Chemicals Business, SCG, is one of the largest integrated petrochemical companies in Asia and a key industry leader. We manufacture and supply a full range of petrochemical products ranging from upstream monomers to downstream polymers including polyethylene, polypropylene, polyvinyl chloride, polystyrene and MMA.

Plastics and sustainability: 5 Trends in Plastic Innovation for a viable world from K2019

Plastics and sustainability: 5 Trends in Plastic Innovation for a viable world from K2019

Date: 13 Dec 2019

Plastic is an extraordinary synthetic material. A natural byproduct of petroleum production, plastic can be used as a more efficient substitute for other materials because it is strong, durable, and lightweight. The properties of plastic can also be customized with synthesis and additives. Furthermore, plastic production uses far less resources and results in less environmental impact than other materials in the same quantity, thus making plastic the prevalent low cost material in a variety of industries and a part of our daily lives. Nevertheless, without proper management, this wondrous material will inevitably become a waste crisis that has enormous impact on living things and the environment, especially marine life. The solution to this problem requires proper land waste management, which involves waste sorting and disposal along with the development of plastic technology that is environmentally conscious from the production process. Recognizing this problem, the leading plastic manufacturers of the world recently convened to present their innovations at K2019, the world's largest exhibition of plastic and rubber products, in Dusseldorf, Germany from October 16-23. This annual event draws the attention of many in the plastic industry and is looked to as the indicator of future trends in plastic production. Over 3,300 exhibitionists from around the world participated in K2019, including SCG, one of the leaders in the petrochemical industry of Thailand and Southeast Asia. This year's convention and innovation concept was “Plastic for Sustainability” and “Circular Economy,” both of which share the goal of developing plastics towards a sustainable and energy- and resource-efficient future by implementing changes at all stages, from the point of origin with new methods of production, to encouraging consumers to reuse plastic, all the way to post-consumer processing and recycling, in accordance with the principle of circular economy. Five highlights among the plastic innovations for sustainability created by industry leaders in response to current consumer trends and presented at the convention include the following: Improved recyclability Plastics are in essence a 100% recyclable material. With proper post-consumer management and processing, it will not turn into waste that contaminates the environment. However, so far, to meet the needs of consumers the industry has developed plastic packaging by synthesizing and blending plastic with non-plastic materials, resulting in packaging that cannot be recycled, such as multi-layer film packaging that contains aluminum. Thus, at K2019, several companies, including Sabic, Borealis, Dow, and SCG, presented solutions to replace multi-layer packaging, especially mono-material packaging that is developed out of a single material so that it can be recycled. Another solution presented is improving the recyclability of plastics while retaining their properties. Reducing production resources and increasing material efficiency Plastics are ubiquitous in specialized industries, such as in lightweight and energy-efficient automotive parts, durable and corrosion-resistant construction materials, and various medical equipment. The current direction of plastic development to meet the needs of specialized industries is, therefore, aimed at increasing efficiency while reducing resources during production, in accordance to the principle of circular economy. For example, DuPont, which has expertise in developing lightweight material for automotive parts, showcased innovations in material technology that would fulfill the needs of future trends in the automotive industry, such as hybrid, electric, and automatic cars, developing F1 race cars and other types of vehicles in conjunction with various partner and client brands, such as Renault Sport Racing. As a Thai brand, SCG also presented technology that will help increase efficiency and reduce resources used in production, namely SMX™ Technology which can be used in various applications, such as large chemical drums, flexible film packaging that is especially resistant to impact and perforation, and lightweight soda caps that use less material but have enhanced strength. In addition, SCG’s SMX™ Technology can also be used in the development of gas, mining, and high-pressure pipes in the future. Turning waste into raw material Because plastic is a recyclable material, it can be circulated into other raw materials for further use. Plastic recycling technology can be divided into the following categories. 1. Mechanical recycling is the process of turning used plastic into pellets, which are then molded into new products for direct use. The plastic pellets produced through this process are called post-consumer recycled (PCR) plastic and can be blended with new plastic and/or additives to create properties desired for various applications like electronic parts, furniture, and higher-quality packaging for consumer products, such as plastic gallon jugs with 95% recycled PE from LyondellBasell, green tea bottles that use 100% recycled PET from Suntory, and stand-up pouches made with the full PE laminated solutions by Exxon, all of which feature the process of combining PCR with mono-materials. 2.Feedstock recycling or chemical recycling is the process of turning plastic into raw material in the form of both gas and liquid. For example, Sabic and BASF have invented a process to recycle plastic through pyrolysis, which turns low-value or non-recyclable plastic waste that would otherwise be incinerated or disposed of in landfills into raw material that has been proven to be of equal quality to pre-consumer plastic and can be used for food packaging. In fact, several brands have already begun to use this material in their packaging, such as Knorr and Unilever’s Magnum bars. Bioplastics and alternative materials Invented for improved degradability, bioplastics are synthesized from various raw materials, such as corn, sugar cane, and tapioca flour. Because traditional plastic is a byproduct of petroleum, which is a non-renewable resource, innovations have been created to encourage the use of renewable feedstock in plastic production, such as bio-based feedstock and synthesizing carbon dioxide into polymer. The use and post-consumer processing of bioplastics are different from those of traditional recyclable plastic; consumers should inspect packaging and sort waste properly, as bioplastics can contaminate and cause damage to the recycling process. Collaboration: Joining forces for sustainability Cooperation between manufacturers and brand owners in creating innovations that answer the needs of both businesses and society is another emerging trend that could be seen at K2019. For example, BASF and Jaguar Land Rover collaborated on research into converting waste into automotive parts, while SCG and Betagro co-developed sturdy packaging material for chicken products that is resistant to tears and perforation from chicken bones. These are just two examples among many. Moreover, there were joint efforts among manufacturers, recyclers, brand owners, and other involved parties throughout the production chain in developing innovations in waste management to maximize utility. All this is an assurance that the plastic industry will grow alongside sustainability efforts, as exemplified by SCG collaborating with Dow to turn post-consumer plastic into pavement made from recycled plastic. These five plastic industry trends for sustainability reflect the determination of industry players in solving environmental issues by focusing on recycling, reusing, and reducing resources in accordance with the principle of circular economy in order to create sustainability in plastics from the point of production all the way to facilitating post-consumer processes. Once manufacturers and brand owners have adjusted their habits, it’s now time for consumers like us to help the world change its behavior simply by starting with ourselves. #resourcemaximization #correctwastesorting #properdisposal in order to circulate resources and reduce the amount of plastic waste released into the environment.

