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BASF Historical Milestones 1865-2006 140 Years of Future

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140 Years of Future

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Page 1: BASF Historical Milestones 1865-2006

BASFHistorical Milestones1865-2006

140 Years of Future

Page 2: BASF Historical Milestones 1865-2006
Page 3: BASF Historical Milestones 1865-2006

BASFHistorical Milestones1865-2006

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Page 5: BASF Historical Milestones 1865-2006

The first stage of German indus-trialization begins in 1835 with the building of the first German railway. At around the same time, customs barriers between the individual German states are abolished, creating an internal German market – a powerful incentive for the growth of new industries such as engineering and iron smelting.

At the same time, the German textile industry, and in particular the mechanized processing of cotton, begins to grow rapidly. Traditional processing methods such as exposing yarn or cotton to sunlight are too time consum-ing and need to be replaced by faster and more efficient meth-ods. This push for modernization provides the momentum for the development of the fledgling chemical industry. “Chlorine bleach” is the buzzword of the day. Huge amounts of inorganic chemicals such as sulfuric acid, soda ash and chlorinated lime are needed for processing and bleaching.

Soda ash has helped Britain to build the world’s most productive textile industry and the best glass industry. Soda means soap can be manufactured more cheaply. Soap, once a luxury, becomes a basic commodity. Thanks to improved hygiene, the incidence of infectious diseases declines rapidly and average life expectancy doubles. Soda ash becomes a significant object of global trade.

But the textile industry needs dyes too. Existing natural dyes can no longer satisfy growing demand. Justus von Liebig leads the chemical industry’s second growth spurt. In his Chemical Letters written in 1844, he makes the bold prediction that a way will soon be discovered to make brilliant dyestuffs or drugs from coal tar. Scientists are busy searching for a way to synthesize the drug quinine.

These efforts are strengthened by calls for improved medical care by the Berlin physician Rudolf Virchow. Experimenting with coal tar in 1856 in an attempt to synthesize the anti-malaria drug quinine from coal tar, the young English chemist William Henry Perkin obtains the first synthetic coal tar dye, aniline purple, named mauveine. Within a short time, chemists throughout Europe discover a whole range of new synthetic dyes from aniline yellow through Bismarck brown to Hofmann violet. Thanks to their beauty and brilliance, the dyes fetch high prices. The discovery of coal tar dyes fuels the spread of a “gold rush” among industrialists, scientists and business people.

The Birth of the Chemical Industry and the Era of Dyes

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Friedrich Engelhorn, owner of a coal gas company in Mannheim, very quickly recognizes the opportunities for coal tar, a by-product of his company’s busi-ness. In 1861, he begins pro-ducing fuchsin (magenta), a red dye, and aniline, the raw material obtained from coal tar. But he has bigger ideas – a company that spans the entire production process, from raw materials and auxiliaries through precursors and intermediates to dyes. In 1865, Engelhorn turns his groundbreaking idea into reality. On April 6, he founds a stock corporation in Mannheim under the name Badische Anilin- & Soda-Fabrik. After the planned acquisition of a site in Mannheim falls through, the manufacturing facilities are built on the opposite side of the Rhine River in Ludwigshafen, then part of the kingdom of Bavaria.

Occupational safety and health care establish a strong company tradition of social welfare. The first company doctor is hired in 1866. Twenty years later, the medical department moves into a new infirmary on the site.

In the second half of the 19th century, Ludwigshafen is one of the fastest growing cities in Germany. The housing shortage becomes an urgent social problem. The construction of company housing is mentioned as early as 1865 in BASF’s application for an operating license. A year after the com-pany is founded, four buildings are built on the edge of the site, in the extreme southwest. These contain apartments and sleeping accommodation for workers.

However, the first coal tar dyes are disappointing as they are neither colorfast nor lightfast (i.e., they fade). The traditional natural dyes madder (Turkey red) and indigo continue to dominate the market, but can no longer satisfy growing demand from the textile industry. This calls for intensive chemical research. In 1868, BASF appoints the chemist Heinrich Caro (1834 – 1910, chemist at BASF from 1868 to 1889) as its first head of research. The first research activities take place in a labo-ratory in Mannheim. When the property is sold, research con-tinues in a lab situated next to the main gate of the Ludwigs-hafen site, the forerunner of the main laboratory.

The founding fathers: Friedrich Engelhorn, Carl Clemm, August Clemm and banker Seligmann Ladenburg

1865 1866 1867 1868

Tracing the origins of BASF: Royal Bavarian letter dated April 27, 1865.

Modest beginnings: BASF in 1866

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Social commitment: The first company housing estate in Hemshof around 1880

Eat-in kitchen in the Hemshof colony around 1914

1871 18721869 1870

The company’s first onsite medical clinic around 1914: The royal Bavarian medical superintendent Professor Koelsch hails it as a “remarkable facility with treatment, operating and X-ray rooms plus halls for therapeutic gymnastics and medical baths.”

In collaboration with Berlin professors Carl Graebe and Carl Liebermann, Heinrich Caro successfully synthesizes the first natural dye in 1869: Alizarin, a red dye derived from the root of the madder plant, mainly used to dye cotton, becomes BASF’s first global success story. Other new dyes such as eosin, true red and auramine follow.

In 1872, construction begins on the large “Hemshof colony,” a development encompassing more than 400 dwellings that pro-vides BASF workers with afford-able housing. All the houses in the colony are detached, surrounded by gardens and divided into four apartments each. The workers’ houses have one-and-a-half stories: Each apart-ment has two parlors, a bedroom, kitchen, two basement rooms and a garden. The houses for supervisors and foremen have two-and-a-half stories, and each apartment has three parlors, two bedrooms, a kitchen, basement room and garden. In addition to the Hemshof colony, housing for white-collar employees is built next to the site in the following years.

Samples of dyed fabric created by Heinrich Caro: Alizarin and eosin.

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The successful synthesis of alizarin opens the world’s markets to BASF. However, the company still lacks a proper sales organization. It therefore merges with two well-known dye merchants in Stuttgart in 1873, Knosp and Siegle. BASF has already been channeling most of its sales through these compa-nies as both have worldwide trading networks with more than 5,000 customers. Moreover, they operate their own “control” dye-works, an applications-oriented department with close contacts to customers. Production facili-ties and sales offices are set up abroad: in New York in 1873, in Butirki near Moscow in 1877 and in Neuville-sur-Saône, France, in 1878. Siegle’s Stuttgart-based pigment production reverts to Siegle in 1889. In 1970, BASF acquires the entire Siegle group in order to expand its pigment operations.

BASF is also involved in the public debate on health and welfare benefits for workers in industry. To safeguard its workers, it establishes a health insurance fund in 1875 that pays sickness benefits solely out of company funds.

In 1876, Heinrich Caro succeeds in synthesizing a pure blue dye for cotton – methylene blue. A year later, BASF is awarded Germany’s first patent for a coal tar dye for methylene blue. However, methylene blue plays an increasingly important role not just in the textile industry but in medicine too. Medical pio-neer Robert Koch, for example, uses it to make the tubercle ba-cillus visible in his research into tuberculosis.

1873 1874 1875 1876

Color sampler

BASF’s factory in Butirki near Moscow

Price list cover

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In 1880, Adolf von Baeyer, a chemist in Strasbourg, success-fully synthesizes indigo, the most important natural dye at that time. BASF, together with the Hoechst dyeworks, acquires the rights to exploit the indigo patent, thus joining the race to produce in-digo on an industrial scale. For many years, the venture is unsuccessful due to the inability to produce the raw material cost-effectively on a large scale. It is not until 10 years later that Professor Karl Heumann of Zurich discovers an appropriate synthesis method, which is adopted by BASF and Hoechst. But the procedure does not yield sufficient indigo. A second syn-thesis discovered by Heumann three years later appears to be more successful. BASF also acquires the rights to this pro-cedure, paving the way for the production of indigo on an industrial scale.

1879 18801877 1878

Dye sample case

The first copy of the indigo formula in a letter written by Adolf von Baeyer to Heinrich Caro on August 3, 1883

From the Imperial Patent Office, founded in 1877: The first German dye patent protects the production process for methylene blue.

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A local telephone network is set up in Ludwigshafen in 1882. The first subscriber to be con-nected is the Badische Anilin- & Soda-Fabrik. It is also the first phone connection in Bavaria. Three years later, BASF estab-lishes a telephone switchboard at its Ludwigshafen site.

In connection with Bismarck’s social security system, BASF introduces the first company health insurance plan in 1884. It does much more than the law requires. The new plan repre-sents a major step forward and features a significant improve-ment in the protection of workers’ families at a time whena breadwinner’s long illness could threaten the livelihood of families.

1881 1882 1883 1884

BASF’s switchboard already has 20 operators in 1921.

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In 1887, a small three-kilowatt generator powering two arc lights at the Rhine quay and in the coal storage area marks the dawn of the age of electricity at the Ludwigshafen site. BASF is self-sufficient in electric-ity until 1938 – by which time BASF has 121,000 kilowatts of generator capacity. After this date, RWE, a public utility, sup-plies additional power.

To manufacture anthraquinone-sulfonic acid, the basic substance for alizarin dyes, BASF needs growing volumes of fuming sulfuric acid (oleum). The key suppliers are vitriol distilleries in Bohemia, which cannot keep pace with rising demand: Oleum becomes scarce and expensive. Rudolf Knietsch (1854 – 1906, chemist at BASF from 1884 to 1906) develops an economical alternative process in 1888. His sulfuric acid contact process makes BASF the largest sulfuric acid producer in the world at this time. At the same time, the way is paved for catalytic processing. In the same year, Knietsch intro-duces another groundbreaking invention: liquefaction of chlorine, a gaseous element. Until then such efforts had been frustrated by the exceptional aggressive-ness of the substance. Now it becomes possible to store, transport and process chlorine, an important raw material for the chemical industry, in liquid form. Its purity and easy transport-ability in gas bottles makes the product a bestseller for the expanding company.

18871885 1886

BASF in 1881: Belching smokestacks

BASF’s sulfuric acid plant around 1914

1888

Chlorine liquefaction – a sketch of this major invention in Rudolf Knietsch’s laboratory journal

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BASF’s new main laboratory: More room for research

There are now 18 small labora-tories at the Ludwigshafen site. Most, however are ancillary operations conducting trials and experiments, and some are even housed in huts – not a good basis for efficient research, which, even then, is necessary to keep up with the fierce competition for national and international trademarks, patents and process expertise. Research requires a more efficient organization and more staff. A dedicated research building is urgently needed. BASF builds its “main labora-tory” next to the administrative headquarters in 1888. At the same time, an analytical labo-ratory and pilot plant for small-scale trials are set up. A com-pany patent lab headed by Heinrich Caro is also established in the main laboratory to handle domestic and international patent issues.

In January 1890, a patent office, later to become the patent department, is established after Caro’s departure. A letter circulated by the management says: “From today, all patent matters will be attended to by Dr. Glaser, assisted by attorney Hecht, in the patent office.” The patent department is respon-sible for formulating, submitting and defending patent appli-cations, handling trademarks as well as dealing with patent dis-putes with competitors. Between 1877 and 1888, 60 patents resulting from the company’s re-search activities are registered in Germany. Between 1889 and 1900, the number of patent registrations rises to 468.

