03.14.24
Marcelo R. Lu was named president, Asia-Pacific (ex-China) at BASF. Now based in Singapore, Lu has had a long career with the world’s largest chemical company. Most recently, he was senior vice president, Care Chemicals North America, BASF Corporation. Prior to that appointment, he served as president, BASF Canada.
Happi caught up with Lu just before he left New Jersey to assume his new role in Singapore.
Happi: What are you mostly looking forward to in your new role as President Asia Pacific, BASF?
Lu: I am very energized about spearheading BASF's growth trajectory in the Asia Pacific region. It's a nice challenge to match the dynamism and speed at which this region operates. I'm particularly keen on cultivating an innovation and action driven culture across all business units. This region is a hotbed for rapid and dynamic innovation in the chemical sector, including in personal and home care, and I see immense potential to lead the charge in sustainable and advanced product development. My goal is to synergize BASF's global resources with local market insights to deliver disruptive sustainable solutions that meet the sophisticated needs of consumers in Asia Pacific.
Happi: Take me through your career and how it prepared you for the role.
Lu: Starting in procurement, I learned the ropes of the chemical industry's complex supply chain, which is the backbone of our ability to deliver innovative products. I also managed one of our upstream businesses regionally, gaining strategic insights into markets that is deeply interconnected with the packaging value chain, which also touches personal care and home care sectors. My tenure as president of BASF Canada provided a 360-degree view of the overall BASF Group business and honed my leadership skills. As SVP of Care Chemicals North America, I dealt directly with the intricacies of personal care and home care markets, leading to a deep understanding of what drives consumer preferences and how to translate these into market-leading products. This journey I believe has helped me become a more action-oriented leader who is strategic about partnerships and adept at managing relationships, all of which are essential for my role as president Asia Pacific.
Happi: What did you learn as SVP Care Chemicals North America? How did this prepare you for your new role?
Lu: My experience as SVP of Care Chemicals was instrumental in teaching me the significance of staying ahead of the curve in product innovation, specifically leaning on our formulation know-how and competency. Interestingly, I also got a lot of insights from the increasingly complex regulatory landscape in North American and how it influences product development and consumer safety. This role required an acute focus in promoting and developing high-performance formulations, such as low 1,4 dioxane and cold wash enabled solutions, which in many ways have become new benchmarks in the industry.
Happi: How did the household products industry evolve during these eight years and what trends drove innovation?
Lu: The household products industry in North America has undergone a significant transformation, driven by a pronounced shift toward more sustainable and health-consciousness. BASF has been at the forefront of this change, developing bio-based surfactants that not only meet stringent environmental standards but also deliver at par or superior performance. We've seen a move away from traditional, harsh chemicals toward more natural and gentle ingredients, and BASF has led this charge with innovations like our APGs, which offers a way to address low 1,4 dioxane formulations. Moreover, we have embraced digital tools to personalize customer experiences, such as using AI to predict the stability of new formulations, making the R&D process faster and more efficient not only for us but our customers as well.
Happi: Please elaborate on your new position. What are the business units under your leadership?
Lu: As president of Asia Pacific (ex-China), I represent the broad spectrum of business areas that comprises all six business segments of BASF Group. These businesses range from performance materials over care chemicals to agricultural solutions. My role is to knit these diverse units together into a cohesive, entrepreneurial and growth-driven force in the region. I am tasked with the strategic direction and growth of BASF in Asia Pacific (ex-China), hopefully leveraging my experience to foster partnerships, guide investment, and support the entrepreneurial ambition of our teams. My position also entails the direct oversight of five cross-divisional sites, where we are looking into improving our safety, operations and sustainability metrics even further.
Happi: What is unique about Asia Pacific in terms of market conditions, consumer attitudes and finished product trends for the Happi audience?
Lu: Asia Pacific's market is as varied as it is vibrant, with each country presenting its own unique set of consumer attitudes and preferences. However, a common thread is the region's swift adoption of innovative, high-quality personal care and home care products. Consumers here are savvy, demanding and increasingly focused on health, wellness and sustainability. BASF is tapping into these attitudes by offering products that are not only efficacious but also environmentally-friendly and safe, such as our biodegradable/bio-based polymers, bioactives, biodegradable chelating agents.
Finished product trends are also being shaped by technology, with digital engagement becoming a key aspect of the consumer experience. BASF is at the forefront of this digital frontier, offering virtual product/tools and advanced formulation modules to help our customers stay ahead. We're deeply invested in understanding these unique market dynamics and translating them into tangible innovations that drive the industry forward.
Happi: What are some of the benefits marketers get by working with BASF in the region?
