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Covestro and Encina Reach Agreement

This marks the first major procurement agreement involving chemically recycled, circular-based raw materials for the company.

Covestro and Encina have reached a long-term supply agreement for chemically recycled, circular feedstock derived from post-consumer end-of-life plastic. Specifically, Encina will supply Covestro with benzene and toluene pending the completion of Encina’s production facility, anticipated to come online at the end of 2027.

According to Covestro, this marks the first major procurement agreement involving chemically recycled, circular-based raw materials for the company — a major step in the Covestro’s journey toward full circularity. It also helps reduce Scope 3 emissions for Covestro and its customers.

“The ability to source raw materials from used plastics for the manufacture of our products makes a decisive contribution to realizing our vision of a circular economy,” said Thorsten Dreier, chief technology officer at Covestro. “This is because such raw materials not only enable the reuse of used plastics, but also have a lower carbon footprint, which leads to more sustainable end products.”

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