The multitude of newly developed dyes means customers in the textile industry need comprehen-sive care and advice. The various applications and production dye-works on the site can no longer meet this demand. As a result, a central technical dyeworks facil-ity is established in 1891, the forerunner of BASF’s technical service center (AWETA).

Eugen Sapper (1858 – 1912, chemist at BASF from 1883 to 1887 and 1890 to 1912) dis-covers the catalytic phthalic acid process, allowing phthalic acid, which is used to produce numer-ous dyes, to be produced more simply and more economically.

1888 18911889 1890

Indigo – “King of Dyes”: The decisive patent is granted in 1890.

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In 1892, BASF begins building Europe’s first public sanatorium for company employees with tuberculosis in Dannenfels in the Palatinate. A convalescent home is built in Kirchheimbolanden in 1904. In Albersweiler-St. Johann, a rest home for the wives and children of BASF blue and white collar workers opens in 1914. A convalescent center in Kirnhal-den in the Black Forest opens its doors to BASF employees in 1920/21.

Heinrich Brunck, the “father” of BASF’s social policy: On his 25th service anniversary 1894, “his” workers present him with a decorative commemo-rative memento.

1893 18941892

Veranda in Dannenfels, Europe’s oldest TB sanatorium, 1916

1895

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After 17 years of intensive re-search and 18 million gold marks in costs – more than BASF’s share capital at that time – BASF successfully launches its syn-thetic “pure indigo from BASF” in 1897, winning the race to manufacture the “king” of natural dyes. A profitable market is ex-pected to develop. However, indigo soon has to make way for an in-house rival. BASF’s color-fast and lightfast indanthrene dyes are increasingly replacing indigo. Indigo experiences a renaissance in the mid-1960s, when blue jeans become fashion-able for an entire generation and indigo becomes a pillar of BASF’s dye business for a second time.

From the Annual Report 1898:“Of all our new products, syn-thetic indigo is the most impor-tant. The expectations, which we had hoped existed on the basis of the product’s outstand-ing properties and its potential for acceptance and sales vol-umes, have been completely fulfilled. The results of practical trials soon convinced customers of the huge advantages offered by the new indigo and its appli-cations. Any doubts raised about the nature of the synthetic prod-uct compared with natural indigo in order to discredit the synthetic product had to, and were, dispelled.”

18991896 1897 1898

Price list cover 1896

“Built for its senior management and workers”: BASF’s Gesellschaftshaus

Dye labels for the Indian and Chinese markets: Labels are particularly impor-tant for selling dyes abroad. The sump-tuous motifs on tin cans wrapped in glassine paper serve as identifiers for the many end users in export countries who cannot read.

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1900

From the Paris World’s Fair catalog 1900: “Badische Anilin- & Soda-Fabrik is without question the largest chemical producer in the world. At its site in Ludwigs-hafen on the Rhine it employs 148 scientifically trained chemists, 75 engineers and technicians, and 305 commercial staff. The number of employees, which amounted to 30 in 1865, the year the company was founded, has risen steadily and totaled 6,207 on January 1, 1900.”

1900 sees the construction of the second major housing colo-ny. According to an excerpt from the Annual Report: “Land prices in the immediate vicinity of the site have soared unjustifiably. Speculators have made it virtu-ally impossible to acquire large parcels of land. We have sought a solution and found one. We have purchased a large es-tate (Limburger Hof) right next to the railway station in Mutterstadt, which is linked to our site by railway and is only 8 kilometers away. Here we plan to build a workers’ colony which we will be able to expand as required. Workers will be able to get direct-ly to the factory from there using specially organized trains.”

BASF’s Gesellschaftshaus opens at the end of December. The social center includes dining and social rooms for senior man-agement, a library with reading room for workers and a hall for festive events. The company’s social policy it represents is de-scribed as follows: “The manage-ment of BASF already demon-strated in the company’s early years that the responsibilities it has toward its workers and salaried staff are not restricted to the payment of wages and salaries on a scale determined by overall economic conditions…Many types of responsibilities had to be fulfilled. They were ini-tially restricted to the plant and covered accident prevention measures and sanitary and hy-giene measures. The latter were soon extended not only beyond the plant but to family members too, covering assistance for hous-ing, health care, medical treat-ment and prevention. Nor did they stop at physical welfare, but also included improving the eco-nomic situation of workers and promoting their cultural and intellectual welfare. Foundations and funds were established to secure as far as possible the long-term future of the work-

force, to help them in difficult situations and in this way en-courage and foster a sense of attachment to the company.”

The company’s social policy is initially driven by a sense of paternalistic care on the part of management. But BASF soon adopts the demands of contem-porary social philosophy and acts accordingly: Welfare ben-efits for workers should be seen not as a handout, but as a legal entitlement.

René Bohn (1862 – 1922, chem-ist at BASF from 1884 to 1920) discovers a new blue dye in 1901. Indanthrene blue RS surpasses indigo in colorfastness and light- fastness. The high-quality vat dyes (water insoluble textile dyes) developed from it provide color-ists with new applications for dyeing and printing textiles. The introduction of indigo and indanthrene gets a decisive boost from reducing and vatting agents “hydrosulfite conc. BASF” and Rongalit, which convert the dyes into a water-soluble form during the dyeing process.

1901

Cover page of acompany brochure

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At the turn of the century, the British chemist Sir William Crookes delivers a lecture to the British Association for the Ad-vancement of Science in Bristol titled “The Wheat Problem.” His audience hears that the wheat harvest depends on saltpeter from Chile. This fixed nitrogen is used as a fertilizer to increase agricultural yields and produce more food for the rapidly growing population. But land reserves in Europe in particular are depleted and Chile’s saltpeter reservesare running out fast. Nitrogen is therefore urgently needed as a plant nutrient.

Nitrogen is available in Europe – huge amounts of it in fact – but only in the atmosphere. Neither plants nor humans can make use of this inert substance because a technically feasible method of fixing atmospheric nitrogen in chemical compounds has not yet been discovered.

The results of Wilhelm Ostwald’s investigations into the effect of catalysts eventually pave the way for an application based on physical chemistry. Fritz Haber and Carl Bosch subsequently develop a process to fix atmo-spheric nitrogen and produce synthetic ammonia. In 1913, BASF starts operating the world’s first ammonia synthesis plant. Mineral fertilizer production begins, launching a new phase in the company’s history.

Whereas BASF has been exclu-sively a dyes company until now, it now becomes a supplier of agricultural products. At the same time, it moves into a completely new area of chemistry – high-pressure technology.

The introduction of high-pressure technology means a change in methods. Equipment becomes more complex. Chemists and engineers now need to work to-gether much more closely. The German chemical industry leads the world, and in some areas even holds a global mono-poly. Industrial growth seems unstoppable. But the First World War brings these promising developments to an end.

The Haber-Bosch Process and the Era of Fertilizers

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The inventors of ammonia synthesis: Carl Bosch and Fritz Haber. The apparatus used by Haber in the laboratory looks deceptively simple.

19051902 1903 1904

BASF at the turn of the century

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Coal is not merely a source of energy, it is also the chemical industry’s most important raw material at this time. To secure its raw material base, BASF, along with Bayer and AGFA, acquires the Auguste Victoria mine in Marl, Germany, in 1907.

From the Annual Report 1907: “Always mindful of improving the welfare of our staff, we launched a non-contributory workers’ pension scheme at the beginning of this year which will pay inval-idity pensions to workers based on certain guidelines. We also intend to grant workers a fully paid annual vacation of one week, including a holiday bonus payment, after 10 years of service.”

1908: The work of Fritz Haber (1868 – 1934, professor of chemistry at Karlsruhe and Berlin) suggests that the tech-nical synthesis of ammonia from nitrogen and hydrogen may be possible. The process requires high temperatures, high pressure and catalysts. BASF starts conducting intensive research under the direction of Carl Bosch (1874 – 1940, chemist, chairman of BASF’s Board of Executive Directors from 1919 to 1925 and of IG Farben from 1925 to 1935).

Patent document October 13, 1908: “Process for Synthe-sizing Ammonia from the Elements”

Poster announcing first provision of paid holiday

1907 19081906 1909

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In 1910, after extensive experi-ments, Alwin Mittasch (1869 – 1953, chemist and head of the ammonia lab from 1912 to 1932) finds the long-sought ideal cata-lyst for synthesizing ammonia: activated iron. The industrial production of ammonia requires extensive pioneer work: New types of steel have to be developed and tested, new reactor designs tried out, and special gas machines and compressors built.

The launch of machine-based data processing at BASF: In 1911, BASF is one of the first custom-ers of Berlin-based Deutsche Hollerith-Gesellschaft AG and is listed as client number six.

The technical implementation of the Haber-Bosch process faces failure. The new pressure vessels and pipes encased in reinforced concrete burst again and again. It is Carl Bosch himself who comes up with the solution: a double pipe with an inner mantle of soft iron and an external pres-sure-bearing but perforated steel casing. Nevertheless, further expert advice is needed. In order to solve the growing problems posed by materials and related safety problems, BASF sets up the chemical industry’s first materials testing lab in 1912. The main task of materials test-ing, then and now, is to identify and control problems in materials for instrumentation and process engineering.

A year after the groundbreaking, the first ammonia synthesis plant begins producing nitrogen fertil-izers in Oppau in 1913 – three kilometers north of the Ludwigs-hafen site. Annual output: 7,200 metric tons of ammonia to be processed into 36,000 metric tons of ammonium sulfate. Ninety years later, BASF has an annual capacity of 875,000 metric tons of ammonia in Ludwigshafen.

BASF’s clubhouse, the Vereins-haus, today known as the Feierabendhaus, is inaugurated. It provides function rooms, a library, a restaurant and a bowling alley that workers can use in their leisure time. The first edition of the company newspaper is published to coincide with the opening of the building on April 13, 1913.

1910 1911 1912 1913

The new Oppau plant around 1914: The Ludwigshafen plants can be seen in the distance.

BASF’s Vereinshaus later becomes the Feierabend-haus, where workers go to relax after work.

Interior view ofthe materials testing laboratory

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Carl Bosch wants fertilizers to be tested as thoroughly as dyes. Customers are to be given proper instructions for their use. This means extensive trials to determine the effect of fertilizers on soil and on plants. 1914 sees the opening of the Agricultural Research Station in Limburgerhof, near Ludwigshafen, to investigate fertilizers and plant physiology. This paves the way for BASF’s worldwide activities in the field of agricultural chemistry.

The First World War begins in August 1914. Germany pours its resources into the war effort, putting an increasing burden on the economy. For the first time, the war makes the new industrial society aware of the ambivalence of many products, including chemicals. Synthetic ammonia, for example, was developed to secure food supplies for a grow-ing population. Faced with a shortage of ammunition by the end of 1914, the government, however, assigns top priority to ammonia. It is converted into saltpeter at the Oppau plant and then delivered to the explosives industry.

