Page 162 - CW E-Magazine (6-5-2025)

News from Abroad

TAINTED OPERATIONS

BASF divests shares in Xinjiang joint ventures

to Singapore’s Verde

Germany’s BASF has announced
the divestment of its shares in its joint
ventures in China’s Xinjiang region, a
move welcomed by Uyghur activists
concerned over use of forced labour
there.

The buyer was identified as Verde
Chemical Singapore Pte. Ltd., which is
majority controlled by Verde Ventures
SGP, a Singapore-registered company.
Both parties have agreed not to disclose
financial details of the transaction.

BASF said the deal was completed German public broadcaster ZDF had not found any evidence of human
on April 21 following approval by rele- and news magazine Der Spiegel had rights violations in the two joint ventures,
vant authorities. reported that staff of BASF’s partner firm but that published reports contained
were involved in rights abuses against “serious allegations that indicate activi-
In late 2023, BASF had announced members of the mostly Muslim Uyghur ties inconsistent with BASF’s values.”
its intention to divest its shares in BASF minority. Employees were alleged to
Markor Chemical Manufacturing and have spied on Uyghur families and filed Last November, the other major
Markor Meiou Chemical in Xinjiang’s reports with Chinese authorities. German investor in Xinjiang, auto-
Korla region, primarily manufacturing maker Volkswagen, sold its operations
butanediol. BASF has previously said its audits there.

TOUGH TIMES
Dow reports first-quarter loss, expands review of European

assets and pauses Canadian net zero project

Dow has reported a first-quarter loss cost, energy-intensive assets, the com- struction on its $11.6-bn net-zero petro-
of $290-mn versus a year-ago profit, pany said. These include an ethylene chemical project in Fort Saskatchewan,
hurt by lower prices and higher energy cracker and chlor-alkali & vinyl assets Alberta, Canada until market conditions
and feedstock costs. Net sales were in Germany, which could be idled or improve. The company said it is delay-
$10.4-bn, down 3% year-over-year. shut after the review, while the third ing construction of its Path2Zero pro-
asset – a siloxanes plant in UK – could ject to match market conditions, which
The company is looking to tackle be shut down. Dow said should save the company
the extended downcycle by expanding about $1-bn. The project was to include
the previously announced review of In January, Dow said it would the building of a new hydrogen-fuelled
its European assets, primarily in poly- reduce global headcount by 1,500 as ethylene cracker, as well as carbon cap-
urethanes. The expanded scope will in- part of a cost-saving plan due to lack- ture and off-site sequestration.
clude “three upstream assets across all lustre demand and margin pressures.
operating segments for further action,” Mr. Jim Fitterling, Dow chair and
the company informed. These are higher- Dow Chemical will also pause con- CEO, said, “We expect to deliver

162 Chemical Weekly May 6, 2025

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