Chemicals company BASF has reported Q2 sales of €15.2 billion, a decrease of 4% from the same period of 2018. Prices were down by 2%, mainly driven by the isocyanates and cracker products businesses, and sales volumes reportedly declined by 6%. All segments recorded lower volumes, except for Nutrition and Care, and the decline was most pronounced in the Chemicals and Agricultural Solutions segments.
According to the company, ‘the macroeconomic environment became challenging for BASF in the second quarter of 2019. The global trade conflicts, particularly between the United States and China, are a serious concern for the company’.
‘There is currently high uncertainty, low visibility and poor predictability,’ said Dr Martin Brudermüller, BASF chair. ‘Our second-quarter results clearly reflect this. We followed the general assessment that a solution [to the trade conflicts] would be found by the middle of the year. But now it seems the situation will not ease for some time.’
The company has adjusted its 2019 outlook and now reportedly anticipates a slight decline in sales. For EBIT before special items, the company expects a decline of up to 30%.
This story uses material from BASF, with editorial changes made by Materials Today. The views expressed in this article do not necessarily represent those of Elsevier.