This will enable seamless management of mass balance credits and transparently communicate the environmental value of its sustainable materials to customers.
In a significant move to strengthen its commitment to a circular economy, Mitsubishi Chemical Corporation (MCC) has announced the adoption of the "Product Traceability Platform" from Circularise Japan K.K. The decision comes as MCC prepares for the commercialization of its chemical recycling business within the 2025 fiscal year, aiming to build a more reliable and transparent supply chain for its sustainable materials.
Circularise’s "Product Traceability Platform" is a key component of this strategy. The system is designed to centralize and simplify the complex process of mass balance credit management. It provides a digital solution that not only manages information on the origins and quantities of raw materials internally but also enables MCC to furnish customers with the clear and reliable data needed to accurately evaluate the environmental benefits of their products. This capability is expected to streamline compliance with certification requirements and build greater trust among partners and end-users.
The chemical industry is facing increasing pressure to provide verifiable data on the origins and environmental impact of its products. This is particularly crucial with the growing use of diverse raw materials and the expansion of recycling facilities. Compliance with international standards, such as the ISCC PLUS Certification, necessitates robust systems for tracking materials and their environmental value throughout the production process.
The new platform's implementation is timed to coincide with a major milestone for MCC's chemical recycling initiatives. In July 2025, the company successfully obtained ISCC PLUS certification for its new chemical recycling facilities at the Ibaraki Plant in Kamisu City. These facilities are on track to begin commercial operation and provide mass balance products within the current fiscal year. By introducing the traceability system ahead of this launch, MCC will be well-positioned to ensure the integrity and transparency of its supply chain from day one.
The "mass balance" accounting approach, a core function of the new platform, is a critical concept in chemical recycling. It allows for the allocation of percentages of specific raw materials—such as those derived from recycled plastics rPETs—to any given product, even when these materials are physically mixed with conventional, fossil fuel-based raw materials during manufacturing. This method ensures that the certified volume of sustainable material going into a production process is accurately credited to the final products, making it possible to produce and market plastics with recycled content even without physical segregation.
