Media365
Germany’s chemical giant BASF has launched operations at its China production base – its largest overseas investment to date – with a total outlay of €8.7 billion (US$10 billion), and the country’s first wholly foreign-owned large-scale Verbund site.
The company on Thursday inaugurated the world-scale complex in Zhanjiang, Guangdong province, designed to run entirely on renewable electricity.
A Verbund site is an integrated chemical complex where plants, energy use and materials are interconnected to maximise efficiency and minimise waste.
The site has brought 18 plants and 32 production lines into operation, producing more than 70 types of products spanning basic chemicals, intermediates and specialty chemicals for industries including transport, consumer goods, electronics, home care and personal care.
“This investment shows confidence in the world’s largest chemical market in the long run and will be an important element of our ‘winning ways’ strategy,” BASF CEO Markus Kamieth said at the launch ceremony.
The launch comes as China intensifies efforts to draw in foreign investment amid external headwinds, seeking to boost tax revenues and generate employment while reaffirming its commitment to opening up.
China remained the European Union’s second-largest and Germany’s biggest trading partner last year.
