Zangjiang, Guangdong – BASF and the province of Guangdong have reached a framework agreement for a new chemical complex in the province.
BASF's second Verbund site in China comes closer
'By 2030, China's share of global chemical production will increase to nearly 50%. Guangdong is a growing market for innovations from chemistry, and our new site will support customers in multiple industries,' said Martin Brudermuller, BASF chairman. He was speaking at a formal signing ceremony in Zhanjiang in early January 2019.
According to the framework agreement, 'fundamental circular economy concepts' will be incorporated into the new Verbund site.
This is to support customers with sustainably produced products, the Ludwigshafen, Germany-based company explained.
The 9 km2 site will be designed to 'maximise resource and energy efficiency and reduce environmental impacts', BASF said.
In total, the German company expects to spend $10 bn to build the integrated petrochemical complex. It will feature a 1 MT/year ethylene facility and a number of other downstream plants.
A memorandum of understanding was signed in the presence of German chancellor Angela Merkel and Li Keqiang, president of China’s state council.