Covestro Signs Tripartite Agreement with Korean Petrochemical Giant to Target Biodegradable Polyurethane Raw Materials!

Covestro is working with the Korean petrochemical company SK geocentric and Neste to produce an important polyurethane raw material based on renewable raw materials through a mass balance approach.

In this collaboration, Neste provides SK geocentric with the renewable Neste RETM, an ISCC (International Sustainability and Carbon Certification) system certified polymer and chemical feedstock, which is 100% renewable Made from raw materials such as waste and grease residue. SK geocentric processes this raw material into benzene at its Korean plant and supplies it to Covestro's integrated base in Shanghai for the production of MDI.

The partnership marks the beginning of possible future collaborations between the three companies, with the goal of replacing fossil feedstocks with more sustainable feedstocks for the production of polymers and chemicals in Asia Pacific and beyond.

Mercedes Alonso, executive vice president of renewable polymers and chemicals at Neste, said at the signing of the agreement: "With the introduction of renewable solutions, we are now entering the phase of expanding their use in the chemical industry. . This is critical to replace the vast amount of fossil resources that the industry currently relies on. For this upgrade to be successful, we need to build collaboration along the value chain.”

Replacing common crude oil-based fossil feedstocks with Neste renewable energy can significantly reduce greenhouse gas (GHG) emissions, thereby improving the carbon footprint of the polyurethane raw materials produced by Covestro and downstream industries. Neste renewable energy is produced from renewable raw materials such as waste and residual oils and fats.