Polymer Corporation
Polymer Corporation was a Canadian Crown corporation created during the Second World War to manufacture synthetic rubber and later expanded into petrochemicals.
Last updated August 26, 2026
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Overview
Polymer Corporation was a Canadian federal Crown corporation established in 1942 during the Second World War to address an acute shortage of natural rubber. The Japanese conquest of the Dutch East Indies removed much of the Allied world’s usual natural-rubber supply at a time when rubber was indispensable to military vehicles, aircraft, tires, seals, hoses, electrical equipment, and numerous civilian products. Canada responded by creating a large synthetic-rubber manufacturing operation at Sarnia, Ontario. Sarnia was selected for its strategic industrial geography. The location had secure access to Canadian crude oil, including feedstock suitable for the synthetic-rubber process, and stood beside the St. Clair River, which provided the large water supply required by chemical manufacturing. Polymer used Buna-S synthetic-rubber technology under arrangements connected with the American licensee of patents jointly associated with IG Farben and Standard Oil of New Jersey. Production began near the end of 1943, and during the remaining war years the plant produced approximately 3,300 tons of synthetic rubber per month. The company’s output supported both Canada’s domestic war economy and the wider Allied effort. Its rubber went into tires, aircraft components, and other essential manufactured goods. A combination of Polymer’s synthetic rubber, reclaimed rubber, and government rationing enabled Canada to meet wartime requirements despite the loss of overseas natural-rubber sources. Much of the production was also supplied to the United States as part of the common North American war effort. Polymer was regarded as an unusually successful public enterprise. It was considered more efficient than comparable American operations and became an example of a Crown corporation producing a strategically important material while also generating substantial profits. Clarence Decatur Howe, the minister responsible for the company through the Department of Munitions and Supply, argued that Canada should retain the enterprise after the war rather than dispose of it cheaply or risk its closure. Polymer therefore continued as a federal Crown corporation after hostilities ended and reported through the responsible minister to Parliament. Over time, the business moved beyond synthetic rubber into broader petrochemicals, particularly polyurethane production. In 1971 the federal government sold Polymer to the Canada Development Corporation, then a government-controlled enterprise. The company adopted the name Polysar in 1976, while its rubber activities were organized as Polysar Rubber Corporation. This transition placed the original wartime operation within a larger petrochemical group rather than ending its industrial legacy. The later Polysar period was also marked by serious environmental criticism. Numerous spills were reported in the Sarnia area, including dozens between 1972 and 1984 and additional oil and partially treated wastewater releases in 1986. Environmental organizations and provincial officials identified the company as a significant contributor to pollution in the St. Clair River and the Great Lakes. By 1989, Polysar had been included among Ontario’s leading industrial polluters, creating a sharp contrast with Polymer’s earlier reputation as a model Crown enterprise. Polysar was privatized in 1988 through a sale to NOVA Corporation. NOVA sold Polysar Rubber to Bayer AG in 1990. Bayer later transferred most of its relevant chemical operations into LANXESS AG in 2005. The original Sarnia facilities underwent staged closures between 1995 and 2002, although the broader industrial site remained active through later facilities and expansions. Polymer Corporation’s historical importance was also commemorated on the reverse of Canada’s 1971 Scenes of Canada ten-dollar note, which depicted its Sarnia operations. The company remains an important case in Canadian industrial, wartime, Crown-corporation, and environmental history.
History
Polymer Corporation emerged from Canada’s wartime mobilization after the Japanese occupation of the Dutch East Indies disrupted the Allied supply of natural rubber. Rubber was essential to modern military and industrial systems, yet substitutes were difficult to obtain quickly. The Canadian government therefore created a Crown corporation in 1942 and developed a major synthetic-rubber plant at Sarnia, Ontario. The Sarnia site combined several logistical advantages. It had dependable access to crude oil arriving in Canada, including petroleum suitable for synthetic-rubber manufacture, and it was adjacent to the St. Clair River, whose water was needed for the chemical process. Polymer obtained access to Buna-S technology through arrangements involving an American licensee of patents associated with IG Farben and Standard Oil of New Jersey. Construction and commissioning proceeded during the war, with production beginning late in 1943. From the beginning of operations through the end of the war in 1945, the plant produced roughly 3,300 tons of synthetic rubber per month. The material was used in tires, aircraft parts, and other rubber goods. Polymer’s output, together with reclaimed rubber and rationing, helped Canada satisfy wartime demand. It also contributed to the North American supply effort, with substantial quantities sent to the United States. The company quickly gained a reputation for technical and commercial success. It was described as more efficient than comparable American plants and became a prominent example of a profitable Canadian Crown corporation. Clarence Decatur Howe, who oversaw the enterprise through the Department of Munitions and Supply, supported keeping Polymer in public hands after the war. His position reflected both the company’s profitability and the belief that synthetic rubber had become a permanent strategic material rather than merely an emergency substitute. Polymer consequently continued as a Crown corporation in the postwar period, reporting through the responsible federal minister to Parliament. Its activities broadened from synthetic rubber into petrochemicals, including polyurethane. In 1971, the government sold the company to the Canada Development Corporation. The business was renamed Polysar in 1976, and its rubber operations became Polysar Rubber Corporation. The later history was complicated by environmental damage and public controversy. Records cited numerous spills in the Sarnia area, including 48 reported incidents between 1972 and 1984. Additional releases followed, including an oil spill in July 1986 and a larger discharge of partially treated wastewater in August of that year. Environmentalists viewed Polysar as one of the more serious industrial threats in the area, and Ontario’s environment minister described the wider pattern of St. Clair River pollution as a major threat to the Great Lakes. Polysar was listed among Ontario’s prominent polluters by 1989. The company was privatized in 1988 when NOVA Corporation acquired it. In 1990, NOVA sold Polysar Rubber to Bayer AG. Bayer later reorganized chemical operations, with most of the relevant Sarnia activities becoming part of LANXESS AG in 2005. The original Sarnia production facilities were closed in stages from 1995 through 2002, although the industrial site continued operating with facilities developed through later expansion. Polymer’s national significance was recognized beyond the chemical industry. Its Sarnia operation appeared on the reverse of Canada’s 1971 Scenes of Canada ten-dollar note, selected because the company had achieved an international reputation and its facilities offered a suitable subject for engraved detail. The company has also been cited in discussions of Crown corporations as an example of a public enterprise that generated sustained profits and supported national economic development. The Polysar archives fonds is held by Library and Archives Canada under reference R14901.
