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BASF strengthens flavor and fragrance supply chain with new citral plant in China

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May 1, 2026
  • BASF launched new menthol and linalool plants in Germany and a citral plant in China
  • Production began earlier in 2026 with customer deliveries starting in April
  • Citral output in China supports downstream manufacturing in Ludwigshafen
  • Investment in Germany reached a triple-digit million euro level
  • Expanded capacity aims to improve supply reliability for fragrance and flavor markets

BASF has brought new production capacity online for key aroma ingredients with the start-up of three large-scale plants in Germany and China, strengthening its supply chain for the global fragrance and flavor market.
The company confirmed that new menthol and linalool facilities at its Ludwigshafen site and a citral plant at its Zhanjiang site are now fully operational. The projects were completed following a construction phase that began in 2023, with production reaching commercial standards earlier this year and customer deliveries beginning in April.

The citral facility in southern China will serve both regional demand and feed downstream manufacturing in Germany, where menthol and linalool are produced. Citral is a core intermediate in the value chain, linking the two production hubs and supporting output of widely used ingredients. Menthol is commonly used in oral care, pharmaceuticals, and confectionery, while linalool is a key component in laundry products, fragrances, and personal care items.

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At Ludwigshafen, the new units are integrated into BASF’s existing production network, allowing shared use of infrastructure and technical capabilities. The company stated that this setup improves efficiency and supports consistent output by drawing on established operations at the site. The investment in Germany alone runs into several hundred million euros.

The expansion increases BASF’s capacity for some of its most demanded aroma ingredients, aimed at meeting rising consumption in major markets. The company indicated that the additional output will improve availability for customers while reducing supply risks across its portfolio. The projects were completed across two continents within the planned timeline and budget. BASF said the coordinated development of its sites in China and Germany allows closer alignment between raw material production and downstream processing, while also contributing to its environmental targets through more efficient use of resources.

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Prakhar Panchbhaiya

Assistant Manager: Business Insights and Content

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