Chlorine and phosgene, impor-tant intermediates used to manu-facture dyes and drugs among other things, are used as poison gas by the armies of both sides.

Fritz Günther (1877 – 1957, chem-ist at BASF from 1901 to 1938) discovers Nekal, a textile auxilia-ry, in 1916. It is the first synthetic surfactant. It reduces the surface tension of water and outperforms the washing performance of the soaps of the day. Such synthetic wetting agents are still used to-day in dishwashing and laundry products and without them a no-dry shine would not be possible. Other surfactants are used to manufacture emulsion paints and shampoos.

After several expansions of the Oppau ammonia facilities, the government orders the construc-tion of a second major produc-tion plant. A site in eastern Germany, away from the danger of air raids, is chosen. After a brief period of construction, BASF’s second ammonia plant in Leuna near Merseburg starts operating in April 1917. In Oppau, construction work starts on the Ammonia Laboratory, BASF’s second major research facility.

Entrance to the Agricultural Research Station in Limburger-hof and the first greenhouse

Simplifying the dyeing process: Nekal reduces the surface tension of water and stops yarn from floating in the dye bath.

Installation of a high-pressure reactor in the ammonia plant.

19161914 1915 1917

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By the end of the First World War in 1918, German dye manu-facturers have lost their leading position on the world’s markets. Production facilities, subsidiaries, associated companies, and sales companies abroad are confis-cated, as are patents registered abroad. Reparations imposed by the victors hamper economic recovery. BASF is occupied by French troops for several months and links to the eastern bank of the Rhine are severed.

Representatives of BASF’s senior management, salaried employees and workers found a joint com-mittee for education in 1919. This lays the foundation for to-day’s broad program of cultural events sponsored by BASF. Symphony and chamber concerts and a wide range of special events as well as extensive sports and leisure facilities are offered not only to BASF’s workforce, but also to their families and to the citizens of Ludwigshafen and the surrounding region.

The creation of the first German republic in November 1918 also leads to changes in the com-pany’s charter. The previously paternalistic approach to rela-tions between the company and its employees is replaced by mandatory codetermination rights. The first collective wage agreement in the chemical industry is signed in July 1919. It guarantees the eight-hour working day long demanded by labor unions. BASF’s first works council is elected in 1920; its representatives are admitted to the company’s Supervisory Board in 1922.

On September 21, 1921, the new Oppau site is rocked by a huge explosion that claims more than 500 lives and causes considerable damage to the site and neighboring community. The accident occurs during blasts carried out to loosen am-monium nitrate sulfate fertilizer stored in a warehouse.

At the memorial service, Carl Bosch says: “The disaster was caused neither by carelessness nor human failure. Unknown natural factors that we are still unable to explain today have made a mockery of all our efforts. The very substance intended to provide food and life to millions of our countrymen and which we have produced and supplied for years has suddenly become a cruel enemy for reasons we are as yet unable to fathom. It has reduced our site to rubble. But what is that compared to the victims whose lives this disaster has claimed. We stand here today helpless and powerless, and whatever we can do to comfort their grieving families and the injured is nothing com-pared to what they have lost.”

The Leuna site near Merseburg around 1920

1918 1919 1920 1921

Wartime emergency: BASF distributes food supplies to its employees.

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The lost war brings runaway in-flation to Germany. One U.S. dollar is worth 4.2 trillion marks. In 1923, BASF’s assets amountto 65,733,583,748 million marks. BASF tries to protect its work-force from the effects of the de-valuation. At the height of the crisis in 1923, the company in-troduces a new currency, the “aniline dollar.” For a short time, it becomes the most sought after banknote in the region.

The Haber-Bosch process means BASF becomes the first company to begin working on the many opportunities pre-sented by high-pressure tech-nology. It is this technology that will now shape large-scale chem-ical operations. In 1923, Matthias Pier (1882 – 1965, chemist at BASF from 1920 to 1949) suc- cessfully synthesizes methanol. Yet another of nature’s raw material monopolies is broken: Wood alcohol is dethroned by synthetic methanol. A year earlier, BASF had succeeded in producing urea on an industrial scale from ammonia and carbon dioxide – 100 years after Friedrich Wöhler had first synthe-sized urea in the laboratory.

In his attempt to improve the production of synthesis gas in the manufacture of ammonia, Fritz Winkler (1888 – 1950, chem-ist at BASF from 1916 to 1950) discovers the principle of the fluidized bed in 1924. This pro-duces an excellent combustiblegas during the process of coking fine-grain lignite. The Winkler principle is also the basis for the process developed by BASF in 1950 whereby pyrite is roasted in fluidized bed furnaces in the production of sulfuric acid.

19241922

Fritz Winkler and his sketch of an out-standing invention: The fluidized bed principle for coking lignite

The first shipment of methanol leaves the Leuna site on September 26, 1923.

In October 1923, BASF prints its own money: The “aniline dollar”

The Oppau site following the 1921 explosion

1923

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After the First World War, the situation for the population in Germany is alarming: The Kaiser has abdicated and the economic outlook is dire. Reparations, the dismantling of factories, a scar-city of coal and inflation prevent economic recovery. The Dawes Plan of 1924 stabilizes the cur-rency and brings an end to the conflict over reparations pay-ments. Business recovers and makes large-scale new invest-ments with foreign capital. But the prosperity of the 1920s is short-lived. The process of business consolidation accel-erated by the war continues. BASF merges with five other companies to form Interessen-gemeinschaft Farbenindustrie AG (IG Farben).

After the Wall Street Crash of 1929, the sudden and massive withdrawal of foreign capital also triggers an economic crisis in Germany that shatters the politi-cal structure of the young Weimar Republic. Mass unemployment and economic hardship provide a fertile breeding ground for the Nazis. In spite of severe mis-givings, President Hindenburg appoints Adolf Hitler as chancel-lor in 1933 and agrees to his demand to dissolve the Reichs-tag, the German parliament. Even before Hitler assumes power, the economy revives. After 1933, the economy benefits from the strong increase in public spend-ing. The fastest growing industries are construction, automotives, engineering and chemicals.

With the growing motorization of society, chemical science and the chemical industry focus on the hydrogenation of coal in the inter-war years because American experts believe that reserves of crude oil will dry up in the foresee-able future. New high-pressure technologies are used to find ways of synthesizing natural prod-ucts in order to be able to manu-facture them artificially (e.g., urea,

methanol, gasoline, rubber). Coatings raw materials and coat-ings are also developed. In ad-dition, pioneering work in acetyl-ene chemistry plays a significant role in the development of plastics.

The outbreak of the Second World War in September 1939 forces IG Farben to switch prod-uction to the war effort. The new products, in particular nitrogen, rubber and gasoline, assume great significance. During the war, the Ludwigshafen site is heavily bombed. By the end of the war in 1945, the extent of the damage is enormous: Of 1,470 buildings, 33 percent are completely destroyed, 61 percent partially damaged and only 6 percent unscathed. More than 400,000 cubic meters of rubble cover the site.

New Forms of High-pressure Synthesis

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Economic recovery is hindered by continuous political unrest, reparations obligations, the dis-mantling of factories, a lack of coal, transportation problems, the French occupation of the west bank of the Rhine River, and the establishment of a customs bar-rier on the Rhine. Representatives of the major chemical companies meet to discuss intensifying the loose form of cooperation estab-lished in 1916. They agree to carry out the necessary stream-lining of production and sales jointly. In 1925, the merger of BASF with five other companies (including Hoechst and Bayer) to form IG Farben is finalized. In late 1925, BASF is absorbed into IG Farben. The new com-pany’s headquarters are moved to Frankfurt. The Ludwigshafen and Oppau sites form the main part of the “Upper Rhine works group,” one of the four original IG Farben operating units.

Nitrophoska is registered as a trademark with the German Patent Office in 1926. The name reflects the three most important plant nutrients: nitrogen, phos-phate and potassium (“Kalium” in German). The fertilizer repre-sents something completely new because the concentration of nutrients is two to three times higher than in existing multi-component fertilizers.

A year later, Nitrophoska is launched on the market. Because each grain of fertilizer has a homogeneous composition it solves earlier problems en-countered when mixing various synthetic fertilizers of differing provenance.

Gasoline from coal: In 1913, Friedrich Bergius had already succeeded in obtaining liquid reaction products from coal using hydrogen and high pres-sure. BASF chemist Matthias Pier picks up on this idea and soon finds a way of translating the process to an industrial scale. At the end of 1927, the first shipment of gasoline derived from coal leaves the Leuna site.

Under the direction of Walter Reppe (1892 – 1969, chemist and member of the Board of Execu-tive Directors from 1952 to 1957), research begins in 1928 on the catalytic reactions of acetylene under pressure. Known as “Reppe chemistry,” this work makes it possible to develop numerous organic compounds and intermediates from simple building blocks using reactions such as technical vinylation, ethynylation, carbonylation and cyclization. Acetylene chemis-try is also one of the most impor-tant prerequisites for developing plastics.

During the severe winter of 1928/29, IG Farben launches the first antifreeze for cars, Glysantin. Compared with previously used additives – all of them merely makeshift solutions – it has clear advantages: a boiling point of 197 C (387 F), corrosion resist-ance, no separation, virtually no evaporation and a freezing point of minus 25 C (minus 13 F), which is suitable for central European winters.

1925 1926 1927 1928

Decisive meeting during negotiations between chemical companies: “The council of the gods” agrees to the IG Farben merger.

Walter Reppe explains the synthesis route for polyvinylpyrrolidone.

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The synthesis of styrene at the Ludwigshafen site in 1929 ushers in the plastics era. Over the fol-lowing years at the Ludwigshafen and Oppau sites, which now em-ploy 24,442 people, work begins on a new area of chemistry and physics: polymers. A series of these compounds is developed for large-scale production: poly-meric acrylic compounds (1929), polystyrene (1930), polyvinyl chloride (1931), polyisobutylene (1931), polyvinyl ether (1934), polyethylene (1937).

The syntheses of methanol and urea pave the way for the chemistry of urea-formaldehyde condensate products. Kaurit adhesive, based on urea and formaldehyde, is launched in 1931. It becomes a key product for the wood processing industry and for woodworking – in par-ticular with regard to conserving resources. Plywood becomes a high-quality material for a host of new applications and designs. Chipboard can now also be manufactured efficiently.

Carl Bosch and Friedrich Bergius receive the Nobel Prize for the development of high-pressure-technology for ammonia syn-thesis and coal hydrogenation.

1931 19321929

Polystyrene production 1934: The product is still packed in wooden barrels.

Nobel prize diploma for the development of high-pressure technology

Modest building but significant discoveries: Early work on the development of plastics is carried out here.

1930

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Adolf Hitler becomes German chancellor on January 30, 1933. In the following months, the Nazi party takes control of the “sociopolitical and ideological” aspects of the individual oper-ating units of IG Farben. The national socialist ideology also shapes day-to-day oper-ations at the Ludwigshafen and Oppau sites. The works library is “cleansed,” the site newspaper reorganized and on the first of May all employees take part in Labor Day marches. Military style roll calls become part of plant routine. After labor unions are banned, both employers (“leaders of the enterprise”) and employees (“followers”) are organized in the German Labor Front. This is the beginning of a development in which IG Farben also becomes inextricably en-meshed in the Nazi system over the following years.