Lu: Working with BASF in Asia Pacific offers marketeers a strategic advantage. With our comprehensive R&D capabilities and deep market insights, we deliver a portfolio of innovative products that set new trends. Marketeers benefit from our sustainable solutions, such as natural-based actives for skin care, and our commitment to digital transformation, which enables them to offer personalized experiences to consumers. Our collaboration with marketeers is a partnership of expertise, where BASF provides the chemical innovation while they bring in consumer insights, together creating products that lead the market.
Happi: Are there any new products launched in the past year that you would like to highlight? What are the benefits to formulators?
Lu: For our personal care portfolio, we continued strengthening our portfolio of sustainable products with products like green emulsifiers, such as Emulgade Verde 10 MS; based on 100% renewable feedstocks and manufactured under environmentally friendly solvent-free process. In home care and industrial & institutional cleaning solutions we launched two innovative products. A high-performance cleaning polymer HP Boost supporting quick washing cycles for energy saving and Lutensol NE, a surfactant for cleaning is a superior oil and grease removal and great alternative to palm oil derivatives.
Happi: Any new products in the pipeline that you can discuss?
Lu: We plan to expand our natural and sustainable solutions with Mimiskin Green, the 2nd skin for the ultimate protection by Liquid Crystal Lipid Particles. This launch makes us even prouder since the product was developed in-house at our Shanghai Innovation campus. Plantatex LLE Plus is a plant-based sensory agent which will give fluffy and soft feeling of fabric after washing, while protecting skin for handwashing clothes and dishes by offering moisturizing layer. Both products are to be launched later this year.
Happi: Can you provide some details on what you expect to accomplish in your first year as President Asia Pacific (ex-China)? How will they benefit your customers?
Lu: My first year at the helm of BASF's Asia Pacific (ex-China) operations will be about laying a robust foundation for sustained innovation and growth. I plan to:
• Strengthen our growth roadmap, with necessary investment strategies to keep us ahead and pushing boundaries on innovation.
• Drive sustainability across all operations, setting ambitious targets to reduce our environmental footprint and helping our customers do the same through eco-friendly product offerings.
• Enhance our digital infrastructure to provide seamless, interactive experiences for our customers, from virtual labs to digital platforms for product development.
• Build and nurture a regional talent pool that is agile, entrepreneurial and diverse, ensuring that we have the right minds working on the right problems.
Finally, my aim is to ensure that, through faster speed and focused growth plans, BASF will continue to be the partner of choice for those looking to lead in their markets.
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Happi caught up with Lu just before he left New Jersey to assume his new role in Singapore.
Happi: What are you mostly looking forward to in your new role as President Asia Pacific, BASF?
Lu: I am very energized about spearheading BASF's growth trajectory in the Asia Pacific region. It's a nice challenge to match the dynamism and speed at which this region operates. I'm particularly keen on cultivating an innovation and action driven culture across all business units. This region is a hotbed for rapid and dynamic innovation in the chemical sector, including in personal and home care, and I see immense potential to lead the charge in sustainable and advanced product development. My goal is to synergize BASF's global resources with local market insights to deliver disruptive sustainable solutions that meet the sophisticated needs of consumers in Asia Pacific.
Happi: Take me through your career and how it prepared you for the role.
Lu: Starting in procurement, I learned the ropes of the chemical industry's complex supply chain, which is the backbone of our ability to deliver innovative products. I also managed one of our upstream businesses regionally, gaining strategic insights into markets that is deeply interconnected with the packaging value chain, which also touches personal care and home care sectors. My tenure as president of BASF Canada provided a 360-degree view of the overall BASF Group business and honed my leadership skills. As SVP of Care Chemicals North America, I dealt directly with the intricacies of personal care and home care markets, leading to a deep understanding of what drives consumer preferences and how to translate these into market-leading products. This journey I believe has helped me become a more action-oriented leader who is strategic about partnerships and adept at managing relationships, all of which are essential for my role as president Asia Pacific.
Happi: What did you learn as SVP Care Chemicals North America? How did this prepare you for your new role?
Lu: My experience as SVP of Care Chemicals was instrumental in teaching me the significance of staying ahead of the curve in product innovation, specifically leaning on our formulation know-how and competency. Interestingly, I also got a lot of insights from the increasingly complex regulatory landscape in North American and how it influences product development and consumer safety. This role required an acute focus in promoting and developing high-performance formulations, such as low 1,4 dioxane and cold wash enabled solutions, which in many ways have become new benchmarks in the industry.
Happi: How did the household products industry evolve during these eight years and what trends drove innovation?
