#South Korea #Seongnam #Automotive #SK Chemicals #Durmont

SK Chemicals and Durmont: A Game-Changing Partnership in the Automotive Sector

In a significant step towards sustainability in the automotive industry, South Korea's SK Chemicals has signed an exclusive partnership agreement with Austria's Durmont to supply recycled materials for vehicle production. This collaboration, announced on June 25, 2025, aims to revolutionize how automotive brands perceive and utilize sustainable materials in their manufacturing processes.

The Aim of the Partnership

The agreement, signed at SK Chemicals' headquarters, ECOLAB, involves not just SK Chemicals, but also Paarang, which will facilitate smooth operations between the two companies. Durmont, a leader in automotive carpet manufacturing, produces goods for around seven million vehicles each year. The recent acquisition of Durmont by the Visscher-Caravelle Group (VC), a Dutch supplier known for its substantial market presence, adds further significance to this partnership.

Innovation with SKYPET CR

At the heart of this collaboration is SK Chemicals' innovative recycled plastic material, SKYPET CR. This substance is created through advanced chemical recycling technology, ensuring it not only boasts 100% recycled content but also meets top-tier automotive quality standards. Unlike traditional recycling methods that can degrade material quality, SKYPET CR retains its performance level even after multiple recycling processes. This characteristic positions it as an invaluable asset in fostering a closed-loop system within the automotive sector, allowing for materials to be reclaimed and reused effectively, conforming to the regulations such as the End-of-Life Vehicles (ELV) directive in Europe.

Through the use of SKYPET CR in automotive carpets and mats, manufacturers can look forward to an era where materials at the end of their lifecycle can be depolymerized and recycled, thus furthering the goal of sustainability in vehicle production. This initiative not only underscores the industry's shift towards eco-friendly practices but also sets the stage for strict adherence to emerging regulations focused on vehicle circularity.

Expanding Market Reach

As part of this endeavor, SK Chemicals is keen on expanding its partnerships with other prominent global automotive brands, leveraging its state-of-the-art recycling technologies. CEO Ahn Jae-hyun expressed confidence that these advancements would meet the material and performance specifications required by automotive markets in Europe, where there is a growing focus on carbon neutrality.

The collaboration between these three entities not only marks a notable development in industrial cooperation but also signals a commitment to environmental stewardship. By utilizing the chemical recycling capabilities that SK Chemicals offers, Durmont is expected to enhance its production efficiency, thereby increasing the output of recycled materials into the market.

Infrastructure for Future Sustainability

To bolster its commitment to sustainability, SK Chemicals has invested heavily in infrastructure, including the establishment of the Recycling Innovation Center at its Ulsan plant site in South Korea. This facility is equipped to pilot chemical decomposition of waste plastics, further securing the company's lead in recycled raw material production.

Moreover, the investment of approximately USD 94 million into SK Shantou for the world’s first commercialized chemical recycling facilities exemplifies SK Chemicals' dedication to pioneering sustainable materials and promoting a circular economy within the automotive landscape.

Conclusion

SK Chemicals and Durmont's exclusive partnership embodies the future of sustainability within the automotive sector. With increasing legislative pressure for eco-friendly practices and a substantive shift in consumer preference, this collaboration sets a precedent for others in the industry. By prioritizing recycled materials and fostering an ecosystem geared towards sustainability, both companies are not just transforming their own operations but also influencing the larger automotive market towards greener practices. The road ahead looks promising as they gear up to meet the rising demand for sustainable automotive solutions, aligning closely with global environmental goals.