BASF inaugurates the first plant of its new Zhanjiang Verbund site
- The new plant will produce 60,000 metric tons of engineering plastics compounds per year for customers in China
- The plant will be supplied with 100% renewable electricity
- The site now enters its main construction phase, which will focus on building the heart of the Verbund
Zhanjiang, China – September 6, 2022 – BASF is inaugurating the first plant of its Zhanjiang Verbund site today. It will supply an additional capacity of 60,000 metric tons of engineering plastics compounds per year in China, bringing BASF’s total capacity of engineering plastics in Asia Pacific to 420,000 metric tons from 2023. The new plant will enable BASF to meet the growing demand of its customers, particularly in the automotive and electronics industries.
“It is an exciting start for our Zhanjiang Verbund site,” said Dr. Martin Brudermüller, Chairman of the Board of Executive Directors, BASF SE. “The inauguration of the first plant paves the way for the site. Upon completion, it will be our third largest Verbund site globally and a role model of sustainable production both in China and around the world.”
The plant will be supplied with 100% renewable electricity. BASF aims to power the entire Zhanjiang Verbund site with 100% renewable electricity by 2025.
“The Zhanjiang Verbund site will be built with the latest digital technologies and to the highest safety standards. It will provide high-quality, low-carbon-footprint products and build up stronger business connections with customers in South China, underlining our commitment to the Chinese market,” said Dr. Markus Kamieth, Member of the Board of Executive Directors, BASF SE, who is responsible for BASF’s Asia Pacific region.
In 2020, BASF started construction of the first plants at the planned integrated Verbund site in Zhanjiang. In July 2022, BASF made the final investment decision for the main construction phase of the Zhanjiang Verbund site, covering the heart of the Verbund including a steam cracker and downstream plants to support growth of our customers in the dynamic Chinese market. This phase is targeted to start up in late 2025. An expansion phase covering further downstream plants for diversification is expected to be operational by 2028.
As announced in July 2018, the BASF Zhanjiang Verbund site will be the company’s largest investment to date, with up to €10 billion by 2030, and operated under the sole responsibility of BASF. The next startup is planned for 2023 covering a plant for the production of thermoplastic polyurethanes (TPU).
At BASF, we create chemistry for a sustainable future. We combine economic success with environmental protection and social responsibility. Around 111,000 employees in the BASF Group contribute to the success of our customers in nearly all sectors and almost every country in the world. Our portfolio comprises six segments: Chemicals, Materials, Industrial Solutions, Surface Technologies, Nutrition & Care, and Agricultural Solutions. BASF generated sales of €78.6 billion in 2021. BASF shares are traded on the stock exchange in Frankfurt (BAS) and as American Depositary Receipts (BASFY) in the U.S. Further information is at www.basf.com.