BASF to Sell Shares of its Two JV Firms in Korla, China

Management Decision BASF to Sell Shares of its Two JV Firms in Korla, China

2024-02-12 Source: Press release BASF 2 min Reading Time

Related Vendors

BASF Corporation

Glatt Ingenieurtechnik GmbH

Italvacuum, Srl

TRM Filter d.o.o.

BASF has plans to divest its shares in the two joint venture companies BASF Markor Chemical Manufacturing (Xinjiang) Co. and Markor Meiou Chemical (Xinjiang) Co. in Korla, China.

As part of BASF’s global strategy for 1,4-butanediol, BASF has assessed the market environment and product carbon footprints of BDO and its downstream products from different production sites worldwide.(Source: BASF) — As part of BASF’s global strategy for 1,4-butanediol, BASF has assessed the market environment and product carbon footprints of BDO and its downstream products from different production sites worldwide.
(Source: BASF)

Ludwigshafen/Germany – In the fourth quarter of 2023, BASF started the process to divest its shares in the two joint venture companies BASF Markor Chemical Manufacturing (Xinjiang) Co. and Markor Meiou Chemical (Xinjiang) Co. in Korla, China. As part of BASF’s global strategy for 1,4-butanediol (BDO), BASF has assessed the market environment and product carbon footprints (PCF) of BDO and its downstream products from different production sites worldwide. BDO value chains are under increased competitive pressure and characterized by global overcapacities. Furthermore, carbide-based BDO and polytetrahydrofuran produced in Korla have a significantly higher PCF due to the use of coal as a base raw material and the high energy intensity of the production process. In the future, BASF will customize its global portfolio of BDO and affiliated downstream products to provide competitive low-PCF offerings.

The situation in the Xinjiang region has always been part of BASF’s overall assessment of its joint ventures in Korla. Regular due diligence measures including internal and external audits have not found any evidence of human rights violations in the two joint ventures. Nonetheless, recently published reports related to the joint venture partner contain serious allegations that indicate activities inconsistent with BASF’s values. Consequently, BASF will accelerate the ongoing process to divest its shares in the two joint ventures in Korla, subject to negotiations and required approvals of the relevant authorities.

Stay up to Date

Do you want the latest news, specialist articles and information on new products? Then you can register for our free newsletter:

Choose your Newsletter

It is important to note that, also in the context of the public reports, BASF has no indication that employees of the two joint ventures in Korla were involved in human rights violations. The most recent reports relate to BASF’s joint venture partner, in which BASF does not have a stake.

BASF’s presence in China remains otherwise unchanged, and the company is fully committed to its business activities and planned investments in the country. Already today, Greater China accounts for around half of global chemical production. Global growth in chemical production until 2030 will be driven by Greater China, which will account for around 80 % of the total growth during the period from 2022 to 2030.

(ID:49910046)

Subscribe to the newsletter now

Don't Miss out on Our Best Content

Business E-mail

Please enter a valid mailadress.

By clicking on „Subscribe to Newsletter“ I agree to the processing and use of my data according to the consent form (please expand for details) and accept the Terms of Use. For more information, please see our Privacy Policy. The consent declaration relates, among other things, to the sending of editorial newsletters by email and to data matching for marketing purposes with selected advertising partners (e.g., LinkedIn, Google, Meta)

Date: 08.12.2025

Naturally, we always handle your personal data responsibly. Any personal data we receive from you is processed in accordance with applicable data protection legislation. For detailed information please see our privacy policy.

Consent to the use of data for promotional purposes

I hereby consent to Vogel Communications Group GmbH & Co. KG, Max-Planck-Str. 7-9, 97082 Würzburg including any affiliated companies according to §§ 15 et seq. AktG (hereafter: Vogel Communications Group) using my e-mail address to send editorial newsletters. A list of all affiliated companies can be found here

Newsletter content may include all products and services of any companies mentioned above, including for example specialist journals and books, events and fairs as well as event-related products and services, print and digital media offers and services such as additional (editorial) newsletters, raffles, lead campaigns, market research both online and offline, specialist webportals and e-learning offers. In case my personal telephone number has also been collected, it may be used for offers of aforementioned products, for services of the companies mentioned above, and market research purposes.

Additionally, my consent also includes the processing of my email address and telephone number for data matching for marketing purposes with select advertising partners such as LinkedIn, Google, and Meta. For this, Vogel Communications Group may transmit said data in hashed form to the advertising partners who then use said data to determine whether I am also a member of the mentioned advertising partner portals. Vogel Communications Group uses this feature for the purposes of re-targeting (up-selling, cross-selling, and customer loyalty), generating so-called look-alike audiences for acquisition of new customers, and as basis for exclusion for on-going advertising campaigns. Further information can be found in section “data matching for marketing purposes”.

In case I access protected data on Internet portals of Vogel Communications Group including any affiliated companies according to §§ 15 et seq. AktG, I need to provide further data in order to register for the access to such content. In return for this free access to editorial content, my data may be used in accordance with this consent for the purposes stated here. This does not apply to data matching for marketing purposes.

Right of revocation

I understand that I can revoke my consent at will. My revocation does not change the lawfulness of data processing that was conducted based on my consent leading up to my revocation. One option to declare my revocation is to use the contact form found at https://contact.vogel.de. In case I no longer wish to receive certain newsletters, I have subscribed to, I can also click on the unsubscribe link included at the end of a newsletter. Further information regarding my right of revocation and the implementation of it as well as the consequences of my revocation can be found in the data protection declaration, section editorial newsletter.