BASF Advances Electronic Materials Manufacturing Investment at Nanjing Jiangbei New Area in China

BASF has formally committed to building a new electronic materials production site in China, signing an investment agreement with Nanjing Jiangbei New Area on November 3, 2026.

The announcement was made in Nanjing, where the facility will be located within the Nanjing Jiangbei New Area Materials High-Tech Park.

BASF Plans Semiconductor Materials Plant in China

The agreement sets out plans for a plant that the German chemical company says will broaden its manufacturing capabilities for semiconductor materials in the country.

According to BASF, the site is intended to enhance supply chain resilience and strengthen customer support through a "local-for-local" approach, in which products are manufactured close to the customers who use them.

The company framed the investment as part of its commitment to supporting China's growing semiconductor industry through local manufacturing, technical expertise, and reliable supply.

Executives Point to Regional Footprint

Two senior BASF figures addressed the strategic reasoning behind the project in statements issued with the announcement.

Jens Liebermann, Senior Vice President and head of BASF's Global Electronic Materials business, said the investment strengthens the company's local manufacturing footprint.

"Through this investment, we are strengthening our local manufacturing footprint to better support our customers and contribute to the continued development of China's semiconductor industry," he said.

Gops Pillay, President of the Global Operating Division, described the agreement as a further step in the company's regional strategy.

"The investment marks another important milestone in BASF's 'local-for-local' strategy," Pillay said.

Building on the company's existing presence in Nanjing, he added, would further strengthen BASF's manufacturing, supply chain, and technical support network and enable it to better serve customers in the region.

The company also emphasized that the investment is designed to support the growth of China's semiconductor industry through local production, technical expertise, and customer collaboration.

Start-Up Targeted for End of 2028

BASF expects the facility to come on stream by the end of 2028.

Beyond its production role, the company says the site will function as a platform for closer collaboration with customers and partners across the semiconductor value chain, with the stated aim of accelerating the development of semiconductor technologies through local expertise and cooperation.

The new site builds on what BASF describes as its strong existing presence in Nanjing.

According to the company, that presence will be reinforced by the project, which is expected to strengthen its manufacturing, supply chain, and technical support network in the region.

What the Electronic Materials Business Does

The investment falls under BASF's Electronic Materials business, which the company says enables digital technologies through chemicals, formulated materials, and process solutions serving the semiconductor, display, and metal systems industries.

BASF positions itself as a trusted materials partner to the semiconductor industry, drawing on deep chemical expertise and a strong understanding of semiconductor manufacturing processes. Its offering in this field includes high-purity process chemicals and formulated solutions that support semiconductor technologies.

According to the company, its solutions are designed to help customers meet increasingly demanding requirements for performance, quality, and reliability.

The portfolio extends beyond semiconductor materials: the business also supplies functional materials and process chemicals for display applications, as well as specialized metal systems for industrial and consumer electrical and electronics applications.

BASF says it drives innovation across the electronics value chain through close collaboration with customers and strong research and development capabilities.

The Parent Company Behind the Project

The new production site is backed by BASF, which describes its ambition as being the preferred chemical company to enable its customers' green transformation, combining economic success with environmental protection and social responsibility.

The BASF Group employs around 95,000 people, who, according to the company, contribute to the success of customers in nearly all sectors and almost every country in the world.

The company's portfolio is organized around the core segments Chemicals, Materials, Industrial Solutions, and Nutrition & Care, with standalone businesses bundled in the Surface Technologies and Agricultural Solutions segments.

In 2025, BASF generated sales of around USD 67.13 billion. Its shares trade on the stock exchange in Frankfurt under the ticker BAS and in the United States as American Depositary Receipts under the ticker BASFY.

Context: A Semiconductor Market in Focus

The agreement in Nanjing adds to the picture of a chemical producer aligning its manufacturing network with the needs of the semiconductor sector in China.

The company's stated rationale rests on three elements set out in the announcement: local manufacturing, technical expertise, and reliable supply.

The choice of Nanjing Jiangbei New Area Materials High-Tech Park as the location reflects the company's stated approach of building where it already has operations and customer relationships.

With start-up scheduled for the end of 2028 and a mandate that includes collaboration across the semiconductor value chain, the site is positioned by BASF as both a production asset and a base for joint development work with customers and partners.

No financial terms of the investment agreement were disclosed in the announcement. Details on the facility's planned capacity, workforce, or specific product lines were likewise not provided, with the company's public statements focusing on the strategic intent, the timeline, and the role of the site within its Electronic Materials business and its broader "local-for-local" strategy.