Expansions: SCG to increase capacity for rHDPE in Portugal; Solvay expands PPA capacity in US to meet demand in auto market

Thailand’s SCG Chemicals or SCGC says it has recently invested in new technologies and machinery at Sirplaste in Portugal, following the acquisition of a 70% stake in Sirplaste through SCG Chemicals Trading Singapore in April 2022. This investment is undertaken to expand the production capacity of recycled high-density polyethylene (rHDPE) by 9,000 tonnes/year, or 25% of the current total production capacity. As a result, Sirplaste will have a total PCR production capacity of more than 45,000 tonnes/year by the second quarter of 2023. The goal is to address the increasing market demand in Europe and Africa.

SCGC says it has been committed to promoting resource efficiency in line with circular economy principles to grow the total sales volume of the green polymer portfolio to 1 million tonnes/year by 2030. This also includes PCR products to support the growing customer demand, particularly among major global brands that have declared their commitments to sustainable business practices and promoted recycling and usage of PCR in packaging for products, especially in household and personal care segments. As a result, the demand for green packaging has the potential to rise in the long run, particularly in European markets.

Ricardo Pereira, CEO of Sirplaste, stated, “In the future, there are plans to constantly increase production capacity to support the expanding green packaging market in the long run. This serves to solidify Sirplaste’s commitment to European customers and reinforces our position as a leader in Portugal’s recycled plastics industry.”

In addition, the PCR produced for the market is certified by EuCertplast, a European standard that verifies that raw material sources for PCR are responsibly sourced post-consumer resin. 

In other news, chemical firm Solvay says it is increasing its Amodel polyphthalamide (PPA) resin capacity to 15% at its Augusta manufacturing site in Georgia, US, as a result of operational excellence initiatives. The new capacity facilitates the production of Amodel PPA grades that offer a reduced CO2 footprint due to manufacturing improvements, it adds.

Amodel PPA has played a critical role in replacing metal in the automotive industry for more than 30 years. Today, as the automotive industry continues to move toward electrification, the PPA family is increasingly being used in battery electric vehicles (BEVs), specifically in electric motors, power electronics and battery technologies.

“Driven by the needs of our customers and society, Solvay is not only investing in additional capacity, but also in new breakthrough Amodel PPA resins for e-mobility and in sustainability at our manufacturing sites.” said Brian Baleno, Head of Marketing Automotive at Solvay.

The Augusta manufacturing site has made substantial progress in addressing sustainability, dramatically decreasing the plant’s global warming potential by 30% since 2013. Today, 100% of the electricity sourced by the site is renewable, representing a major step forward in reducing the site’s carbon footprint. Additionally, the plant has reduced water consumption and non-sustainable waste by 15% and 30%, respectively, compared to a 2018 baseline.

The company recently introduced two new product ranges, Amodel PPA Supreme and Amodel PPA BIOS, which are designed to meet the new and challenging requirements of e-motors, power electronics and batteries.

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