The ratings on Germany-based chemicals producer BASF SE reflect Standard&Poor's Ratings Services' view of the company's "strong" business risk profile and global leadership as a fully integrated chemicals producer, and its "modest" financial risk profile. It benefits from a broadly diversified portfolio of commodity and specialty chemicals, crop-protection products, and oil and gas activities. BASF also has high and fairly resilient profitability, illustrated by strong free and discretionary cash flow generation. The company commands leading market positions in the majority of its chemicals activities. In our view, it is strongly diversified by activity, product, and region, and benefits from high barriers to entry through its technological expertise, high capital intensity, strong customer relationships, and a competitive cost position,
