BASF expects above average chemicals growth in Asia

14 March 2001 15:24  [Source: ICIS news]

LONDON (CNI)--BASF said Wednesday it expects chemicals sales in Asia to grow twice as fast as the overall chemicals market there, despite the region's economic and political problems.

The German chemicals giant expects the Asian chemicals market to grow by 4% annually - or 6% if Japan is excluded - in the mid- to long-term. But thanks to its own considerable investment in the region during the 1997-98 economic crisis, BASF expects sales to grow by 7%-8%.

BASF chairman Jurgen Strube said the first plants have been started up at the company's chemicals complex in Kuantan, Malaysia. The acrylics plant there has already produced more than 100 000 tonnes of product in the past few months.

The company has also successfully completed negotiations to build a second major Asian site in Nanjing, China, he said. BASF is building in partnership with China Petroleum & Chemical Corp (Sinopec) a $2.6bn, 220-hectare integrated petrochemical facility, which is due onstream by 2004 or 2005.

BASF refused to comment on reports that it plans to purchase a styrene plant from SK Corp in South Korea. The company is in negotiations with a number of companies in South Korea, a spokesman said.

By: Peter Rees
+44 20 8652 3214

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