Dow and SCGC Sign MoU to Transform 200KTA of Plastic Waste Into Circular Products 

Dow and Thailand headquartered SCG Chemicals (SCGC), have inked a first-of-its kind memorandum of understanding (MoU) circularity partnership in the Asia Pacific region to transform 200KTA of plastic waste into circular products by 2030.

The partners intend to accelerate technology development in the value chain to enable recycling through both mechanical recycling (MR) and advanced recycling (AR) and convert a broader range of plastic waste into high-value applications.

The initial phases are expected to include establishing a value growth partnership for post-consumer recycled materials (PCR) with current suppliers, and developing technology solutions in waste sorting, MR and AR in Thailand.

The phases aim to build a robust materials ecosystem in South-east Asia. This ecosystem will ultimately enable better plastic waste collection, recycling and management, and accelerate plastic circularity.

The parties anticipate that subsequent phases of the partnership will include sourcing of plastic waste feedstocks in South-east Asia including potential expansion into other parts of the regions including Mainland China, Korea, Japan, Taiwan, Australia, and New Zealand.

“Asia has one of the largest sources of convertible plastic waste. We want to disrupt how the region currently handles waste and structure a new model that values, sources, and transforms plastic waste. Our partnership with SCGC will enable both companies to be key players in enabling greater circularity in the region by leveraging our complementary portfolio, research and development capabilities, and technology licensing,” said Bambang Candra, APAC commercial vice president, Packaging & Specialty Plastics, Dow

The partnership supports Dow’s “Transform the Waste” target which aims to transform plastic waste and other forms of alternative feedstock to commercialize 3 million metric tons of circular and renewable solutions annually by 2030.

The partnership also addresses SCGC’s sustainability goals under the “Low Waste, Low Carbon” initiative, striving for carbon neutrality by 2050. SCGC is also reducing greenhouse gas emissions by 20% and expanding its production capacity for its green polymer portfolio with a sales target of 1 million tons per year by 2030.