Lu: The household products industry in North America has undergone a significant transformation, driven by a pronounced shift toward more sustainable and health-consciousness. BASF has been at the forefront of this change, developing bio-based surfactants that not only meet stringent environmental standards but also deliver at par or superior performance. We've seen a move away from traditional, harsh chemicals toward more natural and gentle ingredients, and BASF has led this charge with innovations like our APGs, which offers a way to address low 1,4 dioxane formulations. Moreover, we have embraced digital tools to personalize customer experiences, such as using AI to predict the stability of new formulations, making the R&D process faster and more efficient not only for us but our customers as well.
Happi: Please elaborate on your new position. What are the business units under your leadership?
Lu: As president of Asia Pacific (ex-China), I represent the broad spectrum of business areas that comprises all six business segments of BASF Group. These businesses range from performance materials over care chemicals to agricultural solutions. My role is to knit these diverse units together into a cohesive, entrepreneurial and growth-driven force in the region. I am tasked with the strategic direction and growth of BASF in Asia Pacific (ex-China), hopefully leveraging my experience to foster partnerships, guide investment, and support the entrepreneurial ambition of our teams. My position also entails the direct oversight of five cross-divisional sites, where we are looking into improving our safety, operations and sustainability metrics even further.
Happi: What is unique about Asia Pacific in terms of market conditions, consumer attitudes and finished product trends for the Happi audience?
Lu: Asia Pacific's market is as varied as it is vibrant, with each country presenting its own unique set of consumer attitudes and preferences. However, a common thread is the region's swift adoption of innovative, high-quality personal care and home care products. Consumers here are savvy, demanding and increasingly focused on health, wellness and sustainability. BASF is tapping into these attitudes by offering products that are not only efficacious but also environmentally-friendly and safe, such as our biodegradable/bio-based polymers, bioactives, biodegradable chelating agents.
Finished product trends are also being shaped by technology, with digital engagement becoming a key aspect of the consumer experience. BASF is at the forefront of this digital frontier, offering virtual product/tools and advanced formulation modules to help our customers stay ahead. We're deeply invested in understanding these unique market dynamics and translating them into tangible innovations that drive the industry forward.
Happi: What are some of the benefits marketers get by working with BASF in the region?
Lu: Working with BASF in Asia Pacific offers marketeers a strategic advantage. With our comprehensive R&D capabilities and deep market insights, we deliver a portfolio of innovative products that set new trends. Marketeers benefit from our sustainable solutions, such as natural-based actives for skin care, and our commitment to digital transformation, which enables them to offer personalized experiences to consumers. Our collaboration with marketeers is a partnership of expertise, where BASF provides the chemical innovation while they bring in consumer insights, together creating products that lead the market.
Happi: Are there any new products launched in the past year that you would like to highlight? What are the benefits to formulators?
Lu: For our personal care portfolio, we continued strengthening our portfolio of sustainable products with products like green emulsifiers, such as Emulgade Verde 10 MS; based on 100% renewable feedstocks and manufactured under environmentally friendly solvent-free process. In home care and industrial & institutional cleaning solutions we launched two innovative products. A high-performance cleaning polymer HP Boost supporting quick washing cycles for energy saving and Lutensol NE, a surfactant for cleaning is a superior oil and grease removal and great alternative to palm oil derivatives.
Happi: Any new products in the pipeline that you can discuss?
Lu: We plan to expand our natural and sustainable solutions with Mimiskin Green, the 2nd skin for the ultimate protection by Liquid Crystal Lipid Particles. This launch makes us even prouder since the product was developed in-house at our Shanghai Innovation campus. Plantatex LLE Plus is a plant-based sensory agent which will give fluffy and soft feeling of fabric after washing, while protecting skin for handwashing clothes and dishes by offering moisturizing layer. Both products are to be launched later this year.
Happi: Can you provide some details on what you expect to accomplish in your first year as President Asia Pacific (ex-China)? How will they benefit your customers?
Lu: My first year at the helm of BASF's Asia Pacific (ex-China) operations will be about laying a robust foundation for sustained innovation and growth. I plan to:
• Strengthen our growth roadmap, with necessary investment strategies to keep us ahead and pushing boundaries on innovation.
• Drive sustainability across all operations, setting ambitious targets to reduce our environmental footprint and helping our customers do the same through eco-friendly product offerings.
• Enhance our digital infrastructure to provide seamless, interactive experiences for our customers, from virtual labs to digital platforms for product development.
• Build and nurture a regional talent pool that is agile, entrepreneurial and diverse, ensuring that we have the right minds working on the right problems.
Finally, my aim is to ensure that, through faster speed and focused growth plans, BASF will continue to be the partner of choice for those looking to lead in their markets.
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New Leader Brings Dynamic Change to BASF Care Chemicals, North America