SK chemicals (CEO Ahn Jae-hyun) announced on the 25th that it signed a Memorandum of Understanding (MOU) for the joint development of waste plastic recycling business in Guangdong, China, at the headquarters of Shanghai Yuekun Environmental Protection Technology (hereinafter Lovere), a leading waste recycling enterprise located in Shanghai, China. Through the MOU agreement, SK chemicals plans to develop a waste plastic collection and sorting business with Lovere in China starting with Guangdong Province, where its circular recycling plant is located. Both companies have come to secure waste PET, a raw material for circular recycling, through joint investment.

SK chemicals started collaboration with Lovere aiming to protect the global environment from China, which will become a home of waste plastics. The circular recycling technology of SK chemicals, abundant resources of China, and the collection and sorting system of Lovere are combined to address carbon reduction and waste issues. The circular recycling technology of SK chemicals, abundant resources of China, and the collection and sorting system of Lovere are combined to address carbon reduction and waste issues.

Industry observers note that SK chemicals went beyond solving waste issues through circular recycling technology and has taken a step closer to completing a closed loop leading to the "collection-sorting-recycled material production" by expanding the value chain to the collection and sorting stages of plastics. Moreover, SK chemicals is evaluated to have also stably secured raw materials to circular recycle "copolyester," its core business, capturing business viability as well. With the strengthening of global regulations, the recycled plastics market is expected to reach 600 trillion won by 2050.

Thus, attention from the global market toward SK chemicals, which rapidly completed the recycled plastic value chain, is anticipated to increase even more. SK chemicals plans to evolve into a company providing plastic recycling solutions to global manufacturers and brands through the construction of recycling clusters and digital solution building, starting with this MOU.