Third-quarter sales increased by 2 percent compared with the second quarter but fell percent compared with the same period of 2008. Income from operations (EBIT) before special items was 9 percent higher than in the second quarter and 20 percent lower than in the third quarter of 2008. All operating divisions contributed positive earnings.

“In this unprecedented downturn, we have demonstrated decisive action in the form of strict crisis management, tailoring production to demand, idling plants and introducing flexible working time arrangements,” said Hambrecht. “In the past three months our business has stabilised at a low level.

“Positive impulses are coming from Asia, especially from China, and from parts of South America. Europe and North America remain weak,” he added.

BASF believes that destocking by its customers worldwide appears to be over for the time being. This has caused a slight upturn in demand. However, customers are still placing smaller orders at increasingly short notice, especially closer to the end of the year.

“Overall, there is much to suggest that the worst is behind us. After a steep plunge, we are now climbing gradually out of the trough. The recovery will be slow and uneven,” Hambrecht warned.