BASF is to press ahead with building a multibillion-dollar chemical project in Chongqing, despite the concerns of some Chinese environmentalists and residents. The Germany-based multinational said it had the experience and technology to ensure the environmental safety of the plant, which will produce methylene diphenyl diisocyanate. MDI is an intermediary chemical used in the manufacture of polyurethanes.

Johnny Kwan, senior vice president of the BASF Group and BASF Greater China board chairman, said the public could visit the company’s website or call its officials directly to raise concerns and ask questions.

BASF now publishes an annual report aimed at enhancing its transparency in Greater China focusing on seven important financial, social and environmental indicators: sales, number of employees, occupational safety, water, waste, air emissions and energy consumption. Mr Kwan denied that the report was made public in response to heightened public pressure over environmental concerns.

BASF is one of the largest foreign investors in China’s chemical industry. Earlier this month, it confirmed a major expansion of its joint venture in Nanjing, Jiangsu province.

In March, BASF was reported to be considering postponing the Chongqing investment due to an expected fall in the global MDI market in 2009.