Neste and Mitsubishi partner to accelerate Japan’s bio-based plastics production

19 Jul 2024 --- Neste and Mitsubishi Corporation (MC) are developing value chains for plastics and renewable chemicals for the Japanese market. 

The partners are targeting brands in F&B, apparel and consumer electronics industries. 

“The transition toward more sustainable, such as renewable, solutions in the polymers and chemicals industry has been primarily led by forerunner companies and brands on a voluntary basis,” a Neste spokesperson tells Packaging Insights. 

However, Japan has set a target to produce approximately 2 million metric tons of plant-based plastics annually by 2030 and to achieve carbon neutrality by 2050. 

“We see that supportive legislative frameworks are necessary to speed up the much needed industry transformation and will drive the demand for more bio-circular products and their acceptance.”

Neste is pushing the transition toward more renewable solutions in the polymers and chemicals industry. Providing materials and know-how
In the project, Neste will provide its expertise in sustainability and more sustainable materials, also in the form of renewable Neste RE, a bio-based raw material for plastics production. 

MC will provide its experience in business development and supply chain management of petrochemical products and derivatives in the region. 

Together, the partners will offer comprehensive solutions for Japanese brands looking to reduce GHG emissions and reliance on fossil resources in their supply chains.

“Through this partnership, we will be able to provide sustainability-minded companies in Japan with a full package to reduce their plastics-related GHG emissions,” says Carrie Song, senior vice president for Commercial at Neste Renewable Products.

 “Together, we can provide the materials and the know-how. We can also get the materials into the value chains, making it easier for companies to make the switch to more sustainable solutions.”

Economic benefits 
Neste and MC have already cooperated on several individual projects, including a collaboration with other partners to enable the production of renewable PET bottles for Suntory Holdings and a multi-party collaboration to produce apparel from bio-based materials for sportswear company Goldwin.

“Our strength lies in our capability to establish supply chains and access a variety of brand owners in Japan,” says Yoshiyuki Watanabe, division chief operating officer for Business Development at Mitsubishi.

“We have cultivated this strength over many years through traditional trading and strategic investments in collaboration with trusted partners. Recognizing that these achievements cannot be made alone, we are eager to strengthen our relationship with Neste. We are thrilled to expand our network to include partners who share similar values, thereby generating economic, societal and environmental benefits to meet the needs of society.”

Neste and Mitsubishi Corporation will accelerate the transition from fossil to renewable plastics under this partnership, contributing to the realization of a defossilized society in the materials sector.

“Neste is eager to expand its network to include partners in the APAC region who share similar values, thereby generating economic, societal and environmental benefits to meet the needs of society,” says the spokesperson.

By Natalie Schwertheim