Researchers in Ludwigshafen develop a groundbreaking new invention – magnetic tape. Expertise from several different areas is combined with ideal results. Since 1924, extremely fine carbonyl iron powder has been produced in Ludwigshafen for manufacturing induction coils for telephone cables. BASF has experience in manufacturing extra fine dispersions thanks to its dye production operations, and the development of film in the brand new field of plastics provides a suitable carrier medium.

In 1932, AEG and IG Farben agree to collaborate on the development of a magnetic re-cording device. The first 50,000 meters of magnetic tape are supplied in 1934. A year later, the first “magnetophones” are presented to the public at the 1935 Radio Fair in Berlin. In 1936, the Feierabendhaus hosts a very special premiere: An entire concert with Sir Thomas Beecham conducting the London Philharmonic Orchestra is recorded on magnetic tape.

Ten years of intensive research into synthetic rubber culminate in success. “Buna” is capable of replacing natural rubber. The first Buna tires are launched at the International Automobile Exhibition in Berlin in 1936. In the same year, the cornerstone is laid at IG Farben’s first Buna factory in Schkopau near Merseburg.

1933 1934 1935 1936

“Day of German Labor” in front of the Feier-abendhaus; the com-pany newspaper is now also forced to toe the party line.

Sensation at the 1935 Berlin Radio Fair: The magnetophone de-veloped by AEG with the new magnetic tape from Ludwigshafen.

Synthetic rubber production and its first application: Buna automobile tires

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IG Farben receives nine Grand Prix awards for its products and processes – including coal lique-faction, Buna and indanthrene – at the 1937 Paris World’s Fair.

A patent is filed in 1939 for one of the most interesting derivatves of acetylene chemistry: poly-vinylpyrrolidone (PVP). It is initially used as a blood plasma sub-stitute and later in a wide variety of applications in medicine, pharmacy, cosmetics and indus-trial production.

The outbreak of the Second World War in September 1939 forces a change to a war economy. With its synthetic products, in particu-lar nitrogen, rubber and gasoline, IG Farben also becomes part of this autarkic, coercive system. During the war, many male em-ployees are called up and replaced by women conscripts, prisoners of war and forced laborers from the occupied countries of Eastern Europe. Moreover, concentration camp inmates are put to work at IG Farben’s Buna factory in Auschwitz, commissioned on the orders of the German army high command in 1940.

19391937 1938

Paris World’s Fair 1937: View of the main exhibition hall

The Ludwigshafen and Oppau sites in 1939

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Times of war, 1940: The day in-tended to celebrate the company’s 75th anniversary is replaced by a normal working day. The long planned festivities are canceled. History repeats itself: The com-pany’s 50th anniversary could not be celebrated in 1915 because of the First World War. June sees the first air raids by Allied bombers on the Ludwigshafen and Oppau sites, but as yet the raids do not have a serious impact on production.

The first 20 tons of caprolactam-based polyamide are producedin Ludwigshafen. This opens up new ways of manufacturing fibers (nylon and Perlon) and engineering plastics.

Ludwigshafen engineers develop a new high-pressure tubular reactor for the continuous produc-tion of high-pressure polyethyl-ene (Lupolen).

A large-scale plant based on a three-stage process developed by Walter Reppe for the produc-tion of butynediol from acetylene and formaldehyde is built in 1941. This is IG Farben’s third Buna plant and links the hitherto sepa-rate Ludwigshafen and Oppau sites. The Buna plant makes a third power plant necessary: A coal-fired central power station is built and supplies the site with steam and electricity until 1999.

Massive air raids are launched on Ludwigshafen in 1943/44. More and more plants are hit, pro-duction drops drastically after mid-1944 and comes to a virtual standstill by the end of 1944.

1941 1942 1943

Air war: A Flying Fortress over the site on September 13, 1944

Buna plant: The head of a butynediol reactor tower is lowered.

1940

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1944

Factory landscape laid waste: A view from gate 3 after the war

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The post-war years are marked by streams of refugees, a short-age of housing and unemploy-ment. City centers, residential areas and industrial plants lie in ruins. Reconstruction under Allied control is difficult and pro-gresses very slowly. Production plants are dismantled, and the Allies, in particular the Soviet Union and France, confiscate goods as they come off the production line to satisfy their demands for reparations.

In May 1945, an 800-strong work-force starts production again at the Ludwigshafen site. Manufac-turing permits are required by the French military administration, and raw material and fuel alloca-tions are often more than meager. In November of the same year, the Allied Control Council orders the dissolution of IG Farben. After several years of demerger negotiations, Badische Anilin- & Soda-Fabrik is reestablished in 1952 as one of three successor companies of IG Farben.

The plan is to swiftly rebuild a sales network and expand produc-tion. BASF decides to build a new administrative building which is Germany’s first skyscraper over 100 meters high – visible testimony to a new beginning.

After the establishment of the Federal Republic of Germany on May 23, 1949, the first German government under chancellor Konrad Adenauer prepares Germany’s return to the west Euro-pean community of democratic nations. Germans’ acceptance of their new state goes hand in hand with an economic boom. Economics minister Ludwig Erhard is seen as the father of Germany’s economic miracle. With the introduction of the deutschmark, Erhard declares the end of the planned economy and ushers in a social market eco-nomy. This means that 10 years after the end of the war, the West German economy can stand on its own two feet again, strength-ened by currency reform and the Marshall Plan. In 1955, growth reaches a peak of 11.7 percent.

Growth in the plastics segment in the 1950s and 1960s is pheno-menal. Between 1953 and 1959 alone, annual plastics production in West Germany more than triples. Backed by its prewar re-search results, BASF is able to take a leading position in this development. Perlon and nylon – polyamide synthetic fibers dis-covered before the war – register sensational sales in the 1950s. Polyethylene is similarly success-ful. The use of polyethylene film for packaging launches a devel-opment that also revolutionalizes the entire method of production in the chemical industry. The raw material ethylene can only be made in large amounts and cost-effectively from oil and natural gas. The age of petrochemicals begins. By the end of the 1950s, BASF paves the way for its first production facilities abroad with the production of Styropor, a product developed from poly-styrene in 1951 that proves a huge success worldwide.

A Fresh Start, the Economic Miracle and the Dawn of the Age of Plastics

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The Ludwigshafen and Oppau sites lie in ruins in 1945, flattened by 65 air raids and more than 40,000 bombs. One-third of the plants are completely destroyed, and the rest is badly damaged. A starving, freezing and war-weary population begins to rebuild the site. Little by little, buildings are reconstructed and production restarted.

The first postwar works council elections take place in 1947. The close cooperation between employee representatives and management, especially during the years of reconstruction, leads to the adoption of a series of social policies that are laid down in the first works agreement in 1955.

Carl Wurster (1900 – 1974, chair-man of the Board of Executive Directors between 1952 and 1965) describes the reestablishment of BASF in 1953 thus: “The years of reconstruction between March 1945 and the currency reform of June 21, 1948 have surely been the most difficult years in BASF’s history. What we have achieved would have been unthinkable with-out the dedication of the entire workforce, who carried out their challenging duties loyally under difficult conditions and with far too little food.”

BASF’s workforce rises to 21,951 by 1948.

The severe explosion of a rail tanker in the southern part of the site claims more than 200 lives and destroys many newly com-pleted buildings.

1945 1946 1947 1948

The southern tip of the Ludwigshafen site after reconstruction

BASF employees rebuild their site: Foreman Rudolf Schuster and pipe-fitter Otto Sößer in the Oppau gas plant

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A new area of application is launched in 1949: The herbicide U46 is marketed after three years of tests at BASF’s Agricultural Research Station. U46 is a selec-tive herbicide mainly used in cereal crops.

1951 sees the discovery of a plastic destined to conquer the world’s markets: Styropor. The rigid white foam is 98 percent air and captures air’s key attribute: its excellent insulating properties. Civil engineers and packaging designers alike are enthusiastic. The foamed plastic material is just as popular for insulating roofs, walls and ceilings as it is for packaging fragile china or frozen foods.

After protracted demerger nego-tiations, Badische Anilin- & Soda-Fabrik is founded as one of three successor companies of IG Farben on January 30, 1952. Although the company’s head-quarters have not been on the Baden side of the Rhine River in Mannheim since 1919, the tradi-tional name is adopted again and is to remain for a long time to come. It is not until 1973 that the Annual Meeting adopts a resolu-tion to update the company’s name to BASF Aktiengesellschaft.

A new company philosophy is also needed. Within the IG Farben conglomerate, Ludwigshafen was for a long time mainly a supplier of raw materials and a manufac-turer of high-pressure equipment. The non-existent administration needs to be established, business areas restructured, expanded and redeveloped. And, crucially, export markets need to be developed.

1951 19521949 1950

The first Styropor is produced in these molds made from shoe polish cans.

From the Annual Report 1952: “The reconstruction of the Ludwigshafen site continued to make good progress in 1952 and is approaching completion in the most important areas. Reconstruction has been carried out according to a long-term plan that also enabled fundamental modernization, which will be re-flected in both higher production volumes and lower production costs in the next few years.”

Patent for Styropor

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In 1953 in collaboration with Deutsche Shell, BASF founds the first German petrochemical production plant, Rheinische Olefinwerke GmbH (ROW), in Wesseling on the Rhine River between Bonn and Cologne. The company mainly produces the plastic polyethylene under the BASF trademark Lupolen. Oil displaces coal as a raw material for chemical syntheses. Hydrocarbons produced from oil have demonstrated their benefits. From now on, BASF’s chemists refine oil, oil derivatives and natural gas. In Germany too, a new era in chemistry begins: the era of petrochemicals.

From the Annual Report 1954:“We must be prepared to carry out certain manufacturing projects abroad in the near future in order to keep pace with develop ments. We assume that such measures will also benefit our international business over the long term.”

In 1955, BASF acquires new rest homes for its employees. Along with the original facilities close to Ludwigshafen, convales cent homes now exist in Breitnau in the Black Forest and in Wester-land on the North Sea island of Sylt.

The synthesis of hydroxylamine by catalytic hydrogenation of nitrogen oxide with hydrogen in 1956 makes it possible to pro-duce caprolactam, a precursor for synthetic polyamide fibers, cost-efficiently. Stockings made of this material become afford-able. Engineering plastics with exceptional properties can now be developed. The properties of the Ultramid range, for example, feature high strength and high melting temperatures. These pro-ducts are used as top-quality electrical insulating materials for a wide variety of components and machine parts.

1953 1954 1955 1956

Portable music: One of the first tran-sistor radios made of Lupolen, a BASF polyethylene

Entering the age of oil together: BASF builds ROW, a plastics production facility, in collaboration with Shell in Wesseling.

