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Sustainability

Sustainability

Circular Economy at BASF

Circular economy means decoupling growth from resource consumption. BASF is driving circular economy by making the most of the limited resources of our planet: We keep them in use for as long as possible, minimize waste and create value with renewable resources. 

Video cover of circular economy

We contribute to close and extend the loops by developing and implementing circular solutions for the materials we source, further optimizing our operations and offering resource-efficient products and services which support our customers’ circularity journeys.

We aim to move toward a more Circular Economy by increasingly use recycled and renewable feedstocks, shaping new material cycles and creating new business models. BASF has therefore launched a new Circular Economy Program. By the year 2030, BASF aims to double its sales generated with Loop Solutions for the circular economy to €10 billion. They encompass the revenue generated from our circular products, which are based on renewable or recycled materials or support the recycling process (close the loop), as well as products that increase the durability or prolong the lifespan of materials (extend the loop). To achieve this, the company is concentrating on three action areas: circular feedstocks, new material cycles and new business models. 

Shaping new material cycles

A Circular Economy can only be achieved if circularity is planned in the product development. For BASF this starts with designing long-lasting materials with a high material value at end-of-life together with our customers. For end-of-life management, we develop additives and adhesives which improve or enable the mechanical recycling of end products. We are also working to establish product-specific recycling loops, for example for mattresses and batteries. We are working together with partners in the value chain from the collect recyclables as well as developing the technology to process the material. 

New business models

We develop new business models that meet the needs of our customers. Digital innovation will play a key role here, for example in developing track and trace solutions, or smart farming. We see this as an opportunity to enter new markets. We see potential in offering service models rather than just selling a chemical product. 

Circular feedstocks

We will continue to increase the volume of renewable and recycled feedstocks from sustainable sources which we already use as drop-in solution. In a challenging environment with limited availability of alternative raw materials, we still aim to process 250,000 metric tons of recycled and waste-based raw materials, such as pyrolysis oil from mixed plastic waste or end-of-life tires, in our production plants annually from 2025. The certified mass balance approach enables us to offer products with an allocated share of renewable or recycled feedstock. Customers can choose these products if they want to contribute to saving fossil resources and a lower carbon footprint. We also offer a bio-based portfolio, e.g. for personal carenutrition or plastics.

New Feedstocks 

The collaboration is part of BASF’s ChemCyclingTM project which focusses on chemically reprocessing post-consumer plastic waste on an industrial scale. The pyrolysis oil is fed into the BASF Verbund in Ludwigshafen, thereby replacing fossil resources. The share of recycled raw material is allocated to certain products manufactured in the Verbund by using a third-party audited mass balance approach. The products which carry the name suffix “CcycledTM” have the exact same properties as those manufactured from fossil feedstock. Customers can therefore further process them in the same way as conventionally manufactured products and use them in applications with high demands regarding quality and performance, such as automotive parts.
ChemCycling®
With its chemical recycling project ChemCycling® BASF aims to manufacture high-performance products from chemically recycled plastic waste on an industrial scale. BASF cooperates with technology partners who transform plastic waste into pyrolysis oil. This oil is fed into BASF’s Verbund and attributed to certain sales products by using a third-party audited mass balance approach. The products have the exact same properties as those manufactured from fossil feedstock.
 
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Biomass Balance
BASF’s biomass balance (BMB) approach contributes to the use of renewable raw materials in BASF's integrated production system and can be applied to the majority of BASF's product portfolio. Biomass balanced solutions reduce CO2 emissions and save fossil resources. 
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Bio-based Products
BASFs dedicated bio-based portfolio offers solutions for multiple applications. Either as substitute for a fossil alternative (so called drop-ins) to reduce the carbon footprint or new products using their unique properties. 

New Material Cycles 

New Business Models 

06638_2021 Kunststoff Recycling Gruenstadt GmbH
Infrared Spectroscopy (trinamiX)
trinamiX GmbH, a 100% subsidiary of BASF,  has developed a mobile Near-Infrared (NIR) Spectroscopy Solution to identify plastics for easier sorting. Using trinamiX technology, the diverse compositions of different plastics can be precisely determined and thus distinguished via the simple use of a portable handheld device that combines trinamiX data analysis with a mobile app. As such, recycling and recyclability are improved, paying off for both the environment and businesses alike.
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xarvio™ - the Future of Farming
xarvio™ – Digital Farming Solutions offers digital products that deliver independent field-zonespecific agronomic advice enabling farmers to produce their crops most efficiently. Using xarvio™ means to have a better oversight, less risk and more reliability for planning and managing fields and field zones via the use of a mobile app. The SCOUTING, FIELD MANAGER and HEALTHY FIELDS products are already being used by farmers in more than 100 countries worldwide. 

Further information about Circular Economy

April 22, 2021