BASF Commissions World’s First Fully Renewable Steam Cracker in China

BASF Commissions World’s First Fully Renewable Steam Cracker in China

(IN BRIEF) BASF has successfully commissioned the steam cracker at its new Verbund site in Zhanjiang, China, making it the first such facility worldwide to run its main compressors entirely on renewable energy. With one million metric tons of annual ethylene capacity and multiple downstream plants now operational, the site strengthens BASF’s integrated value chains in China and sets a benchmark for sustainable chemical production.

(PRESS RELEASE) LUDWIGSHAFEN, 8-Jan-2026 — /EuropaWire/ — BASF has completed the successful commissioning of its steam cracker at the newly developed Verbund site in Zhanjiang, southern China, marking a major milestone in the company’s global production network. The facility is the first steam cracker worldwide to operate its main compressors entirely on renewable electricity, setting a new benchmark for sustainable chemical manufacturing.

As the central hub of the Zhanjiang Verbund complex, the steam cracker plays a foundational role in supplying key base chemicals, including ethylene and propylene, to multiple downstream plants on site. With an annual ethylene capacity of one million metric tons, the cracker serves as the starting point for numerous chemical value chains, converting hydrocarbon feedstocks such as naphtha and butane into essential building blocks for a wide range of industrial and consumer applications.

The start-up follows the recent commissioning of several downstream units at the Zhanjiang site. BASF has now also brought plants for ethylene oxide, ethylene glycol and polyethylene safely into operation, further expanding the integrated production platform. Together, these facilities strengthen BASF’s ability to supply the fast-growing Chinese market with locally produced, high-quality chemical products.

Dr. Stephan Kothrade, member of the Board of Executive Directors of BASF SE and Chief Technology Officer, said the successful start-up represents a key step in reinforcing BASF’s value chains in China and enhancing its ability to support customers across multiple industries.

Once fully developed, Zhanjiang will become BASF’s third-largest Verbund site globally, after Ludwigshafen in Germany and Antwerp in Belgium. The site is designed as a model for sustainable production, with electricity supplied entirely from renewable sources. By producing closer to customers, BASF aims to improve supply security, reduce logistics-related emissions and align with long-term sustainability goals in one of the world’s largest and fastest-growing chemical markets.

About BASF

At BASF, we create chemistry for a sustainable future. Our ambition: We want to be the preferred chemical company to enable our customers’ green transformation. We combine economic success with environmental protection and social responsibility. Around 112,000 employees in the BASF Group contribute to the success of our customers in nearly all sectors and almost every country in the world. Our portfolio comprises, as core businesses, the segments Chemicals, Materials, Industrial Solutions, and Nutrition & Care; our standalone businesses are bundled in the segments Surface Technologies and Agricultural Solutions. BASF generated sales of €65.3 billion in 2024. BASF shares are traded on the stock exchange in Frankfurt (BAS) and as American Depositary Receipts (BASFY) in the United States. Further information at www.basf.com.

Media Contact:

Antje Schabacker
Corporate Media Relations
Phone: +49 (0) 621 60-41706
antje.schabacker@basf.com

SOURCE: BASF

MORE ON BASF, ETC.: