BASF Boosts Spending on MDI, Other Chemicals in North America

Researched by Industrial Info Resources (Sugar Land, Texas)--Global chemical giant BASF SE (Ludwigshafen, Germany) saw an overall decline in sales volumes in first-quarter 2023, but enjoyed strong demand in its Agricultural and Chemicals, Materials and Surface Technologies businesses. As part of its five-year capital spending (capex) plan, BASF is earmarking €4 billion to €4.5 billion (US$4.42 billion to US$4.98 billion) for its North American activities, led by a major capacity expansion in Geismar, Louisiana. Industrial Info is tracking more than $1.1 billion worth of active projects from BASF in the U.S. and Canada, about 70% of which is attributed to a pair of projects that are set to begin construction within the next 12 months. In North America, BASF is investing heavily in its production of methylene diphenyl isocyanate (MDI), an important intermediary in the manufacture of urethane-based materials as varied as furniture and shoes.