SCG and Mahidol Partner Up   to Open “SCG – MUSC Innovation Research Center”

SCG and Mahidol Partner Up to Open “SCG – MUSC Innovation Research Center”

Date: 7 Nov 2019

BANGKOK – November 7, 2019The Chemicals Business, SCG, in collaboration with the Department of Chemistry, Faculty of Science, Mahidol University, has established SCG-MUSC Innovation Research Center, an institute dedicated to the research and development of special innovative polymers from catalysts that enhance recyclability in response to the global demand for sustainable plastic packaging. Tanawong Areeratchakul, President of the Chemicals Business, SCG, stated that the company strives to innovate high value added (HVA) products and services by placing a continuous emphasis on research and development. In 2018, thanks to an R&D investment of over THB 2.4 billion, or 1.1% of its sales revenue, the company successfully expanded the proportion of its sales from HVAs to 53% and held over 1,200 patents, which was a 40% increase from the previous year. In addition, the company is also using core ideas of the circular economy as the guiding principles for its product design, prioritizing durability, recyclability, and high performance to meet global demand, especially for plastic packaging with greater recyclability. “In this partnership between SCG and the Department of Chemistry, Faculty of Science, Mahidol University to establish SCG-MUSC Innovation Research Center, we aim to develop special innovative polymers from catalysts that improve recyclability and material recoverability for applications such as mono-material packaging. This collaboration will enhance our potential and encourage an exchange of knowledge in innovation development, enabling the Chemicals Business to offer products and services that not only meet global demand promptly but also have specifications that are better aligned with customer needs.” Assoc. Prof. Sittiwat Lertsiri, Ph. D., Dean of Faculty of Science, Mahidol University, said that this public-private partnership has marked a significant leap forward in the national research community. In addition, through this collaboration, the two organizations will create a new generation of science and technology experts and innovators for the country through a joint research program, which not only shows how this R&D partnership is concretely realized but also synergizes the strengths of both partners. Students will also be given an opportunity to become involved in the R&D program and work alongside researchers in the center. Dr. Suracha Udomsak, Vice President - CTO – Innovation and Technology of the Chemicals Business, SCG, remarked, “The Chemicals Business and the Department of Chemistry, Faculty of Science, Mahidol University have had collaborative R&D initiatives since 2007. This year, we have established SCG-MUSC Innovation Research Center at Chemistry Building at Faculty of Science, Mahidol University. This center will accelerate and improve the efficiency of research by bringing together the foundational knowledge in chemistry and advanced chemical structure analytical implements of the academic sector and SCG’s experience and expertise in scaling up and commercialization to meet customer needs while also ensuring environmental responsibility.” This partnership between SCG and Mahidol University will prompt research institutes and other organizations in every sector across Thailand to recognize the significance of research and development guided by the principles of circular economy as well as encourage commercial research for sustainable and mutual development of both businesses and the world.
SCG Showcases Plastic Innovation for Sustainability at K2019 in Germany’s Dusseldorf

