The chemical giant Basf wants to merge its European polyamide 6 activities with those of the Chinese HighSun

Basf plans to bring together its European activities in polyamide 6 (PA 6) with those of the Chinese Highsun Holding Group (HSBC) within a joint venture owned equally. Announced on October 19, 2026, this project aims to enhance the consumption of manufacturing capacities and decrease costs, in a context of strong pressure on the competitiveness of European chemicals. The two players are integrated into the PA 6 chain and the perimeter of the manufacturing sites concerned is not yet specified. We know that the product of the PA 6 in Germany at the one-time company in the city of the city of the city of the city of the United States of America (Germany), a historic site that does plus product caprolactame-and in Antwerp (Belgium) where it is still integrated. HSBC is a Chinese player, however it is present in Europe through its subsidiary Fibrant (DSM until 2018) which product caprolactame in Geleen (Netherlands). Furthermore, the deal could include certain global extrusion operations, excluding North America. However, the downstream activities in engineering plastics of both partners are excluded from the project.

to BASF, this cooperation is part of an effort to enhance efficiency through the pooling of manufacturing resources. «The European chemical sector must have become greater competitive. This requires favorable manufacturing policies, as well as a consolidation of the sector in order to create plus strong companies, better equipped to face competition on a global scale, "said Markus Kamieth, president of the BasF, which foresees the possibility of" bringing together the complementary capabilities and together them.

This announcement might bring to mind a major transaction undertaken by BASF in the polyamide sector. In 2017, the German group announced the acquisition of Solvay’s polyamide business to an enterprise value of EUR 1.6 billion. however it was PA 6,6. Completed in 2020, the acquisition had strengthened its position in technical materials. However, a portion of the European assets had to be divested to Domo Chemicals in order to meet the European Commission’s competition standards. In France, the site concerned by this polyamide sector, Alsachimie, falls under the PA 6,6 sector.

In practice, the two transactions—both with Solvay and HSCC—do not involve the same polymer. PA 6 is made from caprolactam, while PA 6.6 results from the interaction between Hexamethylenediamine and adipic acid. These materials exhibit traits and applications that overlap to some extent, however they are not interchangeable in all applications. PA 6 is particularly applied in films, fibers and certain technical parts; PA 6.6 occupies an crucial place in automotive components, electrical connection and applications requiring high mechanical and thermal resistance.

The Highsun project thus reflects a shift in approach: after strengthening its wallet through acquisitions, the group is now exploring manufacturing pooling to enhance the competitiveness of its European operations.

The next stages of the agreement should enlighten us on the sites and capacities concerned, possible closures or transfers of volumes, which could also lead to new investments. Finally, it will be necessary to carefully monitor the governance of the future structure to know who, from BasF or HSBC, will pull the tricks of the new entity, beyond the stringent sharing of the capital of the future entity.