (DD, Fortune 500) also announced layoffs Tuesday, cutting 1,500 jobs in response to weak demand for solar cells and titanium dioxide, 
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