BASF, the world’s largest chemicals company, said on Thursday that the global slump in manufacturing had dragged its first-quarter sales down by a quarter and wiped two-thirds off net profit, forcing it to broaden cost and job cuts.

Jürgen Hambrecht, chief executive, said demand for products had continued to fall this year. There was “currently no sign of a reversal of this trend”, he said, signalling that the second quarter could be even tougher for the group.