Runaway hit of the 1950s: Women’s stockings made of nylon/Perlon. Slot machine for stockings in Berlin, 1953 (Photo: Ullstein)

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In 1957, BASF builds a 102 meter-high office block, a clear symbol of reconstruction and a fresh start. The Friedrich Engelhorn building is Germany’s first skyscraper built with reinforced concrete. Its simple design is remarkable. The façade consists of 11 million tiny glass mosaic tiles. The sales department moves into the Friedrich Engelhorn building in March. According to the Annual Report, “The working conditions are pleasant, the building operates economically, and the short dis-tances ensure organizational simplicity.” The BASF skyscraper becomes a Ludwigshafen land-mark. In 1996, the façade is re-placed by a glass and aluminum skin.

For the first time since the war, BASF starts building production facilities outside Germany in 1958 and opens up new markets by establishing joint ventures. BASF and Dow Chemical jointly set up Dow Badische Chemical Company in Freeport, Texas, which produces basic chemicals and fiber intermediates, and later fibers. The joint venture, which Dow exits 20 years later, forms the springboard for BASF’s current U.S. operations. In France, BASF founds Dispersions Plastiques S.A. with French partners to manu-facture Styropor and acrylate-based polymer dispersions. In Argentina, Sulfisud S.A. is es-tablished in collaboration with local companies for the manufac-ture of dyestuff auxiliaries such as hydrosulfite or Rongalit. BASF Group companies continue to operate in France and Argentina.

BASF shares are listed on the Paris stock exchange at the end of 1959 and in early 1960 on three Swiss exchanges in Zurich, Basel and Geneva.

BASF in Brazil: Idrongal, founded by BASF and Brazilian partners for the production of polymer dis persions, Styropor and textile auxiliaries starts operating in Guaratinguetá in 1955. With 12 production plants making more than 750 products and a total annual capacity of 260,000 metric tons, Guaratinguetá is currently BASF’s largest site in South America.

In 1960, BASF supplements its range of dyes in line with devel-opments in textile fibers. It adds Palanil and Basacryl for dyeing synthetic fibers to its existing dyes for wool and cotton. Other developments follow: Six years later, the first Cottestren dyes are developed for cotton/polyester blends. In 1978, the range is ex-tended to include dyes suitable for printing these blends.

The breakneck pace of growth during Germany’s economic miracle leads to a labor shortage and the country looks for migrant labor from abroad. The federal labor office opens a branch in Italy in 1960, the same year in which BASF hires its first Italian em-ployees. These are followed by workers from Spain, Greece, Yugoslavia and Turkey, as well as Brazilians of German extraction and Vietnamese refugees. Today BASF employs around 2,300 non-Germans from 79 countries.

1959 19601957 1958

Once the tallest building in Germany: BASF’s Friedrich Engelhorn building

The Freeport site in the 1960s

View of the dyeworks of the textiles applications department

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1961 sees the launch of Floranid, the first synthetic organic slow-release fertilizer.

BASF’s research facilities are re-organized in 1962. The plastics and dyestuffs laboratories be-come independent units along-side the two traditional facilities: the central research laboratory and the ammonia laboratory. This means key application areas can be more closely integrated. At the same time, the link be-tween research and departments responsible for production and applications is enhanced.

In 1963, Yuka Badische Company Ltd. begins producing Styropor in Japan. Due to the hurdles facing non-Japanese companies in the Japanese market, the plant is operated as a joint venture with a Japanese partner. BASF takes the same approach in its other Japanese operations, and it is not until 1988 that BASF opens its own plant for the production of auxiliaries. Today, around 37 per-cent of BASF’s sales in Japan are from products manufactured in the country.

From riverside to seaside: BASF establishes a site in Antwerp, Belgium, in 1964. It soon becomes BASF’s second largest European site. Easy access to raw materials and excellent transportation links to overseas customers fuel this development. The site produces fertilizers, fiber intermediates, plastics and chemicals.

A brand new selective herbicide for use in sugar beet cultivation, Pyramin, is launched in 1964.

“Explaining chemical and physical processes scientifically, perform-ing plant projections, identifying the optimal operating conditions for chemical processes, swift accounting and administrative processes, data processing for documentation purposes” – these are the new tasks of the punch card center described at the inauguration of BASF’s first computer center. The technology is new too: The last tabulating machines are replaced by elec-tronic mainframe computers.

1961 1962 1963 1964

View of a laboratory in the 1960s: No sign of computers yet

Determining the color and color strength of textile dyes

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New horizons in environmental protection: After lengthy trials with various types of furnace, the first two rotary furnace residue incinerators start operating. Today, eight furnaces play a key role in BASF’s waste disposal concept.

Key punch operators at BASF’s computer center

BASF’s Antwerp site in 1968 and today

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Germany’s economic boom con-tinues until the mid-1960s, but in 1967 the country slides into reces-sion for the first time. Gross do-mestic product drops by 0.2 per-cent instead of rising 8 percent per year as it had done until now. Instead of too few workers there is now too little work. There are public demands for the state to rethink its policies and to play an active role in economic develop-ment. The government eventually introduces long overdue reforms.

The investment program and a stability law introduced by a grand coalition of the two main parties helps the country to regain full employment and a booming economy that lasts until the oil crisis in October 1973. Rising prices and a dropin output by the oil-producing countries plunge the global economy into its most serious crisis since the great depres-sion of 1929.

Ludwigshafen also undergoes a change in the years following 1960. The development of further production sites abroad will allow

BASF to operate even more effi-ciently and establish a presence in all highly industrialized coun-tries and markets. Top priorities are to secure the company’s raw materials base and expand the product portfolio to include con-sumer oriented and higher value products. Environmental aware-ness, research performance, innovation and globalization be-come critical market factors. BASF makes substantial invest-ments in emerging markets, in particular in South and East Asia in the years after 1990.

A key element of this develop-ment is BASF’s Verbund principle, which dates back to the found-ing of the company. The principle is systematically transferred to new production sites and is a crucial success factor in a highly com petitive business. Basic chemicals and intermediates play a key role in the Verbund system because they can be used for different syntheses in many areas. Of all chemical companies, BASF has the largest range of these chemicals.

The end of the Cold War, the fall of the Berlin Wall and German unification lead to more political and structural changes in the early 1990s. Although this decade brings changes and challenges for BASF too, the company sticks to its established course and in-vests in eastern Germany, in the new Schwarzheide site.

Since the beginning of the new millennium, transnational compa-nies such as BASF have become more important with the growing globalization of markets, corpo-rate strategies and site systems. BASF is actively involved in Ger-many’s ongoing structural trans-formation toward research and science based industries and is using it as an opportunity to un-lock new business potential. Sustainability, profitability, team spirit and even greater customer focus are key elements that mark out BASF’s route to the future. That this happens in a farsighted and responsible manner and at the same time with self-confi-dence and energy is something that is symbolized by BASF – The Chemical Company.

The Path to Becoming a Transnational Organization

2006

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Mining at BASF’s Auguste Victoria coalmine

“The founders of BASF recog nized from the outset that one can only successfully compete in dyes and other high-performance chem-ical products in the long term if one produces the necessary raw materials and precursors to a large extent oneself and if one promotes and funds research. Accordingly, they created a sys-tem which BASF has followed for 100 years and which has played a key role in the company’s suc-cess.” This is how Carl Wurster describes BASF’s first 100 years in the anniversary year of 1965. The centenary year also marks the beginning of a new stage in the company’s history: BASF ex-pands worldwide by building or acquiring new production sites at home and abroad; BASF moves production closer to its markets.

BASF secures energy supplies at its Ludwigshafen site. The power station in Marl starts oper ations, generating electricity from ballast coal from the Auguste Victoria mine until 1990. The electricity is fed to the Ludwigs-hafen site via the utility company Rheinisch-Westfälische Elektrizi-tätswerke.

Great efforts are also made to drive integration toward higher value products. In its centenary year, BASF acquires Glasurit pro-ducer M. Winkelmann AG, one of Europe’s largest coatings com-panies. This is the first step toward a consumer-focused market. The acquisition of Dr. Beck & Co. AG in 1967 is a valuable addition to the Glasurit production range. The company specializes in manufac-turing insulating coatings and materials for the electrical indus-try. BASF adds industrial and con-struction coatings to its product portfolio in 1968 by acquiring a majority stake in Herbol-Werke Herbig Haarhaus AG. Two years later, in 1970, it strengthens its position in pigments and printing inks by acquiring two further com-panies, Siegle and Kast + Ehinger. These acquisitions lay the foun-dation for BASF Coatings, which is today one of the world’s top three manufacturers of automo-tive (OEM) coatings and automo-tive refinish coatings.

After eighteen months of con-struction, BASF’s magnetic tape plant in Willstätt on the Rhine River near the Swiss border starts operations in 1966. The plant produces audio and video cas-settes, electronic storage media as well as printing plates for the graphics industry.

BASF Española S.A. is founded in Barcelona and starts produc-ing Styropor in Tarragona three years later. Today, Tarragona is one of BASF’s most important sites in Europe. Along with Styro-por, it also produces polystyrene, dispersions, additives for animal nutrition and agricultural products. Since 2004, BASF operates the world’s largest propane dehydro-genation facility in Tarragona as part of a joint venture.

The Flotzgrün landfill on the Rhine River near Speyer begins operating. BASF Aktiengesell-schaft uses the controlled land-fill to store inert solid waste.

In 1967, phthalic anhydride, an important intermediate for plasti-cizers, is manufactured using a new and cost efficient process. Continuous production is now possible, and o-xylene now repla-ces naphthalene as a raw mate-rial. BASF is the leading producer of phthalic anhydride today.

In the same year, BASF Australia begins manufacturing Styropor. Today, BASF produces disper-sions in Australia.

In the Realm of Chemistry: 100 years of BASF

19661965 1967

Direct contact with the customer: Glasurit coatings used at Volkswagen AG

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BASF acquires Nordmark-Werke GmbH, Hamburg, in 1968. This pharmaceutical company, found-ed in 1927, specializes in drugs to treat diseases of the central nervous system, changes in the blood, and cardiovascular and infectious diseases. This marks the beginning of BASF’s phama-ceutical activities

Nyloprint, a photopolymer print-ing plate developed by BASF is launched. The new printing plates soon prove superior to traditional plates. BASF Printing Systems introduces a new form of book printing that permits the direct transfer of data on to the printing plate in 2002, and a special print-ing plate for security printing in 2003. In 2004, BASF sells its print -ing systems business. The activ-ities focused on a fringe area between chemistry and techno-logy and were moving further and further away from chemistry and hence from BASF’s core businesses.

Bernhard Timm (1909 – 1992, chairman of BASF’s Board of Executive Directors from 1965 to 1974) addresses staff celebrat-ing their service anniversaries in 1968: “After a successful and in the history of our industry proba-bly unique reconstruction effort that naturally first and foremost benefited the Ludwigshafen site, BASF has systematically expand-ed to become a global group. Numerous facilities at other sites and associated companies with other partners have been added to the Ludwigshafen hub with its strong centralized research facil-ities; its versatile, highly experi-enced operations; its engineering expertise and newly restructured sales organization; and all its sup-port services. On the long road from turning simple raw materials into high-performance chemical products this has given us a unique opportunity to select those oper ating conditions that offer optimum returns. In addition, by widening the base of our opera-tions, we are also creating the

foundation for us to strengthen in the upper stories of our chemical structure, and thus for surviving in an increasingly tough competi-tive environment.”

