JAPAN – Neste is partnering with Japan’s Mitsubishi Corporation to develop a supply chain for renewable plastics and chemicals in the country.
Under the agreement, the Finnish refiner will supply Japanese food and beverage, apparel, and consumer electronics brands with its renewable feedstock Neste RE to produce circular plastics.
Mitsubishi Corporation will contribute its expertise in business development and supply chain management of petrochemical products and derivatives in the region.
“Through this partnership, we will be able to provide sustainability-minded companies in Japan with a full package to reduce their plastics-related GHG emissions,” said Carrie Song, Senior Vice President Commercial at Neste Renewable Products.
“Together, we can also get the materials into the value chains, making it easier for companies to switch to more sustainable solutions.”
The companies have collaborated on several projects, including a partnership with Eneos to produce renewable PET bottles for Suntory and a multi-party initiative to create polyester from bio-based materials for The North Face apparel brand in Japan.
Neste has expanded its client base in Japan and Asia more broadly, with supply deals with Japan’s Resonac Corporation and South Korea’s Lotte Chemical announced this year.
Neste produces Neste RE from renewable waste, residue oils and fats, and waste plastics using its proprietary NEXBTL (“Next generation biomass to liquid”) technology, which converts bio-based oils and fats into pure hydrocarbons for fuels or feedstock for plastics production.
In another instance of providing Neste RE for industrial use, Neste partnered with South Korean chemical company Lotte Chemical in April to replace fossil resources with renewable raw materials in chemical and plastic manufacturing.
The collaboration aims to enable products and applications with a lower carbon footprint than those produced from fossil resources.
Neste will supply renewable Neste RE, made from 100% renewable materials, which Lotte Chemical will use at its Korean sites to produce various common plastics and chemicals.
These plastics and chemicals can be used in multiple applications and supply chains, including packaging, construction, textiles, and electronics.
According to reports, the quality and performance of the end products remain unchanged. Neste emphasizes the urgent need to switch to more sustainable alternatives, given that chemicals and plastics are still largely dependent on fossil resources.
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