BASF announced that it has started the process of divesting its shares in two 1,4-butanediol (BDO) joint ventures, BASF Markor Chemical Manufacturing (Xinjiang) Co., Ltd. and Markor Meiou Chemical (Xinjiang) Co., Ltd. in Korla, China.

As part of its global strategy for 1,4-butanediol, BASF has assessed the market environment and product carbon footprints (PCF) of BDO and its downstream products from different production sites worldwide, the company said.

“BDO value chains are under increased competitive pressure and characterized by global overcapacities,” the German chemical company said in a statement.

Carbide-based BDO and polytetrahydrofuran produced in Korla have a significantly higher product carbon footprint (PCF) due to the use of coal as a base raw material and the high energy intensity of the production process, BASF said.

In the future, BASF will customize its global portfolio of BDO and affiliated downstream products to provide competitive low-PCF offerings.

Source: BASF