30. Related Party Transactions

Related parties are legal or natural entities that can exert influence on the BASF Group or over which the BASF Group exercises control or joint control, or a significant influence. These primarily include nonconsolidated subsidiaries, joint ventures and associated companies as well as BASF SE’s Board of Executive Directors and Supervisory Board.

The following tables show the volume of business with related parties that are included in the Consolidated Financial Statements at amortized cost or accounted for using the equity method. The tables do not include the acquisition of plants and inventories from the associated company, Shanghai Lianheng Isocyanates Business Co. Ltd., which is described in Note 3. Transactions with related parties are carried out under normal market conditions.

Sales and trade accounts receivable from and trade accounts payable to related parties mainly included business with own products and merchandise, agency and licensing businesses, and other operating businesses.

Other receivables and liabilities primarily arose from financing activities, from accounts used for cash pooling, outstanding dividend payments, profit and loss transfer agreements, and other finance-related and operating activities and transactions.

The increase in other receivables from nonconsolidated subsidiaries as well as from associated companies resulted primarily from other finance-related receivables.

The increase in other liabilities to nonconsolidated subsidiaries as well as joint ventures resulted from other finance-related liabilities and contract liabilities.

Balances outstanding to related parties were generally not hedged and were settled in cash.

The balance of valuation allowances on other receivables from nonconsolidated subsidiaries declined from €136 million as of December 31, 2023, to €120 million as of December 31, 2024. The addition to valuation allowances with respect to nonconsolidated subsidiaries was recognized as an expense in the amount of €8 million (previous year: €42 million).

The balance of valuation allowances on trade accounts receivable from nonconsolidated subsidiaries increased from €3 million as of December 31, 2023, to €4 million as of December 31, 2024. The balance of valuation allowances on trade accounts receivable from joint ventures increased from €2 million as of December 31, 2023, to €3 million as of December 31, 2024.

BASF had obligations from guarantees and other financial obligations in favor of nonconsolidated subsidiaries in the amount of €5 million as of December 31, 2024, and €15 million as of December 31, 2023, in favor of joint ventures in the amount of €42 million as of December 31, 2024, and €19 million as of December 31, 2023, and in favor of associated companies in the amount of €3 million as of December 31, 2024, and €1 million as of December 31, 2023.

Obligations arising from purchase contracts with joint ventures amounted to €2,943 million as of December 31, 2024, and €3,071 million as of December 31, 2023. In both years, the obligations mainly resulted from power purchase agreements.

Annual minimum rental payments for an office building including a parking area payable by BASF SE to BASF Pensionskasse VVaG for the nonterminable basic rental period until 2029 amounted to €8 million (previous year: €7 million). Furthermore, there were financial liabilities with BASF Pensionskasse VVaG amounting to €266 million as of December 31, 2024 (December 31, 2023: €215 million). BASF SE had other finance-related receivables from BASF Pensionskasse VVaG in the amount of €80 million as of December 31, 2024, and as of December 31, 2023.

The decline in services received from associated companies was mainly due to the expiration of supply contracts with the former Wintershall Dea AG.

There were no reportable related party transactions with members of the Board of Executive Directors or the Supervisory Board and their related parties in 2024 other than those presented in Note 29.

• The Compensation Report is available at basf.com/compensationreport