From the Sector

Indorama Ventures Public Company Limited (IVL), a global sustainable chemical company, announced its inclusion in the Dow Jones Sustainability World Index (DJSI World) and the Dow Jones Sustainability Emerging Markets Index (DJSI Emerging Markets) for the third and fifth consecutive year respectively. The successive years of DJSI inclusion reflect IVL’s strong commitment to sustainability with globally recognized industry best-in-class practices.

This year, 139 chemical companies were selected from more than 11,000 companies from 61 industries and about 5,300 companies eligible for S&P Global ESG indices. IVL ranked in the 97th percentile with full scores in the areas of environmental and social compliance, enabling policies through industry associations, human rights protections in the workplace and value chain, and sustainable water management including forecasting potential water related risks in operations.

Yash Lohia, Chief Sustainability Officer at Indorama Ventures, said, "As a global leader, this is an important milestone in our operations as we transform the chemical industry. Our inclusion in the DJSI for the fifth year running is a tribute to how IVL’s operations are contributing to a more sustainable future. Our strategy includes focusing on climate action, aligning with the world's net zero ambitions, strengthening the circular economy and PET recycling with our ambitious targets, and enhancing shared value with our stakeholders.”

The Dow Jones Sustainability Indices (DJSI) are a global benchmark for sustainability-driven companies, evaluating material governance & economic, environmental and social factors.

Gina Tricot releases its first collection that has been produced with We aRe SpinDye. The collection is part of Gina Tricot's innovation program Gina Lab. and consists of a coat, shirt, trousers and two bags colored with We aRe SpinDye's method.

With the collaboration, Gina Tricot continues to focus on sustainability, now with the coloring process at the center. Of all the resources that arise during the entire lifespan of a garment - from the production of raw materials, to recycling, 80% is used during the production phase itself. To maximize the effects of the sustainability changeover, an increased focus is required on the entire production process and in particular on the most resource-intensive of them all: the dyeing.

One of Gina Tricot's focus is to explore new methods and technologies in sustainability, which makes the collaboration with We aRe Spin Dye feel just right for us. Together we get a product with more durable and circular fibers, in addition with a more sustainable textile production with a focus on minimal water use. We are extremely proud of this collaboration. says Emma Garrote, Global Production & Sustainability Manager at Gina Tricot.

Gina Tricot is a shining example of an agile organization with short decision-making processes. They have managed to enthuse both the design and production department. It has been crucial to reach the launch of this collection that takes place today, says Andreas Andrén, CEO of We aRe SpinDye®.

Gina Tricot
Gina Tricot is a Swedish fashion brand that offers fashion to women in over 30 countries. Today, Gina Tricot has over 160 stores around Sweden, Norway, Denmark and Finland, as well as e-commerce throughout Europe. With around 1,900 employees, 98% of these are girls. For Gina Tricot, it is important to build pride from the inside out, we are a company that chooses to invest in and highlight women.

We aRe Spin Dye
The company is a Swedish cleantech company that provides and offers a process and platform for production and quality control that enables players in the fashion and clothing industry to significantly reduce their environmental impact. The company's business concept is to establish a new, sustainable and transparent standard for dyeing synthetic textiles in the fashion and apparel industry in a simple and user-friendly way.

The acoustic performance of components for the vehicle interior such as inner dashes or carpets depends on the noise-reducing quality as well as the geometrical adaptability and fill power of their material. With Flexi-Loft, Autoneum offers a new felt-based technology that thanks to a unique blend of recycled cotton and functional fibers reduces product weight and allows for accurate adaptation even to complex shapes. The textile material therefore provides a versatile and more sustainable alternative to foam.

In order to achieve high acoustic performance at minimum weight and maximum sustainability, Autoneum is continuously advancing its textile product portfolio. When it comes to components for the vehicle interior, for example, standard thermoplastic felts excel through their acoustic absorption, robustness and environmental friendliness. However, since felt-based materials are generally less voluminous and moldable as foam components, they require more weight to thoroughly fill the areas of varying thickness between the surface of the component and the vehicle’s body-in-white. In contrast, Autoneum’s Flexi-Loft technology is significantly lighter, more flexible and more adaptable than standard felts. In addition, the fiber-based material is versatile and clearly outperforms current foam products in terms of sustainability.

