BASF to Cut Costs and Sell Silicates Business to PQ

BASF plans to reduce fixed costs by 20% by 2029 and sell its silicates unit to PQ. CEO Markus Kamieth noted the restructuring will likely lead to job cuts.

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BASF SE will reduce net cash fixed costs in its core businesses by up to 20% by 2029 and sell its silicates unit to PQ (a U.S. rival). The cost-cutting initiative represents one of the largest optimization programs in the history of the Germany-based chemical group. Investors are weighing the impact of a leaner operating model against the execution risks of a multi-year restructuring.

### Efficiency Drive Targets Fixed Costs Chief Executive Markus Kamieth told the Handelsblatt newspaper that the program functions as a new operating system for the company. The plan aims to lower fixed costs significantly by 2029 through a more streamlined corporate structure. Kamieth noted the transition will likely lead to job cuts as the firm moves toward a core business with fewer employees.

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