Basf(US:BASFY) DT新材料·2025-11-03 14:17Core Viewpoint - BASF is restructuring its PolyTHF™ business by consolidating operations in China and shutting down production in South Korea, signaling a shift towards efficiency and cost-effectiveness in the global chemical market [2][4][5]. Market Dynamics - PolyTHF (PTMEG) is a significant downstream product of 1,4-butanediol (BDO), consuming approximately 50% of BDO's production capacity, while biodegradable plastics account for only about 5% [2]. - The demand for PTMEG is driven by the expanding spandex industry, although actual spandex demand has not increased, leading to declining industry profits [3]. Production Capacity - Domestic PTMEG production capacity has reached around 1.5 million tons per year, with over 90% of PTMEG used for spandex production [3]. - BASF's consolidation will create a network of three major production bases in China, Germany, and the USA, maintaining a total capacity of around 250,000 tons [5]. Strategic Moves - BASF's decision to close the Ulsan plant in South Korea reflects a broader trend of multinational chemical companies focusing on cost and efficiency rather than geographical diversification [4][6]. - The company has made significant investments in China, totaling over €13 billion by the end of 2024, to enhance production and R&D capabilities [6].