The company, a crucial supplier for the automobile, agriculture and construction sectors, said it was “more resilient than others” when it came to US tariffs due to its focus on producing locally.

“In the US, more than 80% of the group’s sales came from products manufactured in the country,” it said.

But the group warned: “The volatility of the tariff announcements and the unpredictability of other decisions by the US, as well as possible countermeasures by trading partners, are causing a high level of uncertainty”.

CFO Dirk Elvermann said BASF had to consider indirect impacts of tariffs due to potential changes in demand in industries such as automotive and consumer goods.

“It was currently hard to assess the full impact,” he added.

Despite the uncertainty, BASF maintained its outlook for 2025, forecasting earnings before special items (EBITDA) of between €8 billion and €8.4 billion (US$9.1 billion and US$9.5 billion) for 2025.

US President Donald Trump has unleashed a barrage of tariffs on allies and adversaries alike.

Apart from on China, the highest levies have been paused for now to allow for talks with trading partners – but a baseline 10% tariff is still in effect.

BASF also reported today a 40% fall in first quarter (Q1) net profits to €808 million.

The group blamed the drop, which was slightly worse than expected, on rising competition.

Sales were down around 1% from a year earlier at €17.4 billion.

The chemicals sector in Europe’s biggest economy has been hit hard in recent years due to higher energy costs in the wake of Russia’s invasion of Ukraine and weaker demand in key markets such as China.

BASF has previously announced plans to make massive savings, including by bringing down costs at its historic Ludwigshafen site.