BASF SE BFFAF BASFY announced that Dr. Markus Kamieth (53) will take over as Chairman of the Board of Executive Directors, effective after the annual meeting on April 25, 2024.
Dr. Kamieth, a member of the Board of Executive Directors since 2017, will succeed Dr. Martin Brudermüller (62), who has been Chairman since 2018 and a Board member since 2006.
Dr. Kurt Bock, Chairman of the Supervisory Board of BASF SE, commended Dr. Brudermüller for his leadership since 2018.
Under his direction, BASF navigated exceptionally challenging times, with significant contributions towards the company's long-term success and focus on transformation towards climate neutrality.
Dr. Bock highlighted that Dr. Kamieth is a highly competent and experienced successor known for his excellent results in diverse roles within BASF in Germany, the United States, and Asia.
The company is actively reducing operating costs and cutting jobs in response to declining earnings, mainly due to Germany's energy crisis following Russia's cessation of gas supplies and weakened demand.
BASF announced restructuring plans earlier this month by carving out two divisions to enhance profitability.
This decision is part of a broader effort to adapt to economic challenges, Bloomberg reports.
Additionally, BASF, a manufacturer of agricultural products, coatings, and plastics, plans to reduce its investments by €4 billion over the next four years. This strategic move aims to manage the company's financial pressures.
The broader chemical industry in Germany is experiencing a significant downturn, as the VCI Chemical Industry Association reported.
The industry is in a deep recession, with expectations of a recovery not likely before 2025.
A survey indicated that almost 10% of respondents are permanently shutting down production processes due to the challenging industrial environment in Germany, according to Bloomberg.
This situation reflects the broader struggles within the sector and the need for companies like BASF to adapt and strategize for survival and growth in a challenging economic climate.
Also Read: Cheniere Energy Inks Long-Term LNG Deal With BASF
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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