SABIC Launches Novel HDPE Material Composed of Recycled Contents (R-HDPE)
- 22-Dec-2022 7:02 PM
- Journalist: Xiang Hong
As part of its commitment to enhancing the plastic circular economy, Saudi Basic Industries Corporation (Sabic) has introduced HDPE T3K01B, a new high-density polyethylene with mechanically recycled content (R-HDPE), in the Trucircle product package.
According to Saudi Press Agency (SPA), the new material (R-HDPE) was created specifically for engine oil and lubricant packaging made using inflatable molding technology. After being consumed, the material contains approximately 30% mechanically recycled plastic.
It stated that the initiative accelerates the process of completing the plastic packaging waste handling cycle in the automotive services (like R-HDPE) market in the Kingdom of Saudi Arabia.
Abdullah Al-Otaibi, General Manager of Engineering Thermoplastics and Market Solutions, emphasized Sabic's commitment to accelerating the transition to solutions that enhance the circular economy of after-sales services in the automotive sector. He noted that this transition (to R-HDPE) not only encourages innovation but also necessitates cross-value chain collaboration in order to put worthy initiatives like the Trucircle initiative into action.
Al Otaibi said that this (R-HDPE) mechanical recycling project is the first of its kind in the Kingdom of Saudi Arabia. It aims to create a strong and long-lasting new business model and shows that it is possible to expand circular solutions and share expertise to extend the life of plastic and restore value from oil packaging waste after consumption.
The introduction of R-HDPE material (HDPE T3K01B) by Sabic highlights the company's Trucircle initiative, which includes mechanically recycled materials, initiatives to complete the plastic waste cycle, recycling design services, certified circular products made from advanced recycling of used plastics, and bio-feedstock certified renewable polymers.
The market of R-HDPE was almost stable for the past three months (from Sept. to Nov. 2022), and since the last week of November, this product has not witnessed any changes in its price, as there was stability in the demand–to–supply ratio of this product. The consistency in this ratio was because of the moderate demand for R-HDPE products from plastic products manufacturing and packaging sectors. Average production activity in upstream companies also had a vital role in maintaining this ratio.
As per the analyses by ChemAnalyst, R-HDPE was being traded at USD 865 per MT for injection molding grade on (spot) ex – Riyadh basis in the previous week, and the firm expects the price of this product to grow from the beginning of the next year, as it envisages the demand for R-HDPE to raise and incline in the prices of upstream crude oil.