German materials developer Covestro has debuted an array of new products and development plans at the ongoing fourth China International Import Expo, displaying its strong confidence in the country's high-quality development blueprint.

Covestro, which is participating in the annual CIIE for the first time, announced on Sunday that it will build a new plant for polyurethane elastomers in Shanghai with the aim to better serve rising global demand, especially in the Asia－Pacific region.

"This investment represents a further vote of our confidence in and commitment to China, where we believe our elastomers and other high-tech materials solutions can contribute to the nation's sustainable development and carbon neutral ambitions," said Holly Lei, president of Covestro China.

Lei said the new plant will be built inside Covestro Integrated Site Shanghai, which is the company's largest site worldwide and home to 11 plants. It is expected to become operational in 2023.

"Polyurethane elastomers are the solution of choice for many applications due to their excellent performance, and we see strong growth in particular in the sustainable energy sector," said Thomas Braig, head of Covestro's elastomers segment. "The new plant will further enhance our capacity to serve our customers and fit Covestro's sustainable future strategy."

New products debut

Under the theme "Pioneering a Circular Economy for a Climate-Neutral Future", the materials manufacturer is showcasing cutting-edge solutions and technologies centered around the circular economy－including the use of carbon dioxide as an alternative raw material, bio-based feedstocks that replace fossil resources, and a novel breakthrough process for the chemical recycling of polyurethane mattress foam.

"With our broad portfolio focused on the circular economy in various industries, we are strategically well positioned to support China's sustainable development, particularly the country's ambitions to become carbon neutral," said Markus Steilemann, CEO of Covestro. "Our vision to become fully circular is in line with China's trends, as we recognize that China will play a key role in the transition to a circular economy."

The company announced the Asia debut of two ISCC PLUS-certified mass-balanced products with a lower carbon footprint, which are MDI－a key raw material for polyurethanes, and the high-performance plastic polycarbonate, with imported raw materials. Both contain a significant proportion of alternative raw materials and have a wide range of applications, according to the enterprise.

Covestro also secured its first commercial order for its ISCC PLUS-certified polyurethane raw material MDI with Huafon Group at its booth at the CIIE. According to Covestro, MDI can be used in apparel and automotive interiors, among other applications, and can also be used to provide efficient thermal insulation for refrigeration appliances and buildings.

"We have been looking to use more sustainable, low-carbon raw materials in our products," said You Feiyu, chairman of Huafon Group. "With Covestro's offering, we can reduce greenhouse gas emissions across the entire value chain together."

Expanding partnership

Apart from adding new investment projects in China, Covestro has been looking to expand partnership with top Chinese research institutes to better serve local demand in recent years.

At the CIIE, Covestro inked a new partnership with the Shanghai Institute of Organic Chemistry of the Chinese Academy of Sciences to explore and seek effective solutions to the challenges in the polymer chemical materials field, especially those related to sustainability and the circular economy.

Covestro also signed an agreement with its long-time partner Tongji University on Monday to extend their Innovation Academy partnership for another five years to drive circularity, building on a decade of successful cooperation.

"With the new partnership with SIOC and the extension of the Covestro-Tongji Innovation Academy, we will continue to foster open innovation initiatives with a focus on the circular economy," said Michael Schmidt, head of Global Innovation Management & Group Innovation Asia Pacific at Covestro.

"Together with our academia partners, we are even better positioned to help address many mega trends in China and beyond."