Chemical Giant BASF Relocates Additional Production Capacity to Southern China Due to High German Energy Costs
The world's largest chemical company, BASF, announced plans to shut down two more energy-intensive production lines at its Ludwigshafen headquarters and instead invest heavily in its new integrated site in Zhanjiang, southern China. The continued capacity reduction illustrates the acute risk of deindustrialization in German heavy industry, which suffers from chronically high electricity prices, massive bureaucracy, and expensive climate regulations.