Chemical industry, circular economy and green growth
Last week I spoke at the Handelsblatt decarbonization summit and took part in a panel discussion. It is clear to us at Covestro that even in a challenging environment, the only way to a sustainable future is through the circular economy.
Is green growth the only option for our future? The chemical and plastics industry, a major source of greenhouse gas emissions, plays a crucial role in answering this question. Our products can be found everywhere, be it in everyday life or in future-oriented areas such as sustainable construction, electromobility and renewable energies. This is not only the challenge, but also the solution to sustainability problems.
Covestro has been relying on the circular economy since 2019, and we all agree: the overexploitation of natural resources is not sustainable. We urgently need to rethink our business models. The conditions for change are in place, from non-fossil alternative raw materials such as CO2 and biomass, to innovative recycling methods for plastic waste, to the use of renewable energy, which is also essential for the circular economy.
But green growth is a collective endeavor. It requires commitment and support at all levels – from investors to consumers. Companies need to invest in new processes and infrastructure, while financial and capital markets should offer innovative financing options.
Sustainable products require functioning markets and must be affordable at the same time. Politics can help here by creating incentives and introducing instruments such as recycling quotas or product labels.
The circular economy requires strong cooperation and a discourse across society. We must work together to rebuild the value chain, optimize waste flows and develop new business models.
The high energy costs in Europe place a significant burden on the ongoing change in the chemical industry and our ambitious sustainability goals. We must cover the large energy demand from renewable sources at competitive prices. Renewable energies must be available; we need acceleration here.
The shift to green growth cannot happen overnight. It takes time and shared consensus. Society must be taken along. Media, fact-oriented reporting on these important topics is important - because we need an informed society that can lead a discourse.
A discourse drives both discussion and solutions. Together we can break new ground and tackle the mammoth task of circular economy and green growth. Because the future requires the commitment of all of us.
Each of us can make a difference.