Sustainable Development: BASF Walks the Talk
   
  BASF has committed itself to the principles of sustainable development as one of its corporate goals. Realizing these principles on a day-to-day basis at a global company is a major challenge because the economic, environmental, social and cultural framework differs from country to country.
   
  The Economic Dimension of Sustainable Development
   
  BASF entered the China market in 1885. Over the past 120 years, BASF has become one of the largest foreign investors in China’s chemical industry.
   
  The company currently has over 4,000 employees and operates 16 wholly owned subsidiaries and 8 joint ventures. In order to stay in tune with local markets, the company maintains 8 offices in Hong Kong, Beijing, Shanghai, Guangzhou, Nanjing, Qingdao, Chengdu and Taipei. In 2005, BASF achieved sales of close to EUR 2.8 billion in Greater China..
   
  The Environmental Dimension of Sustainable Development
   
  Economic considerations do not take priority over environmental protection at BASF. In 2003, the costs of operating environmental protection facilities throughout the BASF Group amounted to EUR667 million. In the same period, we also invested EUR159 million in new and improved environmental protection plants and facilities. These capital expenditures cover both end-of-pipe measures and production-integrated environmental protection measures.
   
  Responsible Care®: This is a global initiative by the chemical industry to continuously improve its performance in the fields of environmental protection, safety and health. BASF committed itself to the concept of responsible action as early as 1992. Internal key initiatives in Asia Pacific include safety, health and environment audits, industry certification, emergency response and waste treatment, as well as training workshops and road shows. In China, our external activities comprise education programs for schools and universities, CAP-like initiatives (CAP = Community Advisory Panel) and audits of third parties such as suppliers and contractors. BASF also provides training on safety and product stewardship to customers and distributors.
   
  Eco-efficiency analysis: BASF pioneered the eco-efficiency analysis. This strategic tool allows us to consider both financial and environmental aspects in the product development and optimization processes and then choose the most eco-efficient solution. The analysis looks at the complete lifecycle of a product from raw material extraction to recycling or disposal. This cradle-to-grave comparison with other products and processes then enables BASF to develop the best possible products with the highest environmental and cost efficiency.
   
  Further reduction of global emissions to air and water by 2012: BASF Group announced in July 2003 its long-term and global environmental and safety goals in the fields of emissions to air and water; occupational and distribution safety; and product stewardship.
   
 
Reduction to emissions to air Goals 2012
Greenhouse gases per metric tons of sales product -10%
Air pollutants -40%
Reduction to emissions to water 2012 Goals
Organic substances -60%
Nitrogen -60%
Heavy metals -30%
   
  In the last two years, BASF came another step closer to achieving these ambitious goals. For instance, emission of heavy metals to water was cut by 23 percent compared to 2002, with efforts made to optimize wastewater treatment plants. Greenhouse gas emissions per metric ton of sales product were also reduced by 1.4 percent despite increasing production by 13 percent, while lost time accidents were down by 40 percent. BASF Greater China is an important contributor to all of the above achievements.
   
  Just like other countries in Asia Pacific, China has its own environmental regulations that specify limits of emissions to air, emissions to water and solid wastes which are strictly followed. Monitoring systems are also clearly defined, such as periodic checks by authorized agencies in China. BASF collects data of emission inventory from individual sites regularly and publishes a Responsible Care Report. The data serve as the basis for continuous improvements. Each site will commit yearly to environmental targets.
   
  Innovation-integrated environmental protection
   
  Environmental friendliness is an important factor in turning a product innovation into a business success. Take the example of our gasoline additives, KeropurŪ. Even if used in small quantities (500ml per 1000l of gasoline), Keropur still forms a protective film on metal surfaces, which prevents deposits from developing inside manifolds and ports. This will give your car a clean intake system that can ensure the ideal mixture of fuel and air for efficient combustion. A BASF study has demonstrated that over a car's lifetime, Keropur can reduce air emissions by 1.1 metric tons. Industry research has further proven that gasoline additives reduce up to 20% of Hydrocarbons (HC), 24% of Carbon Monoxide (CO), and 13% of Nitrogen Oxides (NOX) in exhaust emissions. The product was launched in China in August 2002.
   
  Black ensilage® is another example of BASF’s contribution to Sustainable Development in China. BASF is the first company who has successfully developed black ensilage – acidifying the corn stalk after harvest in order to maintain its freshness and nutrition. Its namesake comes from the fact that the fermented corn stalk becomes black in color. The new feed can substantially improve on nutrition, save farmland resources, protect natural meadows and the environment. All these are beneficial to the sustainable development of stock farming in China.
   
  Ecoflex® is a bioderadable polyester based on fossil raw materials. It is being used predominantly to improve the functionality of renewable raw materials like starch, cellulos but also to improve properties from polymers like PHA`s (polyhydroxyalkanoates) or PLA (polylacticacid). With an improved functionality of renewable materials, these products can open more/new applications and consequently save valuable fossil energy and reduce carbon dioxyde emissions. Biodegradable packaging made from Ecoflex or blend formulations containing Ecoflex breaks down completely under conditions such as found in compost heaps within just a few weeks without leaving any residues. Because of the certified biodegradability of Ecoflex, conventional plastic waste from certain applications can be reduced.
   
  State of the art production facilities: As in other countries, BASF’s plants in China are equipped with state-of-the-art technology, which ensures competitive ability worldwide. All sales companies and representative offices as well as production facilities of BASF in Greater China have obtained ISO 9000 certification since 2000. Most have attained ISO 14000 accreditation.
   
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