Promoting a shift towards a circular bio-economy and away from the polymer and chemical industries
In the coming months, LG Chem will start replacing fossil raw materials commonly used in the production of polymers and chemicals with Neste Renewable Hydrocarbons. Photo: Panoramic view of LG Chem's petrochemical complex in Yeosu, South Korea
Neste, the world's leading producer of renewable diesel and aircraft fuel and a pioneer of renewable and circular solutions in the petrochemical industry, together with LG Chem, South Korea's largest diversified petrochemical company and the world's leading manufacturer of lithium-ion batteries for energy solutions, today announced their goal to establish a strategic long-term partnership to expand the biopolymers and biochemicals market globally, particularly in LG Chem's Korean home market.
Thanks to the partnership, LG Chem will begin to replace fossil fuels commonly used in the production of polymers and chemicals with Neste Renewable Hydrocarbons in the coming months. This will help LG Chem meet the increasing sustainability requirements and expectations of its customers without compromising the quality, performance or recyclability of its products. Customers who will benefit include manufacturers of containers, packaging, hygiene products and polyolefin-based electronic materials.
"We are very pleased to begin working with LG Chem, a company with one of the most diverse polymer and chemical offerings in the world, and the opportunity to further influence global industrial change towards a circular bio-economy. This collaboration also allows us to significantly expand the application portfolio that can benefit from Neste's renewable drop-in solutions," said Mercedes Alonso, Executive Vice President, Renewable Polymers and Chemicals of Neste.
"LG Chems proprietary technology and its significant market share in a wide range of chemical products and Neste's sustainable renewable hydrocarbon-based solution have joined forces in a partnership that will pave the way for sustainable growth in building a circular bio-economy for both parties and also for the global industry," said Kug Lae Noh, Executive Vice President and President of Petrochemicals Company of LG Chem.
Nestes renewable hydrocarbons are produced entirely from traceable, bio-based raw materials, such as waste and residual oils and fats, and thus represent a high-quality, much more sustainable alternative to fossil fuels.
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