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SKC invests $100 million in world's largest biodegradable plant in Vietnam

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Illustration of Ecovance Vietnam's biodegradable plastic factory. (Photo: An Phat Holdings)

While plastic packaging has long been an environmental destroyer, the new "biodegradable plastic" could be an alternative. As demand for eco-friendly materials grows in Southeast Asia, Ecovance Vietnam, the subsidiary of SKC Group from South Korea invested approximately 100 million USD in May to produce biodegradable plastic PBAT (Polybutylene Adipate Terephthalate) in the Dinh Vu Industrial Zone in Hai Phong City, with an annual production capacity of 70,000 tons. The factory is expected to become the largest PBAT manufacturing plant in the world and be completed by 2025.

What is PBAT biodegradable plastic?

PBAT is fundamentally a petroleum-based chemical product, but can be completely converted to biomass, carbon dioxide and water by microorganisms. So, it is biodegradable polymer and one of the main products to replace traditional plastics.

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