Carbios and Wankai advance China’s first PET biorecycling plant, targeting H1 2028 startup while maintaining strong financial stability.
Carbios, a leading innovator in biological technologies dedicated to reinventing the life cycle of plastics and textiles, has provided an update regarding the progress of its strategic collaboration with Wankai New Materials (Wankai) aimed at expanding PET biorecycling capabilities across Asia. The partnership continues to move forward as both companies work toward establishing China’s first industrial-scale PET biorecycling facility, a landmark project that is expected to support the transition to a more circular plastics economy in the region.
The joint industrial initiative, which is being developed in Haining, located in Zhejiang Province, has achieved important progress during its preparatory phase. Both partners are actively engaged in coordinating the planning and management activities required for the construction and future operation of the facility. Significant efforts have also been dedicated to assessing and validating locally sourced PET waste streams to ensure that the plant will be supplied with suitable feedstock once operations begin.
While development activities continue to advance, Carbios has indicated that the commissioning schedule for the facility has been revised. Due to the highly innovative nature of the company’s proprietary enzymatic biorecycling technology, additional technical studies and engineering work are necessary to adapt the process to the specific characteristics and operational requirements of the selected site. These modifications are essential to ensure optimal plant performance and successful industrial deployment.
As a result, the start-up of the Haining facility has been postponed and is now expected to occur during the first half of 2028. Although the timeline has shifted, both companies remain committed to the project and view it as a crucial step toward commercializing advanced PET recycling technologies on a large scale. Once operational, the facility is expected to process approximately 50,000 tonnes of PET waste annually, making it one of the most significant biorecycling installations in the region.
The project represents a major milestone for Carbios as it seeks to expand the industrial application of its enzymatic recycling technology beyond Europe and establish a stronger presence in Asia. The facility is expected to demonstrate the commercial viability of converting PET waste into high-quality recycled materials that can be reused in new products, thereby reducing dependence on virgin fossil-based resources and supporting sustainability objectives throughout the plastics value chain.
In light of the revised project schedule, Carbios and Wankai have also agreed to adjust the timing of a planned equity investment. Under the terms of their partnership, Wankai had previously committed to subscribing to a dedicated capital increase valued at €5 million in Carbios SA. This investment was originally scheduled to be completed during the first half of 2026. However, following mutual discussions and in alignment with the updated development timeline, the parties have agreed to postpone the transaction. The capital increase is now expected to be finalized no later than December 31, 2026.
Despite these timeline adjustments, Carbios remains in a strong financial position. The company reported a solid cash balance of €59 million at the close of fiscal year 2025, including the financial resources held by its subsidiaries. This healthy liquidity position provides sufficient funding to support operating activities for well beyond the next twelve months. The financial strength of the group enables Carbios to continue executing its strategic objectives, advance key industrial projects, and further develop its innovative recycling technologies while maintaining confidence in its long-term growth plans.
