German chemical giant BASF invests $1bn in China

The world's top chemicals firm, Germany's BASF, announced Tuesday the start of work on new projects in China with a total value of around $1 billion (780 million euros). In collaboration with its Chinese partner Sinopec, BASF confirmed in a statement that it would begin construction work on a new polymer plant in mid-2012, as well as three more major chemical plants. The firm also said it had completed the construction of a huge petrochemical site in Nanjing city in eastern China, worth $1.4 billion. Martin Brudermueller, vice-chairman of the BASF board, said the site would "bring vital chemical products and solutions to China that will directly support local industries as they strive to meet the needs of a rapidly developing population." BASF was one of the first major chemical companies to invest heavily in China, taking advantage of its low labour costs.