Under the joint agreement, Red Avenue New Materials Group will be responsible for producing PBAT according to high BASF quality standards. The company will build a PBAT plant in Shanghai, China, with an annual capacity of 60,000 metric tonnes of PBAT, using BASF’s process technology. This would be in exchange for the access to raw material from the plant, which BASF will sell as ecoflex. Production at the new plant is set to commence in 2022 and will supply the market of biopolymers. BASF global business unit Specialty Polymers head Olivier Ubrich said: “Our successful bio-polyester ecoflex and the innovative ecovio are already giving us significant participation in this growing market. “Due to Red Avenue’s commitment and network to develop the Chinese market, their strategically interesting location and their long-lasting good relationship with BASF, we have identified Red Avenue as our preferred partner.” The partnership between the two companies is expected to increase their delivery flexibility. Red Avenue New Materials Group president Zhou Jianhui said: “With rapidly growing business opportunities for advanced materials especially in the internet, for example by new consumer behaviour, we will work together to develop the PBAT market in China and promote the development of the new materials’ industry.” Ecoflex, which was introduced into the market in 1998, is used as a blend with other renewable raw materials to compound BASF’s certified compostable biopolymer ecovio. Typical applications for the partly bio-based ecovio are organic waste bags, cling film, fruit and vegetable bags, as well as agricultural mulch films and food packaging applications.
