Segment Profile The Surface Technologies segment comprises the Catalysts and Coatings divisions, which offer chemical solutions for surfaces. Its portfolio serves the automotive and chemical industries and includes automotive OEM and refinish coatings, surface treatment, catalysts, battery materials, and precious and base metal services. We improve our customers’ applications and processes with tailored products, technologies and solutions, and support them through geographical proximity and supply reliability across all regions. The aim is to drive BASF’s growth by leveraging our portfolio of technologies and expanding our position as a leading and innovative provider of battery materials and surface coatings solutions. Divisions Catalysts Mobile emissions catalysts, chemical catalysts and adsorbents, refining catalysts, battery materials, precious and base metal products and services, precious metal trading, recycling, clean air technologies Coatings Automotive OEM coatings, automotive refinish coatings and services, decorative paints, surface-applied treatments for metal, plastic and glass substrates for a wide range of industries Sales Factors influencing sales Income from operations before special items Million € How we create value – an example FWC+ catalystNext generation of BASF’s four-way conversion catalyst for highly efficient particulate removal Value for our customers Significantly reduces particulates in exhaust gas emissions by up to 95% Value for BASF Estimated annual sales potential from 2022 >€20 million Our automotive customers are increasingly interested in developing environmentally friendly engines with lower exhaust emissions. We support them with highly efficient catalysts and filters and also help them to meet strict regulatory requirements. The FWC+ catalyst for gasoline engines is an example of BASF’s expertise in mobile emissions control. The FWC+ catalyst is a highly efficient filter that reduces particulates in exhaust gas emissions by up to 95%. This reduces the environmental impact and significantly improves air quality. The conventional four-way conversion catalysts used in gasoline engines filter out ultra-fine particles and chemically remove substances such as carbon monoxide (CO), unburned hydrocarbons (HC) and nitrogen oxides (NOx) in exhaust gas. This exhaust purification technology was significantly improved with the development of the FWC+ catalyst – the next generation of the four-way conversion catalyst. These new, additional components in the exhaust system now filter particulates much more efficiently than in the past. The technology was initially introduced to the Chinese passenger car market in 2019 before being launched in Europe in 2020. It has an estimated annual sales potential of more than €20 million from 2022 onward. Strategy Development of chemical solutions for surfaces in close collaboration with our customers and partners Expanding growth and a leading market position in battery materials In the Surface Technologies segment, our focus is on the protection, modification and development of surfaces. We develop innovative products and technologies in close collaboration with our customers from the catalysts, coatings and battery materials sectors, and offer precious and base metal as well as surface treatment services. Our aim is to drive growth by leveraging our portfolio of technologies to find the best solution for our customers in terms of functionality and cost. This helps our customers to drive forward innovation in their industries and contribute to sustainable development. Key growth drivers for us are the positive medium-term development of the automotive market, especially in Asia, the trend toward sustainable, low-emission mobility in the automotive industry, and the associated rise in demand for battery materials for electromobility. Together with our customers, we are developing customized, sustainable solutions in these growth areas for battery materials, emission control, lightweight engineering concepts and functional coatings. Our specialties and system solutions enable customers to stand out from their competition. We aim to expand our position as a leading and innovative provider of battery materials and benefit from the strong growth in this market segment. A global, customer-focused production network for battery materials is crucial here. In 2020, BASF announced plans to invest in a new production plant for cathode active materials in Schwarzheide, Germany. The new plant will use precursors from the precursor plant for cathode active materials in Harjavalta, Finland, which was announced in 2018. The two plants are scheduled for startup in 2022 and will produce cathode active materials for around 400,000 fully electric mid-size vehicles per year. With these investments in Finland and Germany, BASF aims to become the first cathode active materials supplier with local production capacities in what are currently the three main markets: Asia, the United States and Europe. back next