... However, sales slower in Europe.

Europe's largest chemical company, BASF reported a 10% HI sales increase to 32.2bn [euro], giving a 15% increase in earnings before interest and tax (EBIT) before special items to 4.8bn [euro]. 'Demand for our products remains strong, and the summer lull does not seem to be very pronounced,' said chairman Jurgen Hambrecht. Chemical sales increased by 15% due to higher volumes and prices, while plastics managed 4% growth. Performance products sales were static, however, functional solutions rose 4%. Agricultural solutions sales increased by 14%. Not unexpectedly oil and gas sales went up by a third. Sales grew in all regions with only North America showing a decline in Euro terms. Despite a slight decline, Hambrecht expects global chemical production to grow by 2.4% in 2008, within an overall global economic growth of 2.8%. 'Despite the challenging economic environment with high raw material costs, we are confident that we will achieve the goals we have set for 2008,' said Hambrecht.

Bayer saw a 3 % rise in its H I sales to 17.05bn [euro], giving a 17% increase in EBIT to reach 2.5bn [euro]. Group net income dropped by 61.5%, however, to 1.3bn [euro]. Bayer CropScience achieved the best sales performance with a 13% increase to 3.8bn [euro], while Bayer Healthcare saw only a 1.9% increase in sales to reach 7.5bn [euro]. Bayer MaterialScience experienced a 1.9% fall in sales to 5.1bn [euro]. 'The successful first half of 2008 has strengthened our confidence for the full year,' said chairman Werner Wenning. 'We now plan to increase group sales by more than 5% on a currency- and portfolio-adjusted basis. We remain optimistic about the development of our HealthCare business and continue to expect that we will grow with or above the market in all divisions.'

France's Rhodia saw its Q2 sales grow by 5% to reach 1.2bn [euro], to give a 16% increase in operating profit. 'Once again, Rhodia's strong pricing power has enabled us to more than offset the unrelenting increases in raw material and energy costs,' said chairman and ceo Jean-Pierre Clamadieu.

Swiss agribusiness Syngenta reported sales up 20% at constant exchange rates to reach $7.3bn, with growth across all product lines and regions, driven largely by volumes with a 3% contribution from price increases. Crop protection and seed sales grew by 21% and 15%, respectively. Operating income grew from $1.56bn in H1 2007 to $2.07bn in 2008. 'Syngenta's performance in HI 2008 illustrates the role that technology is already playing in driving land productivity.

Also in Switzerland, life sciences concern Lonza reported a 13% increase in HI sales to CHF1.46bn, resulting in a 15.2% EBIT increase to CHF235m. 'Lonza's mix of life science products and services and the general stability of its markets contributed to a balanced performance across its businesses,' said ceo Stefan Borgas.

In the Netherlands, Akzo Nobel's Q2 revenues grew 9% at constant currencies to 3.9bn [euro], giving a 5% increase in EBITDA to 568m [euro]. 'Akzo Nobel showed a resilient performance to the changing world economy in the first half of the year,' said chief financial officer Keith Nichols. 'Various management initiatives designed to achieve growth in revenue and profits and careful control of our cost base have protected our margins.'