SK Group to build biodegradable material factory in Vietnam
On September 25, SKC, a chemical unit under the energy-to-telecom conglomerate SK Group, said that the factory of Ecovance, a joint venture between SKC and two other RoK partners, will be established in Vietnam's Hai Phong city to manufacture polybutylene adipate terephthalate (PBAT), a biodegradable co-polymer widely used as feedstock for general plastics.
|SKC Co. of the Republic of Korea (RoK) is planning to build a factory in Vietnam to produce materials for biodegradable plastics, as it pushes to expand the eco-friendly materials business.|
The facility is set to go operational in 2025 and produce 70,000 tonnes of PBAT a year.
Officials of SKC and Ecovance visited Hai Phong on September 22 for a ceremony where Vietnamese authorities presented them with an investment registration certificate.
Ecovance specializes in developing PBAT with enhanced durability. PBAT is extensively used in general-purpose plastics, from industrial films and food containers to diapers and masks.
SKC will also be building a separate facility to produce an annual 36,000 tonnes of its biodegradable material, named Limex, at the same site, according to the firm.
SKC is pivoting to an advanced materials company largely engaged in the manufacturing of secondary battery materials and other advanced components like semiconductor packaging.