Covestro supports clients on their circular goals

The Mass Balance TPU From Covestro's Changhua Site Advances Chaei Hsin's Shoe Materials to its Circular Goal


·   The Changhua Site has obtained ISCC Plus certification in this April for mass balance production 
·   Covestro has supported its client in Taiwan, Chaei Hsin, to reach the circular goal with a more sustainable TPU solution, maintaining the product quality while applying bio-based recycled materials to existing production lines without technical modification 

Covestro’s Changhua and Shenzhen sites have obtained ISCC Plus certification for mass balance production in the first and second half of 2022, respectively, striving to support the circular aims of their clients, and the first order came to the Changhua site from its long-term value chain partner-Chaei Hsin. With the new CQ (Circular Intelligence) solution for TPU, Chaei Hsin has upgraded both it’s TPU film series and sport footwear Joniro® with the new recylable material without needing to change any product designs or manufacturing techniques. This solution has not only solved the pain points of Chaei Hsin but has also improved its contribution to the circular economy, and most importantly, the solution can be produced in Taiwan and Mainland China, conveniently supporting all Covestro’s clients in APAC. 

Covestro is aiming to become fully circular, and also encourages its value chains to be part of the circular ecomony, one of which is Chaei Hsin. Covestro’s Changhua site produces TPU applied on footwear, bags, electronics, medical devices, apparel, sport gears, and climbing gears. Chaei Hsin has been dedicated to the prosperous footwear industry in Taiwan for past years, and now creates its own brand, Joniro®, with the target of becoming the leading brand using recycled shoe materials in Asia. To achieve this goal, Chaei Hsin has tried many approaches to producing sustainable materials, however, those solutions all failed due to high increase in costs, emissions, and defect rates, impeding its pursuit of a circular economy. Luckily, Covestro’s ISCC Plus certified mass-balance TPU solution, made with Desmopan® CQ and Utechllan® CQ, was the answer. It can be directly integrated into current production processes without technical modifications, and delivers identical physical properties and performance quality. This solution helped Chaei Hsin raise productivity and meet the market needs efficiently. 

The Desmopan® CQ and Utechllan® CQ series offer exceptional resistance to hydrolysis, radiation, oil grease, abrasion, solvents, and weathering, which provides excellent surface protection for Chaei Hsin's sports shoe brand, Joniro®, assisting Chaei Hsin to satisfy high customer demands for more personalized, comfortable, sustainable shoes, sharpening the brand's competitive edge in the consumer market, and also decreasing the environmental impact. “Covestro is our our long-term and trusted partner. We are pleased to now also use the new, more sustainable materials to protect our environment. Covestro's mass-compatible TPU solution has effectively solved our current challenges, and we can't wait to use more of Covestro's more sustainable materials to further transform our product portfolio.” 
Said Wang Shuimu, General Manager of Chaei Hsin. 

The mass balance approach is now widely used in many of Covestro’s sites located in Europe and the APAC region. In mass balancing, bio-based raw materials are used and this saves fossil raw materials and reduces greenhouse gas emissions, while the product quality remains the same compared to purely fossil-based ones. Dr. Carsten Wildebrand, Managing Director of Covestro Taiwan added,“Covestro’s Changhua site, which is the largest TPU production site in the APAC region, had obtained ISCC Plus certification for the mass-balance approach earlier this year, and we are expecting to introduce more sustainable raw materials to the fields of IT, electronics, shoes, films, and medicals in the innovative APAC market. “ 

Alec Yang, Head of TPU Sales and Market Development Taiwan & ASEAN of Covestro also added,“ Alternative and bio-based materials for fossil-based products are what Covestro is looking for and aiming to. We are happy that our solution takes clients one step closer to their ambition of joining the circular economy. By doing this we are also contributing to the zero emission in scope 3. We are looking forward to more cooperation with our clients, together making the world a brighter place.” 


About Covestro: 
Covestro is one of the world’s leading manufacturers of high-quality polymer materials and their components. With its innovative products, processes and methods, the company helps enhance sustainability and the quality of life in many areas. Covestro supplies customers around the world in key industries such as mobility, building, and living, as well as the electrical and electronics sector. In addition, polymers from Covestro are used in sectors such as sports and leisure, cosmetics, and health, as well as in the chemical industry itself. 

The company is committed to becoming fully circular and aims to become climate neutral by 2035 (scope 1 and 2). Covestro generated sales of around EUR 15.9 billion in fiscal 2021. At the end of 2021, the company had 50 production sites worldwide and employed approximately 17,900 people (calculated as full-time equivalents). 

Find more information at www.covestro.com 

Forward-looking statements 
This news release may contain forward-looking statements based on current assumptions and forecasts made by Covestro AG. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financial situation, development or performance of the company and the estimates given here. These factors include those discussed in Covestro’s public reports which are available at www.covestro.com . The company assumes no liability whatsoever to update these forward-looking statements or to conform them to future events or developments.