Dr. Thomas Kloster

Senior Vice President

Automotive Coatings

Solutions Europe

Morgan StanleyInvestor Visit

Münster

June 27, 2017

Coatings – Focused on

growth and value

BASF – Coatings division, June 2017 2

Cautionary note regarding

forward-looking statements

This presentation contains forward-looking statements. These statements are based on current

estimates and projections of BASF management and currently available information. Future

statements are not guarantees of the future developments and results outlined therein. These are

dependent on a number of factors; they involve various risks and uncertainties; and they are based

on assumptions that may not prove to be accurate. Such factors include those discussed in theOpportunities and Risks Report from pages 111 to 118 of the BASF Report 2016. We do not assume

any obligation to update the forward-looking statements contained in this presentation.

BASF – Coatings division, June 2017 3

Agenda

Functional Materials & Solutions at a glance1

Coatings division

− Overview

− Acquisition of Chemetall

− Path forward

2

BASF – Coatings division, June 2017 4

Percentage of sales 2016*

* Not depicted here: ‘Other’ 3% of Group sales and EBITDA €(1.0) billion

Broad and resilient portfolioTotal sales 2016: €57.6 billion; EBITDA of €10.5 billion

BASF – Coatings division, June 2017 5

Downstream solutions supporting sustainability

via innovation

CatalystsConstruction Chemicals Coatings

PerformanceMaterials

Sales 2016:

€6.3 billion

Mobile emissions catalysts

Process catalysts

Battery materials

Precious metals trading

Sales 2016:

€3.2 billion

Sales 2016:

€6.9 billion

Automotive OEM &

refinish coatings

Surface treatment*

Industrial coatings**

Decorative paint solutions

Polyurethane systems

Engineering plastics

Biodegradable plastics

Foams

Epoxy systems

Sales 2016:

€2.3 billion

Concrete admixtures

Systems for residential and

commercial construction

* Closing of the acquisition of Chemetall took place on December 14, 2016. ** BASF completed the divestiture of its global industrial coatings business to AkzoNobel on December 14, 2016.

BASF – Coatings division, June 2017 6

EBITDA bSI

indexed

Functional Materials & Solutions delivers profitable

growth, high earnings resilience

Sales*

billion €

* Figures show n as reported; with “Precious / Base Metal Services” which include the precious metals trading activities (EBITDA margin ~1%. Sales in 2016: €2,336 million).

14.2

10.9

15.0

17.3 17.0 17.3 17.718.5 18.7

50

100

150

200

250

300

0

4

8

12

16

20

2008 2009 2010 2011 2012 2013 2014 2015 2016

BASF – Coatings division, June 2017 7

Strong customer relationships turn our innovation

power into business success

* Sales, marketing, technical experts, customer service; total number of employees >25,000

Numerous formats drive collaboration with our customers

>7,000 BASF experts in customer-facing functions* help developing ideas into products

BASF – Coatings division, June 2017 8

Automotive is a growth business for BASF

BASF sales to automotive vs. global vehicle production

indexed

* Excl. precious metals, coatings refinish business

50%

75%

100%

125%

150%

175%

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

BASF sales

to Automotive CAGR

6.4%

Global vehicle

production

CAGR

3.0%

BASF – Coatings division, June 2017 9

Agenda

Functional Materials & Solutions at a glance1

Coatings division

− Overview

− Acquisition of Chemetall

− Path forward

2

BASF – Coatings division, June 2017 10

What are coatings used for?

Protection Color

BASF – Coatings division, June 2017 11

Coatings – smart combination of different functional layers

Example: Automotive OEM coatings

ClearcoatTransparent protection

BasecoatColor, metallic effect

Primer Finish quality, stone chip resistance

E-coatCorrosion protection

Pre-treatment

BodySteel, aluminum

Human Hair

(One tenth

millimeter)

BASF – Coatings division, June 2017 12

Surface

Treatment*

BASF expands its portfolio and becomes

a more complete solutions provider

Automotive

OEM Coatings

Automotive

Refinish Coatings

Decorative

Paints

Industrial

Coatings**

In-depth customer

know-how

Technology

approvals

Well established premium

brands

Best known and most

desired decorative paint brand in Brazil

Innovative products and

processes

Speed of service Efficient and robust

processes

Distribution network Distribution network Flexible production

systems

Proximity to diverse

customers

Customer proximity Value adding services

Success factors* Closing of the acquisition of Chemetall took place on December 14, 2016. In 2016, Chemetall generated sales of ~€800 million.