BASF employs 86,428 people worldwide in 1968.

Phthalic anhydride plant: Freestanding Palatal stack to vent waste gases (center) and waste gas scrubbing facility (foreground)

1968

Magnetic tape plant in Willstätt: Production starts in 1966.

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In 1969, the acquisition of Wintershall, one of Germany’s oldest oil and gas companies, gives BASF access to its own petrochemical feedstocks. A statement issued by the boards of both companies says: “The collaboration between our two companies and the coordination of refining opportunities with the requirements of the chemical industry in processing raw mate-rials will lead to the maximum possible economic benefit. By combining our financial strength, the opportunities in oil produc-tion and processing can be utilized more swiftly and more effectively.”

BASF acquires Wyandotte Chemicals Corporation in Wyan-dotte, Michigan, and thus signifi-cantly expands its U.S. opera-tions. The corporation’s main sites are in Wyandotte and in Geismar, Louisiana. The product lines of the two companies are a perfect match: Wyandotte’s strong posi-tion in basic chemicals such as

ethylene and propylene oxide and in polyurethane chemistry means that BASF can use its expertise to develop its performance chem-icals business with profitable derivatives such as crop protec-tion agents and organic inter-mediates.

The acquisition of Wyandotte in North America and at the same time the purchase of a stake in the Elastomer/Elastogran Group in Europe (100 percent stake acquired in 1971) paves the way for BASF’s entry into polyure-thanes – foamed plastics that are widely used in automotive pro-duction and in sport and leisure equipment.

In 1970, Wintershall Group and Salzdetfurth Group combine their interests in potash and salt to form a new company, Kali und Salz AG. Together, they own 14 potash and salt plants in West Germany.

The range of engineering plas-tics is expanded. Ultraform GmbH, founded in collaboration with Degussa, begins producing an acetal copolymer. Ultraform is suitable for all applications re-quiring rigidity, dimensional sta-bility and wear resistance.

The reward for more than 10 years of research and development: World-scale plants for the produc-tion of vitamin A and E come on stream. Other nutritional prod-ucts – for example various carot-enoids – are gradually added to the product range.

19701969

Crude oil feed at Wintershall

1971

Microscope photo-graph of a vitamin A acetate crystal under polarized light

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In 1972, the first Committee of Executive Representatives is es-tablished to represent the inter-ests of senior executives.

The first oil crisis in 1973 leads to prolonged turbulence in the glo-bal economy. Its impact is also felt by BASF in raw materials pur-chasing, production and energy supply.

After 17 years of research and planning, the first wastewater treatment plant at the Ludwigs-hafen site starts operating in December 1974. It is a biological purification plant and the key element in a sophisticated water concept that uses separate canal systems for wastewater and cooling water and pretreatment systems in numerous plants. Built at a cost of DM 500 million, it is one of the largest facilities in Europe. In terms of capacity, the treatment plant could purify the wastewater of between six and seven million people. It treats not only wastewater from the Ludwigshafen site, but also municipal wastewater from the cities of Ludwigshafen and Frankenthal and the community of Bobenheim-Roxheim.

The plant is continuously improv-ed and upgraded. In the 1990s, BASF wastewater experts work to reduce the amount of ammo-nium – a substance that can over-enrich water systems with nutri-ents – in wastewater. In 1995, BASF makes a voluntary commit-ment to reduce its nitrogen emissions to the Rhine River by 50 percent.

Since 2001, the plant has used a nitrification process, enabling BASF to more than halve the amount of nitrogen it discharges into the Rhine annually: In 2004, BASF discharged 856 metric tons compared with 3,500 metric tons in 2001. To lower nitrogen emis-sions even further, BASF extends its voluntary commitment in 2004.

Another important step in weed control: Basagran controls hither-to difficult weeds in cereal crops and above all in the cultivation of the major subtropical crops soy-beans and rice. Basagran has an additional advantage: When used in combination with other herbi-cides, it plays an important role in no-till farming systems developed to prevent soil erosion in the American Midwest and in Brazil.

BASF’s wastewater treatment plant: One of the largest in Europe

1972

Ultraform in Playmobil toys – still used today

1973 1974

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BASF broadens its pharmaceu-tical activities: The company acquires a majority stake in Knoll AG, headquartered in Ludwigs -hafen, in 1975. In addition to phar-maceuticals, Knoll’s product range includes pharmaceutical active ingredients, fine chemicals, hospital supplies and hygiene products. BASF raises its stake in the Knoll Group to 100 percent at the end of 1982.

A second plant for the produc-tion of the plastic polypropylene starts operating in 1977 at Rheinische Olefinwerke GmbH (ROW) in Wesseling, a joint ven-ture between BASF and Deutsche Shell. A special feature is a new gas phase process developed by BASF that has an excellent envi-ronmental profile and that enables the production of extremely rigid and hard polypropylene grades that are particularly suitable for engineered components.

BASF starts operations at a plant for the production of an annual 90,000 metric tons of propylene-based acrylic acid in Ludwigs-hafen. Until now, BASF has pro-duced this exceptionally important and versatile chemical raw mate-rial using the Reppe process, in which carbon monoxide and water are added to acetylene. This is another success for pro-cess developers, who have spent several years working on the controlled catalytic oxidation of organic compounds with air. Technical success is followed by financial success: Today, BASF has an annual acrylic acid capac-ity of more than 800,000 metric tons and is global market leader in glacial acrylic acid and acrylic esters. Some of the most well

known end products based on these acrylic monomers include polymer dispersions for adhe-sives, coatings and paper finish-ing; superabsorbents for baby diapers and other hygiene prod-ucts; nonwoven fabrics; plas-tics; fibers; and water-treatment chemicals.

Production begins in Indonesia. BASF initially manufactures magnetic tape cassettes and inorganic pigments and pigment preparations. Later on, production is extended to include various areas of chemistry, in particular dispersions and process chemicals.

19771975

Headquarters of Knoll AG in Ludwigshafen

1976

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BASF acquires 100 percent of Dow Badische Company in Williamsburg, Virginia, in 1978. The move provides a broader base for further expanding BASF’s chemical operations and its then important fiber business in North America.

Matthias Seefelder (1920 – 2001, chairman of BASF’s Board of Executive Directors from 1974 to 1983) states at the 1980 Annual Meeting: “We are leaving the 1970s behind with good results, but it has nevertheless been an economically turbulent decade. Looking back, we can see how deeply the conditions for our busi-ness have changed. The company itself has also changed signifi-cantly over the past decade. We have systematically expanded our supplies of raw materials and feedstocks and, at the same time and in the other direction, system-atically invested in higher value and consumer-focused products. The increasingly narrow scope for growth in the traditional industri-alized countries has made it necessary for us to expand our activities worldwide in order to use our expertise on a global basis. As we expect these trends to intensify in the 1980s, we have decided to refine our organiza-tion. Worldwide product steward-ship will thus become our over-riding principle.”

One of BASF’s largest individual investments in Ludwigshafen starts operations: the DM400 million steam cracker, which pro-duces the key products ethylene and propylene from crude petro-leum, also known as naphtha. The naphtha is supplied by pipe-line from the aromatics plant of the Mannheim refinery on the other side of the Rhine River – an advantage of BASF’s Verbund system. Today, the steam cracker receives naphtha from all over the world by ship as well as by pipeline from Rotterdam.

BASF establishes a joint venture in South Korea with Hyosung. It begins producing Styropor in 1982 and polystyrene in 1985. In 1988, a joint venture is set up to produce the polyurethane basic material MDI. Today, BASF has four production sites in South Korea and more than 1,000 employees.

Fascinating technology: Steam cracker in Ludwigshafen

1978 19801979

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Development of BASF’s range of fragrances: Plants that manufac-ture citronellal, citronellol and hydroxycitronellal using proprie-tary processes go on stream in 1982. These are components of fragrances used in soaps and detergent scents.

BASF acquires a vitamin plant in Grenaa from the Danish com-pany Grindsted, supplementing its existing vitamin production.

Poast, a grass herbicide devel-oped by BASF, is launched in 1983. It is mainly used in soy-beans and cotton.

In 1984, Hungary becomes the first state-controlled economy in which BASF invests. Kemipur GmbH, a joint venture established between the BASF Group company Elastogran and Hungarian partners, produces polyurethane components. Elastogran acquires a majority stake in 1991. In the same year, BASF Hungaria Kft. is estab-lished as an independent dis-tribution company.

19831981

Multipurpose fermen-tation plant: Natural fragrances and flavors and vitamins are pro-duced using micro-organisms.

1982 1984

Poast improves cotton and soybean harvests.

Testing fragrance compositions in the laboratory

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To strengthen its position in the key North American market, BASF makes a number of major acqui-sitions in 1985: It buys Celanese’s advanced composite materials business, and the purchase of American Enka doubles BASF’s fibers operations, which are concentrated entirely in North America. At the time, both busi-nesses are seen as having huge potential.

The acquisition of Inmont repre-sents a decisive step in opening up the North American coatings and printing inks market.

At the turn of 1985/86, BASF’s activities in North America are consolidated in the new Group company BASF Corporation. Today, BASF has around 10,000 employees in North America and generates more than 20 percent of its sales in the region.

The goal of today’s human re-sources policy is to achieve a better work/life balance. BASF Aktiengesellschaft introduces its parent and child program in 1986 to enable employees to take parental leave for an extend-ed period of time after the birth of a child. At the end of this period, parents are guaranteed a job comparable to their previ-ous work. Eleven years later, a company teleworking agreement comes into effect. The new work-ing model enables employees to work from home, save commut-ing time and react flexibly to their families’ needs.

Advances in biotechnology: Synthetic vitamin B2 is used in medicine and animal nutrition. It compensates for deficiencies in animal feed and improves its efficacy. Until now, vitamin B2 has been produced using a tradi-tional chemical process. In 1987, BASF develops a biotech-nological method in which vita-min B2 is made from vegetable oils in a single microbiological step. New biotechnological pro-cesses are also developed to produce natural flavors that are becoming increasingly popular as additives in beverages and milk products, for example. Biotech-nology and genetic engineering processes are also used to con-duct research into syntheses for pharmaceutical active ingredients.

In 1988, BASF acquires the polymer dispersions business of Polysar Ltd., a Canadian com-pany operating mainly in North America. Polymer dispersions are used as binders to manufac-ture coated paper and board as well as nonwoven fabrics. They are also used for carpet back-ings, adhesives and coatings, in leather and textile production, the construction industry and a large number of special applica-tions. BASF, now a leading global manufacturer of polymer disper-sions with a broad product port-folio, had a very limited presence in this area in North America until this date.

A major investment in environ-mental protection: Following an investment of more than DM200 million, the flue gas desulfurization facility for BASF Ludwigshafen’s central coal-fired power plant starts operations. The second part of the flue gas treatment system, a plant for removing nitrogen oxides – is completed in 1990.

BASF Corporation in North America: The Geismar site

1985 19871986 1988

Synthetic vitamin B2 is produced in a single step thanks to biotechnology.