- 2005
Relevant Bayer chemical operations transferred to LANXESS
[1]Bayer spun off chemical divisions, including most of the relevant Sarnia operations, into LANXESS AG.
- 1990
Rubber business acquired by Bayer
[1]Bayer AG acquired Polysar Rubber Corporation from NOVA Corporation.
- 1988
Privatization
[1]Polysar was sold to NOVA Corporation, completing its transition from a government-controlled enterprise to private ownership.
- 1976
Renamed Polysar
[1]The company adopted the Polysar name, and its rubber activities were organized as Polysar Rubber Corporation.
- 1971
Transferred to Canada Development Corporation
[1]Polymer left direct federal Crown-corporation ownership through a sale to the Canada Development Corporation.
- 1945
Postwar continuation confirmed
[1]The government retained Polymer after the war because of its profitability and strategic industrial value.
- 1943
Sarnia production begins
[1]The Sarnia, Ontario, plant began producing Buna-S synthetic rubber near the end of the year.
- 1942
Polymer Corporation founded
[1]The Canadian federal government created Polymer Corporation as a Crown corporation to manufacture synthetic rubber during the Second World War.
Products and positioning
Originally positioned as a strategically essential wartime supplier and national industrial asset, Polymer later operated as a diversified petrochemical producer. Its public image combined technological and economic achievement with subsequent criticism over industrial pollution.
Synthetic rubber · 1943
Buna-S synthetic rubber
Polymer’s principal wartime product was Buna-S, an oil-derived synthetic rubber made at the Sarnia plant under licensed technology. It supplied essential rubber needs after overseas natural-rubber sources were cut off and was incorporated into tires, aircraft components, and other military and industrial goods.
Petrochemicals
Polyurethane
During its later development, the business expanded beyond rubber into petrochemicals, with polyurethane identified as a significant area of production. This diversification formed part of the company’s evolution into the broader Polysar petrochemical group.
Industrial materials · 1943
Synthetic-rubber materials for tires and aircraft parts
Polymer supplied synthetic-rubber material for high-priority manufactured goods, especially tires and airplane parts. These applications made the company a key component of Canada’s wartime industrial supply chain.
Controversies
1989
Polysar identified among Ontario’s major industrial polluters
After years of reported releases in the Sarnia area, Polysar was listed among Ontario’s prominent polluters. Environmental critics argued that its record of spills made it a particularly serious threat to the St. Clair River and the Great Lakes.
Brand decisions
1988
Privatization through sale to NOVAM&ABackground
After decades of government-controlled ownership, the Polysar business was moved into private-sector ownership.
Action taken
NOVA Corporation acquired Polysar.
Aftermath
NOVA sold Polysar Rubber to Bayer AG two years later.
1976
Rebrand as PolysarStrategyBackground
The enterprise had expanded beyond its original wartime synthetic-rubber mandate into petrochemicals and polyurethane.
Action taken
The company changed its name to Polysar and separated the rubber operation as Polysar Rubber Corporation.
Aftermath
The original Polymer identity became part of the corporate history of the Polysar group and its successor businesses.
1971
Transfer to Canada Development CorporationM&ABackground
The government reorganized ownership of the profitable industrial enterprise while retaining a government-controlled corporate structure.
Action taken
Polymer Corporation was sold to the Canada Development Corporation.
Aftermath
The business later adopted the Polysar name and operated as part of a broader petrochemical group.
1945
Retain the company after the warStrategyBackground
Polymer had been created as an emergency wartime supplier, but its production record and profitability suggested that synthetic rubber had lasting strategic and commercial value.
Action taken
Clarence Decatur Howe and the Canadian government kept Polymer operating as a Crown corporation rather than selling it or shutting it down.
Aftermath
The company continued reporting through the federal government to Parliament and later diversified into petrochemicals.
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