BASF Shuts Down Two Major Care Chemicals Plants in India
Due to severe overcapacity in the Indian market, high production costs, and continued pressure on profit margins, BASF India plans to shut down its sulfuric acid plant and low-temperature reactor at the Dahej production site by the end of 2026.
The company’s board of directors approved the shutdown plan at its meeting on August 4. The announcement stated that the competitive landscape in India’s local industry had changed dramatically, directly leading to severe overcapacity across the industry, persistently high costs, and a substantial squeeze on business profitability.
The suspension can only be implemented after completing all statutory regulatory approval procedures.
The Dahej base care chemicals-related business generated revenue of INR 542 million in FY2025–2026 (approximately RMB 38.32 million), accounting for about 4% of BASF India’s total revenue.
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