BERLIN, April 23 — BASF has finalized the sale of its stakes in two Chinese joint ventures—Markor Chemical Manufacturing and Markor Meiou Chemical—to Singapore-based Verde Chemical, following regulatory approval, the company announced Monday.
The German chemical giant did not disclose financial terms of the transaction, but the move concludes a divestment process that began in 2023 over what BASF described as “commercial and environmental concerns.” In February 2024, BASF said it would accelerate the exit.
“After careful evaluation, we decided to step away from these joint ventures,” BASF stated, noting that the decision was made in light of both internal assessments and external developments.
According to German outlets ZDF and Der Spiegel, employees at BASF’s local partner Markor were implicated in surveillance of Uyghur families in Xinjiang, allegedly sharing information with Chinese authorities. France 24, which also reported on the case, said these activities contributed to mounting scrutiny over the company’s ties to the region.
BASF has denied any suggestion that employees from the joint ventures themselves were involved in human rights abuses. “We have not raised concerns about BASF staff or joint venture personnel, only employees from our local partner,” the company told France 24.
Rights groups have repeatedly accused the Chinese government of running forced labor programs and detention camps in Xinjiang. Beijing rejects these claims, insisting its policies are aimed at countering extremism and encouraging regional development.
Despite the controversy, BASF has been expanding its footprint in China. The firm is currently building a 10 billion-euro (USD 11.5 billion) chemical facility in Guangdong, citing rising production costs in Europe as a factor.
Meanwhile, rights advocates continue to condemn China’s treatment of the Uyghur population. “Millions face mass surveillance, arbitrary detention, and cultural erasure,” said a statement from one advocacy group. “This is not simply repression—it is an orchestrated attempt to erase a people.”
China’s actions in Xinjiang include religious persecution, forced displacement, and systematic efforts to assimilate Uyghurs into the Han majority, according to human rights researchers.
As BASF shifts its strategy, the sale marks a broader reckoning for companies entangled in China’s human rights landscape
