Green tie-ups: Dow/Delian to collaborate on PCR use in auto market; Neste to supply renewable materials to Singapore’s PCS

US materials firm Dow and China’s Guangdong Delian Group Co (Delian Group) signed a memorandum of understanding (MoU) recently to collaborate to expand the application of post-consumer recycled (PCR) resins in the automotive market, supporting the industry's shift toward circularity.

Delian Group has successfully incorporated Dow's Revoloop Recycled Plastics Resins into the packaging of auto care products. This solution not only reduces packaging's carbon footprint by greatly decreasing reliance on virgin resins, but also marks the first commercial application of Dow's Revoloop resins in the auto care market.

Bambang Candra, Asia Pacific commercial vice president of Dow Packaging and Specialty Plastics said, "As global climate change intensifies and resources become scarcer, the sustainability of the automotive market is increasingly critical. Embracing sustainable materials can mitigate these issues, offering consumers more environmentally responsible options while promoting a circular economy in automotive services."

"We have been adhering to the business philosophy of energy conservation, emission reduction and a low-carbon environment'," said Xu Tuanhua, Chairman of Delian Group. "The strategic partnership with Dow marks significant progress toward a circular economy, further distinguishing Delian Group from competitors in the automotive market and helping us meet the growing global demand for sustainable products."

This collaboration aims not only to enhance the packaging application of post-consumer recycled resins in the automotive market but also to drive innovation that will redefine waste as a valuable resource. By working together, Dow and Delian Group will focus on developing sustainable solutions that contribute to a circular economy, where materials are reused and repurposed, minimising environmental impact and supporting long-term resource sustainability, the companies add.

In other news, materials firm Neste and Singapore-based essential chemicals company PCS Pte Ltd are cooperating for the supply of renewable solutions to Southeast Asia’s chemicals industry. Neste will supply PCS with Neste RE, a renewable material for the production of chemicals and plastics. Based on renewable wastes, such as used cooking oil, or residues from vegetable oil processing, Neste RE will serve as a replacement for fossil raw materials used at PCS facilities on Jurong Island in Singapore.

Using Neste RE, PCS will produce essential products, such as ethylene, propylene or butadiene, across its portfolio. These essential products will then be supplied to customers in various sectors across the region.

First deliveries will include butadiene to Mitsubishi Corporation, Toray Plastics (Malaysia) Sdn Berhad and Synthomer Sdn Bhd, through which renewable solutions will make their way to end user applications in the industry.

While the products from these ISCC (International Sustainability and Carbon Certification) certified supply chains will be equal to their fossil counterparts in terms of quality, safety and performance, the use of renewable instead of fossil raw materials will reduce their carbon footprint.

“With this partnership, we are establishing one of the first ISCC-certified renewable value chains for butadiene in the region,” says Mr. Hisashi Shibayama, Managing Director at PCS. “This partnership not only emphasises our dedication to reducing reliance on virgin raw materials but also enhances our ability to meet the increasing demand from our customers for more sustainable solutions. This serves as the initial foundation in our vision to establish a sustainable essential chemicals’ ecosystem.”

“This marks another milestone in the use of Neste RE in Singapore,” says Jeroen Verhoeven, Commercial Director, Polymers and Chemicals at Neste. “We are glad to welcome PCS on board when it comes to driving fossil raw materials out of chemicals and plastics. Together, we can help companies bring down their Scope 3 emissions in an efficient and impactful manner.”

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