German chemical giant BASF plans to move back-office roles to Asia to cut costs, targeting new hub in India and existing centre in Malaysia.
FRANKFURT: BASF has signalled a shift of administrative jobs from Germany to Asia as part of an aggressive cost-cutting drive.
The world’s largest chemical group reported falling operating profits and sales for 2025 amid a sector-wide crisis.
“We will adapt our existing location structures and achieve significant cost savings as a result,” chief financial officer Dirk Elvermann told reporters.
The plan involves building up service hubs in Asia, including a new centre in India and an existing one in Malaysia.
Elvermann said the move aimed for efficiency gains through competitive service levels and digitalisation.
He confirmed the group would “significantly reduce” its overall workforce in the digital sector.
The business services division employs about 8,500 people globally.
Elvermann insisted “we do not plan to close Berlin” but said the hub there “will be smaller in terms of staffing than it is today”.
He did not provide a concrete figure for future staffing levels in the German capital.
A union representing workers organised a protest at the Berlin hub, which has some 3,000 staff, against the relocation plans.
BASF’s adjusted operating profit slipped to 6.6 billion euros in 2025 from 7.2 billion the year before.
Sales fell to 59.7 billion euros from 61.4 billion in 2024.
The company said it had cut around 4,800 jobs recently and achieved cost savings of 1.7 billion euros in 2025.
Its savings drive particularly targets its historic site in Ludwigshafen, the world’s largest chemical complex.
