Author: pr-moritz
Last saved by: Roland Birkhoff
Company: Bayer
Document comments: V-2025-03-04

Persistent price pressure from generic manufacturers in Asia threatens competitiveness:
Bayer to focus production, research and development of its Crop Science division in Germany on strategic technologies
•	Commitment to Germany includes consolidation of production as well as research and development activities
•	Relocation and sale of activities in Frankfurt am Main sought; Dormagen to be positioned for the future; Monheim to be strengthened as crop protection research and development center
•	New setup will be implemented gradually by the end of 2028

Monheim am Rhein, May 12, 2025 – Bayer is reorganizing its Crop Science division's activities in the areas of crop protection production and research and development in Germany. This step is necessary to ensure the division's global competitiveness. Manufacturers of generic crop protection products, particularly from Asia, have built significant overcapacity over recent years and are pushing onto the market with persistently low prices, some of which are below the manufacturing costs of crop protection products in Europe. This is exacerbated by increasing regulatory restrictions and national export barriers. In the future, the focus will therefore be even more on strategic, innovative technologies and products that offer growers differentiated value not matched by generics. As a result of the changes, Bayer will discontinue its activities in Frankfurt am Main after the end of 2028. The company aims to sell parts of the activities, while others will be relocated. Production at the Dormagen site will be streamlined to ensure its competitiveness for the future.

"We are committed to Germany. However, to live up to this commitment in times of considerable challenges, we need to adjust," said Frank Terhorst, Head of Strategy and Sustainability of the Crop Science division. "This results in difficult decisions that are painful for many colleagues. However, these steps are urgently needed to counteract the significant overcapacity and a hopeless price competition with generics manufacturers from Asia, so that we can maintain production facilities in Germany and continue to produce products competitively for our customers."

Bayer aims to sell production activities in Frankfurt, R&D will be concentrated in Monheim

At its Frankfurt site, Bayer runs production operations for herbicide active ingredients and formulations, as well as research and development activities for herbicides, employing around 500 people there. However, not all jobs will be lost: Divestment opportunities are being explored for some production activities, while other production activities will be moved to the sites in Dormagen and Knapsack, or integrated into the European formulation network. Research and development activities will be optimized from a cost perspective, and all essential activities will be relocated to the main site in Monheim am Rhein where research and development for insecticides and, to some extent, for fungicides is already located. About two years ago, Bayer also started construction of a state-of-the-art facility for the development of crop protection products in Monheim. These measures will strengthen Monheim as a focused center for research and development of crop protection products. Germany will thus remain Bayer's most important location for research and development of crop protection products worldwide.

"We want to find viable solutions for our colleagues together with employee representatives. This is at the top of our agenda, and we are aware of our responsibility. Our colleagues are highly qualified and do a great job in facilities that are state-of-the-art. We therefore hope that parts of the production activities can be continued with a new owner," said Frank Terhorst.

Reorganization to secure the future at the Dormagen site

The Dormagen site will remain Bayer's production facility with the largest portfolio of active ingredients and crop protection products and will be streamlined to ensure its competitiveness for the future. Capacities will be focused on innovative and strategic technologies and products that differentiate Bayer from competitors. Production of various generic active ingredients and their associated formulations, which are available at significantly lower prices on the global market, will be discontinued. These changes will be implemented gradually by the end of 2028. Based on current planning they will impact approximately 200 positions in active ingredient production and formulation, of the nearly 1,200 employees at the site.

"Through the restructuring measures, we are positioning the Dormagen site to be able to continue to play a leading role in Bayer's global production network. We are also working with employee representatives on socially responsible solutions for the affected colleagues in Dormagen," said Frank Terhorst. 

Decisions are based on the five-year framework of the Crop Science Division

In March, Bayer presented a comprehensive "five-year framework" to counter the challenges facing the Crop Science division and to ensure global competitiveness. The reorganization at the German sites is a result of the "five-year framework." Bayer is focusing on its strengths as an innovation company to provide new technologies that improve food security worldwide. Innovative active ingredients for crop protection products are critical in doing so with several blockbusters to be launched from the Crop Science research and development pipeline over the next ten years. 

About Bayer
Bayer is a global enterprise with core competencies in the life science fields of health care and nutrition. In line with its mission, “Health for all, Hunger for none,” the company’s products and services are designed to help people and the planet thrive by supporting efforts to master the major challenges presented by a growing and aging global population. Bayer is committed to driving sustainable development and generating a positive impact with its businesses. At the same time, the Group aims to increase its earning power and create value through innovation and growth. The Bayer brand stands for trust, reliability and quality throughout the world. In fiscal 2024, the Group employed around 93,000 people and had sales of 46.6 billion euros. R&D expenses amounted to 6.2 billion euros. For more information, go to www.bayer.com.

Contact for media inquiries:
Alexander Gutmann, phone +49 174 7306349
Email: alexander.gutmann@bayer.com 

Alexander Hennig, phone +49 175 3089736 
Email: alexander.hennig@bayer.com 

ahe	(2025-0088E)

Forward-Looking Statements 
This release may contain forward-looking statements based on current assumptions and forecasts made by Bayer management. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financial situation, development or performance of the company and the estimates given here. These factors include those discussed in Bayer’s public reports which are available on the Bayer website at www.bayer.com. The company assumes no liability whatsoever to update these forward-looking statements or to conform them to future events or developments.