LG Chem signed an MOU for recycling plastic resources and constructing a circular economy at the Yeouido LG Twin Tower on the 6th.

With this MOU, CJ Logistics will collect packaging wrap thrown away at its logistics centers nationwide and deliver them to LG Chem. LG Chem will use its PCR (Post-Consumer Recycle) technologies to produce recycled wraps and supply them to CJ Logistics.

Packaging wraps (stretch film) are used to fasten items loaded at logistics centers and industrial sites and prevent them from shaking. Most of them are polyethylene (PE) products.

Starting with supplying 1,000 rolls of recycled wrap to CJ Logistics this month, LG Chem plans to increase the quantity by recycling the additional packaging wraps it will receive from CJ Logistics.

This eco-friendly project of LG Chem and CJ Logistics is expected to not only reduce waste generated by deliveries, which have been increasing rapidly in contact-free age, while building a recycling ecosystem that effectively collects packaging wraps generated at each logistics center by utilizing the logistics network.

About 800,000 tons of polyethylene waste are generated annually in Korea, but the industry estimates that only 300,000 tons can be recycled. The recycling rate is around 40%, and so the remaining waste plastic resources are incinerated, buried in landfills, or used as waste fuel. Therefore, efforts from the industry to increase recycling rates and construct a relevant ecosystem are needed.

LG Chem Vice President and Head of LG PO (Polyolefin) Sales & Marketing, Samuel Han commented, “We will construct a plastic circular economy by recycling packaging wrap that can be collected at logistics centers around the nation and contribute to reducing carbons for a sustainable future.”

Meanwhile, as part of its sustainability strategy, LG Chem launched diapers and floor materials using biomaterials, and also released eco-friendly remote controllers and set-top boxes using recycled plastics. Furthermore, LG Chem began construction of a supercritical pyrolysis plant in March, focusing on carbon neutrality resource circulation activities.