BASF Evaluates MDI Production Complex at Dahej, Secures Land in Gujarat
If you have opened a refrigerator, sat in a car or walked into a cold store today, you have touched MDI. Methylene diphenyl diisocyanate is the workhorse building block of polyurethane — the rigid foam in insulation panels and fridges, and a key input for automotive parts, furniture and many consumer goods.
On 21 September 2026, BASF said it is in the advanced stages of a feasibility study for an MDI production complex in India. Its Indian subsidiary, BASF India Polyurethanes Private Limited, has secured an industrial land parcel at Dahej, Gujarat, for the potential investment.
BASF currently produces MDI at Geismar (United States), Antwerp (Belgium), Chongqing and Caojing (China) and Yeosu (South Korea). Capacity and timing have not been disclosed; the final investment decision depends on the outcome of the study and all necessary approvals.
"India is among the most attractive growth markets globally, with strong demand expected across a wide range of industries," said Dr. Stephan Kothrade, Member of the Board of Executive Directors and Chief Technology Officer of BASF. Dr. Ramkumar Dhruva, President of BASF's Monomers division, said a project in India would complement the existing production network and further enhance supply reliability.
What it means for buyers
For Indian polyurethane formulators — insulation panel makers, cold-chain builders, and automotive and furniture foam producers — the headline is supply reliability. Nothing changes until an investment decision is taken, but the move shows global majors now see Indian demand as large enough to justify local isocyanate capacity. Watch for three things: the investment decision, the announced capacity, and whether polyol and systems capacity follows.
Photo (representative): polyurethane products. Hmshare, CC BY-SA 4.0, via Wikimedia Commons.