Neste and Braskem, the largest producer of thermoplastic resins in the Americas, have entered a strategic agreement to supply renewable and recycled feedstocks for the production of sustainable polymers and chemicals. Products utilizing these sustainable feedstocks are expected to hit the South American market in the fourth quarter of 2024, expanding Braskem's Wenew portfolio.
This partnership introduces renewable polymers to South America, marking a significant milestone toward a circular economy. According to Fabiana Quiroga, Director of Circular Economy at Braskem in South America, "This is a very important moment for the industry. We’re introducing a new solution that will adhere to the industry’s high-quality standards while ensuring sustainability right from the start of the value chain."
The collaboration will see Braskem produce polymer resins and chemicals using Neste's RE™ feedstock, a more sustainable alternative derived from two primary sources: chemically recycled plastic waste and renewable raw materials, such as used cooking oil (UCO). Both options represent innovative approaches in reducing reliance on virgin fossil feedstock, thereby lowering environmental impacts and supporting Braskem's sustainability objectives.
Neste's RE™ feedstock comprises two distinct components: chemically recycled materials and renewables. The recycled feedstock utilizes plastic waste that is typically challenging to recycle, such as multi-material or colored plastics, which are processed through chemical recycling. This approach not only increases the amount of plastic waste being recycled but also mitigates the environmental issue of plastic waste pollution. The renewable component of Neste's RE™ feedstock uses waste and residue oils and fats, offering a significant reduction in greenhouse gas emissions compared to fossil feedstocks.
A recent study by the Ellen MacArthur Foundation found that implementing circular economy principles, particularly chemical recycling, could reduce greenhouse gas emissions from plastic production by 20% by 2040, underscoring the importance of initiatives like those undertaken by Neste and Braskem.
The polymer resins produced under this partnership will meet stringent regulatory standards, including those for food-contact packaging. Braskem’s processes are recognized by Brazil’s Health Regulatory Agency (ANVISA), which has confirmed that chemically recycled monomers, when processed to high-purity standards indistinguishable from their fossil-based counterparts, can be used safely in food packaging without requiring further authorization.
A certified mass balance approach under ISCC PLUS (International Sustainability and Carbon Certification) will be applied to incorporate the recycled and renewable feedstocks into Braskem’s existing production processes. This certification assures customers of the sustainable sourcing and integrity of materials used, with an uninterrupted chain of custody. ISCC PLUS certification has become an industry standard for traceability, reinforcing credibility among stakeholders regarding environmental claims in supply chains.
Jeroen Verhoeven, Commercial Director for Polymers and Chemicals at Neste, emphasized the transformative potential of the partnership, stating, "We are excited to welcome Braskem as our partner in advancing the transformation of the plastics and chemicals industry towards more sustainable solutions." Verhoeven anticipates that Neste RE™ feedstock will play a central role in reducing dependency on virgin fossil feedstocks, helping manufacturers and end-users transition toward low-carbon alternatives in South America.
Through its collaboration with Neste, Braskem is leveraging both recycled and renewable solutions to address some of the most pressing sustainability challenges facing the plastics and chemicals industries. By reducing reliance on fossil-based materials and providing more sustainable options in polymer and chemical production, the partnership aligns with broader global sustainability goals, such as the United Nations’ Sustainable Development Goals (SDGs) focused on responsible consumption and production.
This agreement between Neste and Braskem sets a new benchmark for industry collaborations aimed at reducing plastic waste, cutting emissions, and building resilient, sustainable value chains. The products set to launch under this partnership are anticipated to support industries across South America in achieving their sustainability goals, fostering a greener economy through innovative solutions that adhere to high industry standards.
