BASF is repositioning its global pigments business. Following the Ciba acquisition, the chemical company now has the broadest product portfolio worldwide. After an in-depth analysis of the combined operations, the company will eliminate specific products and adapt production capacities to market developments. As a consequence, approximately 500 of the current 2,900 jobs in the global pigment production will be eliminated. The measures, which mainly concern azo pigments and phthalocyanines, will begin this year and are expected to be completed by 2013. BASF currently operates 22 production sites for pigments worldwide.
   
“At six sites in North and South America as well as in Europe we will close individual production plants. At six other sites in Asia and Europe, we will expand existing capacities or make better use of them,” said Markus Kramer, president of BASF’s dispersions and pigments division.
   
In Europe, approximately 320 positions will be cut by 2013. This will mainly affect the sites in Paisley, Great Britain, and in Grenzach, Germany. Approximately 90 positions will be cut at the South American site in Guaratinguetá, Brazil. The cuts at the North American sites in Louisville, KY, and Elyria, OH, will total about 80 positions.
   
“By streamlining our portfolio we will mainly eliminate overlaps within our combined portfolio. At the same time we are reducing overcapacities,” said Andreas Türk, group vice president of the BASF unit global restructuring management pigments. “All sites that are not directly involved in the production consolidation process will undergo regular checks establishing optimization potential.”