BASF Corporation in North America: The Freeport site

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BASF’s new environmental moni-toring center begins operating in Ludwigshafen in 1989. The center collects data from 43 monitoring stations (today: 46). The atmo-spheric monitoring stations mea-sure ground-level air pollutants, wind data and other meteorologi-cal data in and around the site. Measurements include sulfur dioxide, nitrogen oxides, carbon monoxide, ozone, dust and or-ganic carbon compounds. Cooling water discharged into the Rhine River is also monitored, as is the toximeter in the inflow of the wastewater treatment plant, which sounds an alarm in an emergency. Noise pollution data are also transmitted to the center. Employees and local residents can contact the environmental control center around the clock, and all calls are followed up.

On the occasion of BASF’s 125th anniversary in 1990, Hans Albers (1925 – 1999, chairman of the Board of Executive Directors between 1983 and 1990) says: “Chemistry for the future is only possible if we have clear goals, support the changes going on around us and are willing to help shape them… By moving into promising markets, BASF is ad-justing to the challenges of grow-ing and changing demand… Through our responsible behav-ior, we have a duty to prove that chemistry and nature are not incompatible but form a whole. This is especially true for environ-mental protection, where our worldwide expertise enables us to develop innovative solutions on our own initiative.”

As part of BASF’s growing world-wide presence, BASF’s shares are listed on the Tokyo stock exchange, at the time the world’s largest, on November 27, 1990. The move underscores the com-pany’s involvement in the Asia Pacific region, with a focus on Japan.

BASF is also asked to join a col-laborative research venture by Japan’s Ministry of International Trade and Industry (MITI), and is the first non-Japanese company to be invited.

BASF acquires Agfa Gevaert Group’s magnetic tape operations and reorganizes its magnetic media business. The production and marketing of its tapes, cas-settes and diskettes are incorpo-rated in a new subsidiary, BASF Magnetics GmbH.

BASF acquires Synthesewerk Schwarzheide AG in eastern Ger-many. The new subsidiary, named BASF Schwarzheide GmbH, manufactures polyurethane basic materials and specialties. In the following 10 years, around DM2 billion is invested to rede-velop, modernize and expand the site. As part of a site marketing initiative, other companies have set up at the site since 1998 and work closely with BASF Schwarzheide.

Wintershall AG and the Soviet company Gazprom, the world’s largest gas producer, agree to jointly market natural gas from the USSR. This involves planning, building and operating new natu-ral gas pipelines and distribution networks as well as jointly selling natural gas in Western Europe. As part of the agreement, Winters-hall invests more than DM4 bil-lion to construct the long distance pipelines MIDAL and STEGAL and the natural gas storage facil-ity in Rehden, Germany.

Another investment for the environment: The ecology laboratory

1989

Manned around the clock: BASF’s environmental control center in Ludwigs-hafen

1990

Main gate of the Schwarzheide site in 1991 and 1996

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BASF inaugurates a new ecology laboratory in Ludwigshafen in 1991. Its tasks include ecobiolo-gical and environmental analyses of individual substances, prod-ucts and wastewater.

The end of the coal era: The Auguste Victoria mine in Marl, which has supplied BASF with coal since 1907, is sold to Ruhrkohle AG.

BASF’s first plant in China, de-signed in-house and built in colla-boration with a Chinese partner, is inaugurated in Nanjing in 1992. The plant produces unsaturated polyester resins (UP resins) main-ly for use in boat and container building. Further plants built with Chinese partners follow in suc-ceeding years.

A plant for the production of tetra-hydrofuran (THF) and polytetra-hydrofuran (PolyTHF) is built in Yokkaichi, Japan. The products serve as starting materials for plastics and elastic spandex fibers, for example for the manu-facture of high-quality panty-hose and leisurewear.

Kali und Salz AG (K+S) merges with Mitteldeutsche Kali AG in 1993 to form Kali und Salz GmbH. K+S holds 51 percent of the share capital with the remaining 49 percent held by Treuhand, the government agency charged with privatizing East German industry after unification. The merger al-lows for rationalization and struc-tural adjustments to take place across what is now a single German potash industry. In the course of further adjustments to its portfolio, BASF disposes of its majoity stake by the end of the 1990s.

The Board of Executive Directors introduces a BASF Innovation Award for the first time. The award is intended to demonstrate the importance of innovation to BASF and to honor innovative employ-ees. In 1993, the award is present-ed for the development of the cereal fungicide Opus and Palio-crom effect pigments.

BASF inaugurates a new steam cracker in 1994 in Antwerp. It costs DM1.3 billion and is the largest facility built thus far. The steam cracker completes the product Verbund and guarantees the company’s supply of petro-chemical feedstocks.

Joint venture in China: Production facility for UP resins in Nanjing

1991 19931992 1994

Only 125 grams of active ingredient per hectare required: Cereal fungicide Opus

Steam cracker at BASF’s site in Antwerp

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BASF inaugurates its new site in Altamira, Mexico, in 1995. The site, strategically positioned in the NAFTA trade zone, initially produces dispersions, process chemicals, Styropor and dyes.

Jürgen Strube (b. 1939, chair-man of the Board of Executive Directors from 1990 to 2003) says at the 1996 Annual Meeting: “Our growth is strongest in Asia because the economic music being played there is especially loud and stirring. We intend to play too and want to take our place at the first desk in the future. Our customers think exactly the same and are expanding their presence in China, Korea and India, too. We see this not only as an oppor-tunity for BASF to secure a stable position by moving swiftly into the Asian market, but also as a commitment to supporting our customers as they build up their businesses in Asia.”

BASF plans one of the world’s largest production facilities for acrylic monomers in Kuantan, Malaysia, in collaboration with the Malaysian state-owned com-pany PETRONAS. The new plant also paves the way for a BASF Verbund site in Kuantan. Almost simultaneously, BASF launches another large scale pro-ject in China: the construction of a petrochemical Verbund site in Nanjing in cooperation with strategic partner SINOPEC.

BASF strengthens its agricultural products business with another acquisition: part of the worldwide corn herbicide business of Sandoz AG. The move enables BASF to increase its sales of agricultural products, above all in North America, the world’s biggest market for herbicides.

The launch of mildew fungicide Brio provides the breakthrough to a completely new class of fungicidal active ingredients: strobilurins.

In 1997, BASF establishes Targor, a joint venture with Hoechst, for the polypropylene operations of both companies. The company is headquartered in Mainz and has production sites in Germany, the Netherlands, the United Kingdom, France and Spain.

RWE Power’s combined heat and power (CHP) plant begins oper-ating at BASF’s Ludwigshafen site. The natural gas-fired plant oper-ates according to the principle of cogeneration – the combined production of electricity and steam – and has a fuel efficiency of close to 90 percent.

BASF-LYNX Bioscience AG re-ceives swift approval to operate a genetic engineering laboratory in Heidelberg and begins work-ing on genetically modified micro-organisms. The company is renamed Axaron Bioscience four years later. BASF remains the biggest shareholder.

The Korean KOHAP group acquires BASF’s worldwide magnetic tape activities.

1995

BASF builds a modern production site, stra-tegically located in the NAFTA trade zone, in Altamira, Mexico.

1996

Conserving resources through state-of-the-art power plant technology: The combined heat and power plant in Ludwigs-hafen

1997

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BASF Corporation, New Jersey, and FINA Inc. of Dallas, Texas, begin construction of the world’s largest naphtha steam cracker in Port Arthur, Texas, in 1998.The steam cracker is located at FINA’s refinery site and is opera-ted by BASF. Since its startup in December 2001, the facility pipes propylene and ethylene as well as other feedstocks to BASF’s Verbund sites in Freeport, Texas, and Geismar, Louisiana.

BASF and Shell found Elenac, a joint venture for ethylene pro-duction. In 1999, BASF and Shell decide to merge Elenac, Targor and Montell into a polyolefins joint venture named Basell.

BASF’s stock market listing is converted from par-value shares (DM5 and DM50) to no-par-value shares, making it easier to convert the share capital to euros later on.

Together with other major German companies, BASF is one of 16 founding members of the Remem-brance, Responsibility and the Future foundation in February 1999. As a gesture of reconcilia-tion, the companies donate funds to the foundation to provide pay-ments to surviving forced labor-ers and other victims of the Nazi regime. In addition, a “fund for the future” is set up to support projects aimed at promoting inter-national understanding. Alongside its humanitarian goal, the foundation aims to achieve comprehensive and permanent legal certainty for all companies including their overseas parent groups or subsidiaries. BASF do-nates DM110 million to the fund. After intensive negotiations, the final declaration to establish the Remembrance, Responsibil-ity and the Future foundation is signed on July 17, 2000.

Along with its Swedish partner, seed manufacturer Svalöf Weibull, BASF establishes its own com-pany for plant biotechnology re-search: BASF Plant Science. BASF owns 85 percent of the company; the remaining 15 per-cent is held by Svalöf Weibull. The company conducts research worldwide within the two partner companies, in various joint ven-tures and also as part of research agreements with universities. The goal is to develop new busi-ness fields in agriculture and nutrition, for example plants that are resistant to cold or drought, or that contain omega-3 fatty acids to provide protection from cardiovascular disease.

After three years of development, BASF is one of the first chemical companies to introduce an eco-efficiency analysis. This new tool makes it possible to analyze a product’s lifecycle from the “cradle to the grave” and in this way balance economic and envi-ronmental considerations. The analysis considers raw materials and energy consumption, emis-sions and the various options for recycling and disposal. If a prod-uct is neither eco-efficient nor able to be improved, alternatives are sought.

A compounding plant for Ultramid and Ultradur goes on stream in Pasir Gudang, Malaysia. Six years later, annual capacity is increased from 30,000 to 45,000 metric tons.

BASF Plant Science: Research conducted by the SunGene joint venture in Gatersleben, eastern Germany

1998 1999

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BASF agrees to acquire the crop protection business of American Home Products Corporation (AHP) in 2000, doubling the global sales of its Agricultural Products division.

BASF shares are traded on the New York Stock Exchange (NYSE), the world’s largest finan-cial center, for the first time on June 7.

The first plants at BASF’s first Verbund site in Asia, in Kuantan, Malaysia, begin production. With its three value-adding chains (acrylic monomers, oxo alcohols and butanediol), the Kuantan Verbund site is a key element in BASF’s strategy in the Asia Pacific region.

The Chinese government gives BASF and its Chinese partner SINOPEC the green light to con-struct a petrochemical Verbund site in Nanjing. Groundbreaking takes place in 2001, and the project makes BASF the largest foreign chemical company to invest in China. The joint venture uses state-of-the-art technology to build and operate a steam cracker and nine downstream plants on a 220-hectare site on the Yangtze River.

In order to enhance its competi-tiveness, BASF merges its tex-tile dye operations with DyStar, a joint venture with Bayer and Hoechst. BASF’s indigo dye for jeans and its portfolio of vat, dis-persion and reactive dyes com-plete DyStar’s existing range. The new Frankfurt-based Dystar Textilfarben GmbH & Co. Deutschland KG becomes the world’s largest supplier of textile dyes. BASF holds a 30 percent stake, Bayer und Hoechst 35 per-cent each.