** BASF completed the divestiture of its global industrial coatings business to AkzoNobel on December 14, 2016.

Coatings

BASF – Coatings division, June 2017 13

Chemetall complements BASF’s portfolio,

adding highly attractive surface treatment

Superior products and processes for BASF customers – also beyond coatings

Chemetall

Surface Treatment

BASF

Coatings

Offer full solution competence to

customers across wide range of industries

Benefit from convergence of pre-treatment and coatings, offering superior product and

process solutions

Develop superior application processes

leveraging joint expertise

Stronger and more complete

solutions provider

Excellent customer access and

approvals especially in automotive

Well recognized customer service offering in coatings

Chemical know-how and strong R&D platforms within BASF Group

In-depth customer insights across

wide industry range

Recognized technology leader in metal surface treatment

Complete portfolio beyond pure surface treatment

+

BASF – Coatings division, June 2017 14

Chemetall – a global leader in surface treatment

products and services

An excellent strategic fit for BASF Coatings

Significant global presence and record of accelerated

expansion in emerging markets

BASF Coatings site

Chemetall site

Key facts

One of the strongest globally managed

brands in the sector

Proprietary manufacturing technologies,

rigorous product quality and performance

standards

Leading market positions in the automotive,

aerospace and cold forming segments

Long-standing, service-intensive customer

relationships

Track record of strong growth and high

profitability

BASF – Coatings division, June 2017 15

BASF Coatings as strong OEM partner

Leading market position based on technology strength, innovative business models

Innovative product & process

solutions from surface to finishAward-winning color design

& development competence

Profound technical know-how

& support

BASF – Coatings division, June 2017 16

Well-recognized by our customers

Coatings offers high-quality, innovative products backed by superior service

Selected recent awards

Airbus Materials & Parts SQIP* as

‘Accredited Supplier’

GM Supplier of the Year

PSA Best Supplier Award

Honda Corporate Citizenship Award

Dongfeng Nissan Excellent Supplier

Zhengzhou Nissan Excellent Supplier

* Supply Chain & Quality Improvement

BASF – Coatings division, June 2017 17

BASF Coatings with strong positions serving

attractive markets

Surface

Treatment

Automotive

OEM Coatings

Automotive

Refinish Coatings

Decorative

Paint

Ranking #2 globally

#2 globally

#3globally

#1Brazil

Expected CAGR

of strategic relevant

markets 2015 – 20255% 5% 3% 4%

Coatings

BASF – Coatings division, June 2017 18

Europe

1,267 (39%)

Sales by region* 2016

million €

Asia Pacific

788 (24%)

North America

651 (20%)

South America,

Africa, Middle East

543 (17%)

Regionally balanced portfolio –

about 45% of sales in emerging markets

Europe

Strong position in automotive OEM and

automotive refinish coatings business

North America

Strengthened market position with

automotive OEM coatings, and well-

established refinish premium brands

Asia Pacific

#1 player in automotive OEM coatings

market in China

South America

Market leader position with Suvinil® for

premium decorative paints in Brazil

* By location of customer

€3,249 million

BASF – Coatings division, June 2017 19

BASF Coatings with #1 position as supplier to OEMs

in China

BASF Coatings well positioned to capture

future growth in China

A strong base: #1 in the Chinese OEM

segment already today

Strong R&D hub at BASF Innovation

Campus, Shanghai

>30% of our global Coatings R&D capacity

will be in Asia by 2020

Commitment to further grow our asset

footprint in the region

OEM market in China

Growing demand for the latest OEM

Coatings technology

Sustainability and innovative process

solutions become key

A long history in China

BASF Coatings growing faster than Chinese OEM market

Basecoat plant

Caojing

Resins plant

Caojing

Automotive coatings

plant Shanghai

Headquarters &

production Minhang

BASF – Coatings division, June 2017 20

BASF acquired Guangdong Yinfan Chemistry in 2016

Transaction highlights

Agreement signed in April 2016

Acquisition of state-of-the-art facilities,

technology and established brands

Complementary product portfolio

and customer base

Local production footprint to enhance

customer proximity

Closing took place in September 2016

Strengthening BASF’s position in the fast-growing Chinese automotive aftermarket

Closer proximity to refinish customers

Jiangmen City

Guangdong Province

BASF – Coatings division, June 2017 21

BASF invests in the growth area

“high performance barrier films”

Advanced solutions for tomorrow’s technologies Acquisition of Rolic

Agreement signed in February 2017

Leader in advanced barrier and multi-

functional films

Acquisition of state-of-the-art facilities

and technology

Pilot production

Pilot plant based on coating technology

for barrier films in Basel, Switzerland

Cutting-edge approach for next-

generation technologies such as flexible

electronics and brilliant OLED displays

Leveraging our coatings expertise and R&D strengths to innovate beyond paint

Thin-FilmPhotovoltaic

OLED Lighting Display

Pilot production line in Basel, Switzerland

BASF – Coatings division, June 2017 22

Coatings has delivered profitable growth in recent years

2.5

2.2

2.62.8

3.02.9

3.0

3.2 3.2

0

1

2

3

2008 2009 2010 2011 2012 2013 2014 2015 2016

Sales

billion €

BASF – Coatings division, June 2017 23

We aim at continued profitable growth via:

Coatings: Path forward

■ Strengthening our position in the attractive surface treatment market

■ Focusing on automotive coatings globally and profitable niche segments

■ Further strengthening our collaborations with OEMs

■ Leveraging our technology leadership and cost competitiveness

■ Continued expansion of our asset footprint in emerging markets

BASF – Coatings division, June 2017 24BASF Investor Day 2015 – Keynote speech 24