BASF: Joint Venture with Highsun for European Polyamide 6 Operations Under Consideration

BASF SE and China's Highsun Holding Group (HSCC) are exploring the possibility of combining their respective European operations along the polyamide 6 (PA6) value chain. To this end, the companies signed a non-binding letter of intent on October 19, 2026. The discussions concern the establishment of a joint venture in which each partner would hold a 50% stake.

Extrusion Business Outside North America Also Under Review
In addition, the partners are examining whether their global extrusion operations outside North America could be contributed to the joint venture. The downstream engineering plastics businesses of both companies are explicitly excluded. Project teams from both companies have been established and are now assessing the potential cooperation. No details have been disclosed regarding specific production facilities, financial terms or a timeline.

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Through a potential combination, the companies aim to pool selected production capacities and technologies. BASF expects this to improve plant utilization and reduce costs. The plans come amid increasing competitive pressure and consolidation in the European chemical industry. No decision has yet been made on whether to establish the joint venture.

Production Networks for Polyamide 6 and Its Precursors
BASF produces polyamides and their precursors at sites including Ludwigshafen (Germany), Antwerp (Belgium), Caojing (China) and Freeport (USA). Its customer industries include packaging and textiles. The companies have not yet specified which European sites or business activities could be included in the potential joint venture.

Highsun operates along the polyamide 6 value chain and is one of the major producers of caprolactam, a key raw material for PA6. According to the company, the group operates 31 production sites in China and Europe. Its main industrial hubs include the Chinese provinces of Fujian, Jiangsu and Guangdong, as well as Limburg in the Netherlands.

More information: basf.com, www.hscc.com

BASF SE, Ludwigshafen, Germany

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