Chemicals powerhouse BASF has doubled down on innovation and AI to drive what it claims is green transformation by leveraging R&D muscle to gain a competitive edge.
“Innovation has always been part of BASF’s DNA. Especially in these volatile times, it is crucial to leverage our innovative strength to develop competitive solutions that differentiate us as a company in our markets and give us a competitive edge,” said Stephan Kothrade, Member of the Board of Executive Directors and Chief Technology Officer.
BASF launched its “Winning Ways” strategy a year ago, aiming to become the preferred chemical partner for customers’ green transformation. “Our ambition extends beyond making BASF green. We aim to inspire customers to choose BASF as their trusted partner for their future success,” Kothrade said.
R&D sits at the core of this strategy. BASF’s innovations not only help customers grow but also drive profitable growth and sustainability. “Through continuous improvements in the energy and resource efficiency of our plants, we not only secure cost leadership in many value chains but also make our products more sustainable,” Kothrade emphasized.
In 2024, BASF invested around €2 billion in R&D, with 80 percent of activities tied directly to sustainability targets. “That shows our strong commitment to the green transformation,” Kothrade said.
These investments are paying off: over 15 percent of BASF’s sales—approximately €11 billion—came from products launched in the past five years. The company’s roughly 10,000 R&D employees generated more than 1,000 new patents in 2024, nearly half focusing on sustainability and 23 percent on digitalization and AI.
Digitalization is transforming BASF’s research. “Digital solutions and artificial intelligence are indispensable in today’s R&D work,” said Dr. Christoph Wegner, President Group Research. BASF’s QKnows platform allows researchers to access over 400 million documents in one place, with AI speeding the search for relevant insights. “You will hardly find such a powerful system elsewhere. This clearly gives us a competitive advantage."
BASF is also pushing the boundaries of AI in chemistry. Its first AI reactor plans, executes, and analyzes chemical experiments autonomously, maximizing yields. “Our first experiments already demonstrated that we are 20 times faster than when we do it manually,” Wegner said. The company plans to expand this system to cover all chemistry relevant to BASF.
In agriculture, AI is streamlining the development of plant protection products. A new AI-supported tool predicts groundwater leaching risks for early-stage compounds, reducing time and regulatory hurdles. “Artificial intelligence helps us to focus our resources on the safest compounds with the highest chance of success,” Wegner said.
With its heavy R&D investments, cutting-edge AI applications, and clear sustainability focus, BASF is positioning itself as a leader in both innovation and green transformation, turning ambitious strategy into measurable results.
