Transforming the chemical industry: a BASF perspective on net-zero and circularity

RSC Sustainability
05/02/2026

Abstract

This contribution to the collection of “industry perspectives” discusses pathways for a transformation of the chemical industry to achieve net-zero greenhouse gas emissions and switch to a circular feedstock base. It is based on the specific perspective of BASF as a multinational, deeply integrated chemical company. At the source of its CO2 emissions is the energy-intensive nature of basic chemical production, and the triple role of petrochemical feedstocks to provide carbon, hydrogen and energy. Along these themes, the importance of circularity is discussed and the shift to non-fossil carbon feedstocks, including bio-based, recycled, and potentially CO2-derived sources. It is shown how they are inextricably linked to the energy perspective, emphasizing the transition to renewable energy sources and exploring alternatives to conventionally thermally driven processes. As an industry currently facing unprecedented economic challenges, any transformation must be coupled to economically viable pathways, enabled by the right tools, business models and products, to leverage the potential of chemistry to drive the sustainability transformation of the whole economy.

Sustainability spotlight

The chemical industry's transformation toward net-zero emissions and circularity is critical for global climate action and resource protection. This work presents BASF's strategic approach to decoupling fossil feedstocks and energy, advancing renewable and recycled raw materials, and electrifying core processes. These innovations directly address the urgent need for sustainable industrial infrastructure (SDG 9), responsible consumption and production (SDG 12), and climate action (SDG 13). By integrating digital transparency tools and mass balance methodologies, the contribution explores scalable, economically viable pathways that catalyze sustainability across value chains and industries.

Chemical industry