BASF to split pigments unit
27 Jul 2015
BASF will form a new global pigments business unit early next year as it adapts to “challenges” in the market.
The German chemical company produces pigments, resins, additives and polymer dispersions for applications such as coatings and paints, construction materials, and printing and packaging.
“By creating an organisation fully dedicated to pigments, we will adapt better to the challenges in the pigments industry,” said Alexander Haunschild, senior vice president of the regional business unit for Pigments and Resins in Europe.
We have achieved and maintained a leading position in the pigments market through acquisitions and a series of successful restructuring measures.
Markus Kramer, BASF’s president of dispersions & pigments
Haunschild has been appointed to head the new global pigments business unit, which will be operational from January 2016. BASF said it then planned to carve out its pigments business and establish separate legal entities in the second half of 2016.
“We have achieved and maintained a leading position in the pigments market through acquisitions and a series of successful restructuring measures,” said Markus Kramer, president of its dispersions & pigments division.
Concentrating on the pigments business will allow BASF to better service customers, he added.
BASF’s product portfolio comprises colour pigments such as phthalocyanines, high performance pigments, azo pigments, effect pigments, inorganic pigments, dyes and pigment preparations.
In 2013, it closed its azo pigment plant in Paisley, Scotland, citing the introduction of new technologies as the cause of falling demand for pigments in the high-volume printing industry.
Last week BASF reported a 3% increase in overall sales for the first half of the year to €39.1 billion (£27.9 billion), while earnings for the period remained flat.
It said volatile raw material prices and lower growth in some key segments had impacted its performance during the period, but confirmed previous forecasts of a slight rise in sales for the full year.
The new pigments unit will be based in the Ludwigshafen area of Germany, and employees within the business are expected to transfer to this location.
