Bayer Will Stop Production Activities in Parts of Germany
2025-5-23
Recently, Bayer Group issued a statement stating that it is restructuring its crop protection production and research and development business located in Germany to ensure the global competitiveness of its crop science division. Bayer will shut down its production activities at its Frankfurt factory after the end of 2028 and simplify production at its Domagen factory by the same year.
A spokesperson from Bayer¡äs Crop Science department stated that Bayer remains committed to Germany, but urgently needs to take measures to address severe overcapacity and price competition with Asian generic drug manufacturers in order to maintain production facilities in Germany and continue producing competitive products for customers.
Bayer Frankfurt factory is mainly engaged in the production of active ingredients and formulations of herbicides, as well as the research and development of herbicides. The company stated that it plans to divest some of the production activities of the factory, with the remaining ones transferred to factories in the Domagen and Knapsack regions, or integrated into the European formulation production network.
In addition, as the research and development activities of the factory will also be optimized from a cost perspective, all key activities will be relocated to the headquarters base in Monheim, where the development of insecticides and some fungicides has already begun.
The Dolmagen factory will continue to be its largest production base for active ingredients and crop protection products. However, the production of generic active ingredients and their related preparations will be stopped, when the focus will be on producing technologies and products that are significantly different from competitors.
In March 2025, Bayer proposed a comprehensive "five-year framework" to address the challenges faced by the crop science sector and ensure global competitiveness. The restructuring of crop protection business in Germany is part of the "Five Year Framework" plan.
The first quarter results released on May 13th showed that Bayer¡äs Crop Science division¡äs sales decreased by 3.3% to 7.58 billion euros. Excluding special items, earnings before interest, tax, depreciation and amortization decreased by 10.2% to 2.557 billion euros.
In the future, the focus will be more on strategic innovative technologies and products. As active ingredients innovation in crop protection products is crucial, several heavyweight products will be launched at the crop science research and development activities in the next decade.
A spokesperson from Bayer¡äs Crop Science department stated that Bayer remains committed to Germany, but urgently needs to take measures to address severe overcapacity and price competition with Asian generic drug manufacturers in order to maintain production facilities in Germany and continue producing competitive products for customers.
Bayer Frankfurt factory is mainly engaged in the production of active ingredients and formulations of herbicides, as well as the research and development of herbicides. The company stated that it plans to divest some of the production activities of the factory, with the remaining ones transferred to factories in the Domagen and Knapsack regions, or integrated into the European formulation production network.
In addition, as the research and development activities of the factory will also be optimized from a cost perspective, all key activities will be relocated to the headquarters base in Monheim, where the development of insecticides and some fungicides has already begun.
The Dolmagen factory will continue to be its largest production base for active ingredients and crop protection products. However, the production of generic active ingredients and their related preparations will be stopped, when the focus will be on producing technologies and products that are significantly different from competitors.
In March 2025, Bayer proposed a comprehensive "five-year framework" to address the challenges faced by the crop science sector and ensure global competitiveness. The restructuring of crop protection business in Germany is part of the "Five Year Framework" plan.
The first quarter results released on May 13th showed that Bayer¡äs Crop Science division¡äs sales decreased by 3.3% to 7.58 billion euros. Excluding special items, earnings before interest, tax, depreciation and amortization decreased by 10.2% to 2.557 billion euros.
In the future, the focus will be more on strategic innovative technologies and products. As active ingredients innovation in crop protection products is crucial, several heavyweight products will be launched at the crop science research and development activities in the next decade.