Thanks to its blend of recycled cotton and polyester fibers, Flexi-Loft substantially reduces component weight while improving geometrical adaptability and acoustic performance, especially in areas of low thickness. Thanks to the specific properties of the fibers, Flexi-Loft enables a precise adaptation to a wide variety of vehicle bodies, thereby improving the noise-insulating qualities of the respective product. Even at low weight, Flexi-Loft covers a wide range of material thicknesses, thus proving to be an ideal decoupling material for interior components with complex shapes such as inner dashes and automotive carpets. As a lightweight, flexible and sustainable alternative to both standard felts and foam, Flexi-Loft distinguishes itself by its versatile application in combination with existing Autoneum technologies such as Hybrid-Acoustics and Prime-Light. Moreover, the material helps to reduce odor and dust inside the vehicle.

Flexi-Loft consists of at least 50% recycled cotton fibers, and cut-offs generated during the manufacturing process are reclaimed, processed and then reused in the production of new felt blanks.

Autoneum is already using Flexi-Loft worldwide as an insulator for various carpets, inner dashes and other acoustic components based on its Prime-Light technology. The application of the material as an effective decoupler in inner dashes made of Hybrid-Acoustics will be launched on the European market in 2023.

In 2021, Berto Industria Tessile embarked on a series of journeys through the denim supply chain, touching both B2B and B2C worlds.

The first journey of this adventure, aimed at discovering and publicizing the world of indigo and, began by talking about the collaboration with the turkish garment maker blue matters creating a green collection to be proposed to the world's top brands, continuing with “su mirura project” in the second chapter.
This project has its objective in supports, with a ready on stock fabrics, (which at this time of difficult availability of product becomes extremely relevant), young emerging talents in the world of fashion that, in our industry, both for problems related to  minimum order quantities and for problems related to financial commitments of startups, would having difficulty in the raw materials research.

In this third chapter of the personal voyage into the world of denim, Berto Industria Tessile talks about two realities that are not only made in Italy, but also made in veneto, for a zero km circularity supports.

Two brands that are part of two different segments of the indigo world of b2c, one operating in the world of clothing and one in the creation of fashion accessories, but who have a common denominator between them, the use of 100% in their collections of denim fabric Berto.*

* See attached document for more information.

• COMPOSITES SUSTAINABILITY REPORT 2021  

JEC Group in collaboration with EuCIA has published the first edition of the Composites Sustainability report 2021. This report seeks to give highlights about the part composite materials are playing in creating the sustainable European economy of the future.   

The contents of the book are comprehensive: starting with discussions around the widely recognised Life  Cycle  Assessment  methodology  for  calculating  the  environmental  impact  of  products,  it then 
moves through a series of analyses and case studies presenting the Circular Economy approach and ranging from raw materials (including bio-based) to industrial components.    

The purpose of the work, rather than results, which quickly become obsolete, is to give examples of approaches contributing to and moving towards sustainability. To do so, JEC Group has arbitrarily split
the value chain into five parts:
• Background, LCA, circular economy ;  
• Concept, design, raw materials ;  
• Production, processes, waste ;  
• Recycling, recovery ;
• Applications. 
 
The book “Composites sustainability Report 2021” is for sale online.

The Chairman of the Walter Reiners-Stiftung foundation of the VDMA Textile Machinery Association, Peter D. Dornier has awarded prizes to three successful young engineers. The award-winning works provide practical solutions on the topic of circular economy. For example, the recycling of carbon fibres, which are used to produce lightweight components for the automotive industry. Or the environmentally friendly production of yarns from crab shells. Another topic was medical applications: The processing of ultra-fine yarns into stents for aortic repair. The award ceremony took place online on 9 November as part of the Aachen-Dresden-Denkendorf International Textile Conference.  

With a creativity prize, endowed with 3,000 euros, the foundation honoured the diploma thesis of Irina Kuznik, TU Dresden. She used a creative approach to realise solutions for processing chitosan into fibre yarn.