SCG Showcases Plastic Innovation for Sustainability at K2019 in Germany’s Dusseldorf

Date: 28 Oct 2019

DUSSELDORF, GERMANY – October 30, 2019 Chemicals Business, SCG, has aggressively accelerated its research and development to develop products fit for the Circular Economy principles, and unveiled special-grade plastic that can maximize the proportion of recyclable plastics while maintaining its excellent functional properties and minimizing plastic and resource usage. The approach aims to respond to the global market demand for greater sustainability and enhance a competitive edge for brands and customers. Recently, it has showcased a series of plastic innovations for sustainability at K2019, the world’s no.1 trade fair for plastics and rubber in Germany. Mr. Roongrote Rangsiyopash, President of CEO of SCG, disclosed that the development of High Value-Added (HVA) products and services is among core strategies of SCG’s business operations, which the research and development placed as a vital driving force. In 2018, SCG invested a total of 4,600 MB on R&D, where the Chemicals Business’ total R&D spending stood at 2,400 MB or 53% of SCG’s R&D expenditure, and 1.1% of total sales revenue of Chemicals Business. Currently, Chemicals Business employs a total of 690 R&D personnel and has registered a total of 1,200 patents, up 40% compared to the previous year. SCG has established various ways of R&D approaches, including closed innovation and open innovation e.g., in-depth collaboration with partners to develop innovation and R&D network with the world’s leading researchers and institutes such as the University of Oxford. The approach helped drive HVA sales to as high as 53% in 2018. For the product development built to fit Circular Economy principles, Chemicals Business has established a policy to coherently reducing the production of single-use plastic by cutting it from 46% in 2008 to 20% in 2020. At the same time, it has increased the proportion of durable plastic usage - one of the HVA products - by developing products based on the Circular Economy which not only be a solution to meet the domestic and international market demand and help improve competitive edge for brands and customers, but also mitigate adverse environmental impacts and reduce greenhouse gas emissions better compared to other materials. Mr. Tanawong Areeratchakul, President of Chemicals Business, SCG, added that Chemicals Business, SCG, has showcased plastic innovation for sustainability at K2019 in Germany, the world's largest trade fair for plastic and rubber, attended by over 3,300 exhibitors. The fair is a vital indicator of trends and directions of the plastic and rubber industry. Chemicals Business, SCG, presented the booth under the theme of"Passion for a Better World",which demonstrates the company's confidence in plastic innovation built upon the Circular Economy concept as sustainable solutions to the global market demand. This year’s highlights of Chemicals Business, SCG, are superior strength polyethylene resins by breakthrough SMXTM technology developed by SCG that provide material thickness reduction, minimizing material consumption while maintaining mechanical properties. The products offer a variety of applications such as SMX™ 551BU resin for the intermediate bulk container (IBC), SCG™ HDPE S111F for high impact film with enhanced toughness, and improved puncture resistance, and SCG™ HDPE SX002JA for lightweight closure with reduced material consumption yet higher strength. Besides, SCG’s SMXTM technology can be further applied to develop gas pipes, mining pipes, and pipes that can withstand high pressure. Another intriguing trend of this year’s presentation is the ambitious approach to achieve a fullyrecyclableprocess. At K2019, Chemicals Business, SCG, has introduced the innovative concept of packaging that can substitute the Flexible Packaging that consists of multiple non-recyclable film barriers. SCG has developed Mono-Material Packaging that is eco-friendly recyclability since it contains special additives CIERRA® - Barrier developed by SCG to replace metalized film with improved control of moisture and oxygen transfer. SCG also showcased the plastic resin solutions based on the Circular Economy which are made of the mixture of special-grade SCG plastic resins and the Post-Consumer Recycled Resin (PCR), offering recommended applications of consumer bags, personal and home care bottles and carbonated soft drink closures. In addition to the plastic innovation for sustainability built upon the Circular Economy, Chemicals Business, SCG, also provides customers, brand owners, and enthusiasts with innovative service solutions covering material selection & formulation, application development, design & engineer solutions and networking, as well as professional teams anticipating to develop products and seek solutions to meet customer’s diverse demand to ensure mutual and sustainable growth for the business and the world.