Abbott Laboratories Inc., Illinois, acquires BASF’s pharmaceuticals business in March 2001.

The acquisition of the vitamins business of Takeda Chemical Industries Ltd., Japan, makes BASF the world’s second largest producer of vitamins.

A production plant for F 500, a new fungicidal active ingredient used in BASF products Opera‚ Cabrio and Comet, goes on stream in Schwarzheide in September 2001.

In June 2001, BASF becomes one of the first companies to estab-lish a Sustainability Council. The Council is responsible for imple-menting the principles of sustain-able development throughout the company.

BASF’s presents its new organiza-tional structure in July 2001 under the name “Fit for the Future.” The company further sharpens its customer focus and improves its market presence with 38 regional and 10 global business units.

In July 2002, BASF becomes a founding member of Global Compact, a United Nations ini-tiative in which NGOs, corpora-tions, international business and labor representatives as well as members of the scientific and political community work together to promote responsible growth. With its membership, BASF com-mits itself to promoting and im-plementing the Global Compact’s principles in the areas of human rights, labor standards and envi-ronmental protection. BASF addi-tionally carries out joint projects with representatives from the public sector and/or NGOs.

2000 2001 2002

F 500 plant in Schwarzheide

Members of the Board of Executive Directors and the chairman of the New York Stock Exchange (third from left) at the first listing of BASF’s shares

Paper finishing: Polymer dispersions improve the appearance of paper and make it printable.

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BASF receives approval to build an integrated production complex for polytetrahydrofuran (PolyTHF) and tetrahydrofuran (THF) in Shanghai. With an annual capa-city of 60,000 metric tons, the new plant will be the world’s largest. PolyTHF is an important compo-nent in the manufacture of elas-tomer fibers for the textile indus-try. Ellba Eastern (Pte.) Ltd., a 50-50 joint venture between Shell and BASF for the production of styrene and propylene oxide and the largest of its kind in Asia, starts operations in Singapore.

BASF consolidates its position as global market leader in acrylic acid and acrylic acid derivatives with the launch of the world’s largest production plant for super-absorbents in Antwerp.

BASF launches the Ludwigshafen Site Project under the motto “Site future here & now!” with the aim of securing and strategically developing the company’s oldest site. An important feature is the appointment of a site manager for the Ludwigshafen site.After running for three years, the project is successfully completed in 2005. The cost level of the Ludwigshafen production site will be sustainably reduced by €480 million per year.

A new plant for polymer disper-sions starts operations in Hamina, Finland. The plant mainly pro-duces coating binders for the paper industry. Hamina is BASF’s most northerly production site.

A new state-of-the-art logistics center opens at the Ludwigshafen site in 2003. It is Europe’s largest chemicals terminal for packaged products and replaces around 50 smaller external storage facilities in Ludwigshafen and Mannheim. The new center spares the region 25,000 truck journeys per year.

The acquisition of the insecticide fipronil and other selected seed treatment fungicides from Bayer CropScience strengthens BASF’s agricultural products portfolio.

BASF acquires Honeywell’s engi-neering plastics business and in turn sells the U.S. company its nylon fibers business.

Gazprom, Russian Federation, – the world’s largest producer of natural gas – and BASF subsidi-ary Wintershall establish the Achimgaz joint venture to devel-op gas deposits in the Urengoy field in western Siberia.

A new world-scale plant for the production of high-purity methane sulfonic acid starts operations at the Ludwigshafen site. The pro-duct, which is mainly used in the electronics industry, is manu-factured using a novel process developed by BASF that produces virtually no emissions.

For the first time, BASF announc-es long-term, globally valid goals for environmental protection and safety and reports on goal attainment.

2003

BASF’s Verbund site in Kuantan, Malaysia, grows.

Gas for Europe: Russian gas from Siberia is piped more than 5,000 kilometers.

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Dr. Jürgen Hambrecht (b. 1946, chairman of the Board of Executive Directors since 2003) states in 2004 on the company’s advanced strategy: “We have given our route to the future a name: BASF 2015. All of us must align our day-to-day work with four strategic guidelines:– Earn a premium on our cost of capital – Help our customers to be more successful – Form the best team in industry– Ensure sustainable development BASF is “The Chemical Company,” and through BASF 2015 we will remain the world leader in the chemical industry. This promise and claim underline our confident approach to the future. Our renewed strategy is expressed in our brand and in our new logo and corporate design.”

BASF acquires Foam Enterpris-es, United States, strengthening its polyurethane systems for rigid foam applications. Applications for such systems include roof and wall insulation, walk-in coolers, spas and boat floatation.

In Sighisoara, Romania, BASF subsidiary Wintershall starts producing natural gas together with Romgaz. The production alliance aims to extract 300,000 cubic meters of natural gas per day.

Procter & Gamble launches BASF’s Basotect foam on the European market under the trade-mark Mr. Clean Magic Eraser and honors BASF with an award for outstanding cooperation and innovation.

BASF starts operations at its new 40,000 metric ton world-scale plant for citral in Ludwigshafen. This fine chemical intermediate is the starting material for the production of vitamins A and E, carotenoids and a range of aroma chemicals.

BASF, Bayer and Hoechst sell their holding in DyStar, the Frankfurt-based manufacturer of textile dyes, to the U.S. private equity group Platinum Equity.

In January 2005 BASF acquires the worldwide electronics chemicals business from Merck KgaA, Germany. This makes BASF a leading supplier of electronics chemicals for the rapidly growing semiconductor and flat screen industries.

BASF begins building up a regional shared service center in Kuala Lumpur, Malaysia. This will take over financial and account-ing services, information technology and human resourc-es for BASF Group companies in 15 countries in the Asia Pacific region. BASF’s European Shared Service Center, the BASF Services Europe GmbH, starts up in Berlin.

Together with a further eight companies, BASF founds the Wissensfabrik – Unternehmen für Deutschland (Knowledge Factory – enterprises for Germany). The initiative fo-cuses on education and promoting entrepreneurs.

The most prestigious chemical company in the world - BASF. This was the outcome of a survey conducted by the US business magazine “Fortune”.

BASF and Shell Chemicals sell their 50:50 joint venture Basell, a worldwide leading producer of polyolefins.

The new, highly efficient gas and steam turbine power station at the Ludwigshafen site officially goes on the grid.

2004

The citral plant in Ludwigshafen supplies the key building block for BASF’s fine chemicals: Citral is the starting material for producing vitamins A and E, carotenoids and a range of aroma chemicals.

BASF-YPC Co. Ltd. delivers the first 20 metric tons of methyl acrylate to customers in January 2005.

Sparks start to fly! Employees weld the first two pieces of the future NEGP together.

2005

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In collaboration with the Chinese company SINOPEC, BASF inaugurates its new inte-grated Verbund site in Nanjing, China. A steamcracker and nine down-stream plants went into operation as planned. The new site represents BASF’s biggest investment in its history so far. The total investment of both partners amounts to $2.9 billion. BASF and SINOPEC sign a $500 million agreement in July 2006 for expanding the Nanjing site.

Construction work on the North European gas pipeline (NEGP) is underway. This marks the start of work for the German-Russian joint-venture North European Gas Pipeline Company founded by Gazprom, BASF and E.ON.

BASF supplements its portfolio. The aim is to acquire businesses that are even more customer-oriented, as well as innovation and growth driven.

The acquisition of Engelhard Corporation, USA, in June 2006 is the biggest takeover in BASF’s corporate history. Through the merger of the two companies, BASF becomes a worldwide leading supplier in the dynami-cally growing catalytic converter market and, at the same time, is set to expand into growth markets, such as special pigments.

BASF takes over the worldwide construction chemicals business from Degussa AG, Germany. This includes production sites and sales centers in over 50 countries, as well as a research and development center in Trost-berg, Germany.

The takeover of the resins specialist Johnson Polymer is also finalized by BASF, thereby rounding off its resins portfolio with water-based technology and strengthening the market presence of the company, especially in North America.

BASF opens its first research center for nanotechnology in Asia. Up until 2008, €13 million will flow into the new center in Singapore.

Toray BASF PBT Resin Sdn. Ber-had, a 50:50 joint venture of BASF AG and Toray Industries Inc., Japan, commences operation according to plan of its worldscale plant for the production of polybutylene terephthalate (PBT) at the Kuantan, Malaysia Verbund site.

BASF, Huntsman and its Chinese partners celebrate commission-ing of the integrated isocyanates production complex at the Chemical Industry Park in Shanghai, China. This is BASF’s second largest investment project in China. The isocyanates MDI and TDI are important primary products in the production of polyurethanes. BASF and The Dow Chemical Company lay the foundation stone for the production of propylenoxide (PO) based on hydrogen peroxide (HP) in the world’s first HPPO plant at the BASF site in Antwerp, Belgium.

Propylenoxide is an important primary product for the polyure-thane industry.

Once again BASF enters the renowned Climate Leadership Index. This index includes companies that make a special contribution in the field of climatic change and in reducing greenhouse gases.

2005

Catalyst testing facility in Union, New Jersey, USA.By integrating Engelhard into BASF, both companies‘ strong talent, technology and unique applications expertise shall be leveraged to the full extent.

2006

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The company’s first logo shows the Stuttgart horse and the coat of arms of Ludwigshafen – a standing Bavarian lion holding a shield with an anchor. The logo was created in 1873 to symbolize the merger with the Stuttgart companies of Knosp and Siegle.

This logo was replaced in 1922 by the BASF oval, which, however, was employed only for fertilizers. It remained in use until after World War Two. In 1955, it was divided into four rather than two fields, with ears of wheat adorning the lower half.

In 1952, BASF returned to its traditional trademark of the horse and the lion but in a slightly altered form – the letters BASF in the crown above the coat of arms plus the year 1865 were added. This logo was used until the 1960s.

Just one year later, in 1953, the company developed a logo consisting, for the first time, of four narrow letters. This logo was used in parallel with the horse and lion for several years.

The logo used after 1968 was named the “briquette”: The new logo consisted of four plain white letters on a black block.

Since 1968, there had been moves to replace the decorative logos of the early years. In 1973, Badische Anilin- & Soda-Fabrik AG changed its name to BASF Aktiengesellschaft. In the interests of corporate identity and corporate design, a new Group-wide logo was introduced in 1986.

In March 2004, BASF launched a new corporate design together with new corporate colors. The letters BASF are preceded by two matching squares that stand for partnership and cooperation to ensure world-wide success.

The logo is completed with the claim “The Chemical Company,” to underline the fact that BASF is the world’s leading chemical company.

The BASF logo over the years

Page 59: BASF Historical Milestones 1865-2006
Page 60: BASF Historical Milestones 1865-2006

The majority of the trademarks in this publication are owned by BASF Aktiengesellschaft or by BASF Group companies or associated companies.

BASF Aktiengesellschaft Community RelationsEO/PC – C 10067056 LudwigshafenGermanyPhone: +49 621 60 20979Fax: +49 621 60 20364E-mail: [email protected]

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