Mr Kai-Chieh Kuo was awarded the diploma/master's thesis promotion prize of 3,500 euros. With his master's thesis, which was written at RWTH Aachen University, Mr Kuo contributes to the production of vital components used in medicine. The stents made of ultra-fine yarns are made possible by an innovative modification of the classic tube weaving process.

The Walter Reiners Foundation rewarded the doctoral thesis of Dr. Martin Hengstermann with the promotional prize in the dissertation category, endowed with 5,000 euros. The thesis deals with the production of recycled carbon fibres. These can be used to produce lightweight components for motor vehicle and aircraft construction or the wind energy sector.

New Prize Sustainability / Circular Economy
The environmental conditions of the textile industry and machine construction are changing. Topics such as climate protection and the circular economy are becoming central. From this perspective, the board of the Walter Reiners Foundation has decided to further develop the foundation's prize system.

In 2022, the foundation will for the first time offer a prize with a focus on design / sustainability. Peter D. Dornier, Chairman of the Foundation, explained: "Already in the design phase, one can set the parameters so that a textile product can be reintroduced after use into the economic cycle for a high-quality application. For example, through the appropriate use of materials and finishing. We are looking for solutions for resource-saving design, technology and manufacturing processes."   

Showing its leadership, ROICA™ marks a milestone in the world of stretch, enhancing a contemporary wardrobe made of new generation values that are fully conveyed and visible to the end consumer. Indeed, by creating cutting-edge tools, such as the hangtags that provide, through simple and well-designed icons, clear and concise functional information showing for each application the values and performances of each single ROICA™ families: ROICA Colour Perfect ™, ROICA Resistance™, ROICA Feel Good™, ROICA Eco-Smart™, ROICA Contour™.

On top of this, in order to ASSURE that what is labelled as ROICA™ Sustainable truly reflects the brand’s new generation values, the company created and introduced a branding policy indicating the allowed blends for their smart yarns belonging to the unique ROICA Eco-Smart™ family. A big step toward complete transparency and transparent AUTHENTIC communication.
ROICA™ identity will be activated in all its communication tools and channels, such as a renovated website and social media presence.

At MarediModa – the international fair dedicated to fabrics and accessories for the beachwear, underwear and athleisure sectors - ROICA ™ partners such as Eusebio, Iluna Group, Interjersey Milano, Maglificio Ripa, Penn Textile Solutions GmbH, Piave Maitex and Sofileta shared their latest fabric innovations where sustainability cutting-edge performance and design realized with ROICA™ premium stretch ingredient, were on stage.

Following a thorough assessment by rating agency S&P adidas’ sustainability performance has received an outstanding evaluation. Assessed across Environmental, Social and Governance (ESG) dimensions, adidas was awarded with an ESG Profile Score of 79 out of 100. Combined with a strong Preparedness Score (+6), the company’s overall ESG Evaluation Score amounts to 85, placing adidas sixth in the entire S&P Global Rating Universe.

In its assessment, S&P emphasizes adidas’ industry-leading approach to innovation, supply chain management and consumer engagement. In particular, credit is given to adidas’ ambitions to scale the use of sustainable materials, to expand circular services and to deliver against ambitious net-zero emission targets. In addition to adidas’ strong control mechanisms over its supply chain ensuring fair and safe labor practices, the analysis also calls out the integration of a sustainability target into the compensation system of the Executive Board. The close interaction between the Supervisory Board and the Executive Board is seen as exemplary and supportive of the overall strategy execution.

Indorama Ventures Public Company Limited issued a THB 10 billion triple-tranche Sustainability-Linked Bond, showcasing the company’s long-standing commitment to sustainable growth. It is the largest SLB issued in Thailand and the first offered to both institutions and high-net-worth investors.

The bond is part of IVL’s financing strategy across a range of instruments linked to the company’s sustainability targets. It is aligned with internationally accepted standards including International Capital Markets Association’s (ICMA) Sustainability-Linked Bond Principles and the Loan Market Association’s (LMA) Sustainability Linked Loan Principles.

The SLB is linked to IVL’s performance of reducing GHG emissions intensity by 10% by 2025 (from a 2020 base), increasing recycling of PET bale input to 750,000 tons per year by 2025, and achieving 25% renewable electricity consumption in 2030.

