• Enhanced local production through expansion of facilities and acquisition
• Innovation Campus Shanghai integrates customer needs into early stage of innovation
• Improved environmental and safety performance
• Engaging various stakeholder groups for a better community

Shanghai, China – June 27, 2018 – BASF today published BASF in Greater China Report 2017, a concise publication summarizing the company’s environmental, economic and social performance in Greater China in 2017. As one of the first multinational companies publishing comprehensive local annual reports, BASF has published its Greater China Report annually since 2008.

Continuous investment strengthens local market presence

In 2017, BASF achieved sales of €7.3 billion to customers in Greater China, accounting for more than 10% of the entire BASF Group’s sales. To meet the ever-growing demand in a dynamic market environment, the company continued to invest in local production capabilities at its existing production hubs and to expand its product portfolio through planned acquisitions.

“We opened four new plants in Shanghai and Nanjing to better support our customers in the chemical, automotive, water treatment, papermaking, and personal care industries,” said Dr. Stephan Kothrade, President Functions, Asia Pacific, President and Chairman of BASF Greater China. “The planned global acquisitions of Bayer’s seed and non-selective herbicide businesses as well as Solvay’s polyamide business will help us gain access to new market segments and customers.”

Market-oriented research and development (R&D) drives innovation

Located at BASF Shanghai Pudong Innovation Park, the Innovation Campus Shanghai enhanced the collaboration between business and R&D to drive innovation by integrating customer and market needs at an early stage. In 2017, a new battery materials lab was opened in the Innovation Campus addressing the R&D needs of the battery materials market and the fast-growing e-vehicle industry in China. Additionally, a new R&D building began construction in 2017 to house the first Asia Pacific Automotive Application Center and a process research center.

“Leveraging our growing local R&D capabilities and BASF’s global Know-How Verbund, we have extended our collaboration with customers in Greater China to create innovative solutions,” said Dr. Kothrade.

Continue to improve environmental and safety performance

Despite high production levels, emissions of greenhouse gases from BASF’s chemical operations in Greater China slightly increased to 1.193 million metric tons (2016: 1.192 million metric tons), while absolute emissions of air pollutants decreased considerably to 306 metric tons (2016: 359 metric tons). Emissions of organic substances to water decreased sharply to 120 metric tons (2016: 170 metric tons), thanks to process optimization measures at several sites in Greater China. Total energy consumption also remained stable, in which consumption of electricity decreased to 706,897 megawatt hours (2016: 733,384 MWh).

Safety remains the top priority at BASF. In 2017, BASF improved the Lost Time Injury Rate of its employees and leased personnel per million working hours at 0.3 (2016: 0.5). However, the rate for contractors increased to 0.5 (2016: 0.4) due to a fatal traffic accident at one site. Following the accident, comprehensive traffic safety optimization programs and additional measures were implemented immediately.

Social engagement for better life quality of the communities

BASF is committed to improving the quality of life of the communities where it operates. In 2017, the company continued its open dialog with various stakeholder groups, including residents in the neighborhood through Community Advisory Panels set up at major production sites in Shanghai, Nanjing, Chongqing and Taiwan. Various sites opened their doors to welcome stakeholders to learn about the company’s operation, safety and corporate culture. The company also enhanced its interaction with non-governmental organizations through its annual stakeholder dialog event in Shanghai and the launch of “Clean Water Class” public education program. The long-term science learning initiative of BASF Kids’ Lab, a free, interactive and safe chemistry education program, continued to fascinate a high number of children in 2017 across Greater China.

The BASF in Greater China Report is an integrated report covering the three dimensions of sustainability: economic, environmental and social performance of the company. It provides a platform to enhance transparent communication and direct engagement with various stakeholders.

About BASF in Greater China

BASF has been a committed partner to Greater China since 1885. With major investments in Shanghai, Nanjing and Chongqing, BASF is the largest foreign investor in China’s chemical industry, and maintains the Innovation Campus Shanghai as a global and regional research and development hub. BASF posted sales of €7.3 billion in 2017 to customers in Greater China, and employed 8,982 people as of the end of that year. For further information, please visit www.basf.com/cn.

About BASF

At BASF, we create chemistry for a sustainable future. We combine economic success with environmental protection and social responsibility. The more than 115,000 employees in the BASF Group work on contributing to the success of our customers in nearly all sectors and almost every country in the world. Our portfolio is organized into five segments: Chemicals, Performance Products, Functional Materials & Solutions, Agricultural Solutions and Oil & Gas. BASF generated sales of €64.5 billion in 2017. BASF shares are traded on the stock exchanges in Frankfurt (BAS), London (BFA) and Zurich (BAS). Further information at www.basf.com.