The triple-tranche structure includes 5-, 7-, and 10.5-year tenors, offering coupons of 2.48%, 3.00% and 3.60% per year respectively, targeting asset managers, commercial banks, insurance companies, cooperatives and high-net-worth individuals. With the orderbook peaking at over THB 17.8 billion due to strong interest in the sustainability-linked instrument, oversubscription was around 3x over the planned issuance amount of THB 6 billion with a green shoe option of THB 4 billion. In view of the strong orderbook from the investors, the company decided to exercise the green shoe option and increased the issuance to THB 10 billion, setting a new benchmark as the largest SLB transaction in Thailand. IVL appointed Bangkok Bank, Kasikorn Bank, Krungthai Bank, Siam Commercial Bank, and The Hongkong and Shanghai Banking Corporation Limited, Bangkok Branch as arrangers and bookrunners for the transaction.

On 23 September 2021, the bond was assigned an AA- rating and a “stable” outlook by TRIS Rating following a strong recovery of petrochemicals and derivatives and IVL’s growing profitability.

Under the terms, all tranches must purchase Energy Attribute Certificates (EAC) or voluntary carbon offsets in the event of failure to meet the sustainability performance targets (SPT). The testing dates for tenors with a maturity of 5 and 7 years are 31 December 2025, and 31 December 2030 for the 10.5-year tenor. SPT performance will be independently verified upon the testing dates.Proceeds for the issuance will be used to finance IVL’s corporate working capital and refinance existing debt.

In recent years, IVL secured loans linked to improvements in the company’s sustainability performance as a global leader in environmental, social and governance (ESG) integration. These included Thailand’s first Green Loan of USD 200 million and EUR 200 million from Japan’s Mizuho Bank, Thailand’s first cross-border Sustainability-Linked Ninja Loan worth USD 225 million from 16 institutions in Japan and a Blue Loan of USD 300 million arranged by International Finance Corporation and funded by Asian Development Bank and DEG.

After its launch on 20 September 2020, the RCI is proud to celebrate its first anniversary this fall. The balance sheet of the first year is impressive: starting from 11 founding members, that number increased to 30 member companies within 12 months. Numerous webinars, press releases, background information, a glossary and a comic allowed to convey the “Renewable Carbon” concept to the public. The RCI is actively working on labelling and policy analysis, and more activities will follow in the next year.

Key for this success: the topic of renewable carbon in chemicals and materials is increasingly becoming a focus of politics and industry. Larger companies will have to report their GHG emissions and also the footprint of their products as part of legislative changes surrounding the European Green Deal. In this context, indirect emissions and the carbon sources of materials will play a much more crucial role. The RCI is actively working on solutions for companies to shift from fossil to renewable carbon, which consists of the use of bio-based feedstock, CO2-based resources and recycling. In the future, reporting on GHG emissions will also include Scope 3 emissions, which are all indirect emissions that occur along the company’s value and supply chain and where the used raw materials account for a large proportion of the footprint. Here is where the carbon source of chemicals and plastics comes into play as an important contributor to the carbon footprint. Without a shift from fossil to renewable carbon feedstocks (combining bio-based, CO2-based and recycled), a sustainable future and the Paris climate targets will be almost impossible to master.

To discuss, promote and realise the shift, 30 innovative companies have already joined forces to support the transition to renewable carbon, considering both technological and economical approaches – and helping to shape the political framework accordingly.

For the second year, RCI plans to focus on a comprehensive understanding of the expected political framework conditions in Europe and across the globe, since they will determine the future of chemistry and materials more than ever. Building on this knowledge, the topic of renewable carbon could then to be systematically integrated into new political directives, which has so far not been effectively managed.

In reality, the political focus lies on the strategy of decarbonising the energy sector, a very central and Herculean task. However, it cannot be applied to the chemical and material world because carbon is usually the central building block that cannot be dispensed with. On the contrary, the demand for carbon in the chemical and materials sectors is expected to more than double by 2050. In order to meet this demand in a sustainable manner, we must move towards quitting fossil carbon. For the first time in industrial history, it is possible to decouple chemistry and materials from petrochemicals and completely cover the demand through the utilisation of biomass, CO2 and recycling.