Recently, Lanxess, a specialty chemicals company, was listed in the “2022 Carbon Neutral Performance List of Chinese Enterprises” initiated by China Business News and the Carbon Neutral Development Research Institute of Shanghai Jiaotong University, and won the “Energy Conservation and Emission Reduction Achievement Award”. The award aims to recognize LANXESS’ outstanding performance in energy conservation, carbon reduction and technological innovation.
“In order to prevent climate change, our society must transition to carbon neutrality. This process requires continuous efforts, and LANXESS wants to play its part. To this end, we strive to achieve carbon neutrality ourselves, and at the same time cooperate with suppliers and Customers take the next step towards a carbon-neutral value chain together. We believe that sustainable development can create long-term value.” said Qian Mingcheng, President of LANXESS Asia Pacific.
Green leadership, deepening the promotion of carbon reduction in the value chain
After nearly half a year of questionnaire surveys, company interviews, expert reviews, and news observations, the list aims to discover excellent cases of enterprises in various industries in the development and application of energy-saving and carbon-reduction technologies, and to establish an excellent example of corporate carbon neutrality. model.
LANXESS has always paid close attention to climate issues. In 2019, LANXESS set the goal of becoming climate neutral by 2040 in the areas of production (Scope 1) and purchased energy (Scope 2) emissions. Behind this is the support of a series of green combos, covering a clear course of action: namely, to implement substantial emission reduction projects, to promote the decoupling of economic growth and carbon emissions, and to promote technological and process innovation.
More than that, LANXESS also strives to “go one step further” on the road to carbon reduction, assumes an “ecological role”, and drives the joint carbon reduction of the upstream and downstream value chains (Scope 3). In 2022, LANXESS is extending its goal to become climate neutral for Scope 3 emissions: by 2050, make its upstream and downstream supply chains climate neutral. This includes indirect emissions, especially from purchased raw materials, but also from logistics and final products. By 2030, Scope 3 emissions will be reduced by 40% from the base year of 2015, from 27,000 ktCO2e to 16,500 ktCO2e. To achieve this goal, LANXESS has launched the strategy “Net Zero Value Chain Initiative” for climate neutrality of the entire value chain, which is planned to be achieved by switching to sustainable raw materials, “green” logistics and a climate-neutral product portfolio .
What particularly interested the jury was that LANXESS has developed a tool that can automatically calculate the carbon footprint of the group’s products – the Product Carbon Footprint Engine, which provides measurable, feasible and controllable motivation for carbon reduction in the life cycle of the upstream and downstream industrial chains . The tool uses existing data from each business unit to calculate the resulting emissions using a “production to sales” approach, covering greenhouse gas emissions during production, product-specific emissions related to raw materials, energy, operating materials and transport and emissions from waste disposal.
Based in China, innovation drives a sustainable future
In order to support and participate in the sustainable development of the Chinese market, LANXESS officially launched the Asia-Pacific Application Development Center in the Shanghai Chemical Industry Park in June 2021 to further promote local innovation capabilities in the Chinese market. Less than half a year after its opening, LANXESS Asia Pacific Application Development Center assisted in the completion of the renovation project of the central axis walkway in the central garden of Shanghai International Chemical New Materials Innovation Center. The iron oxide pigment provided by LANXESS for this project adopts the environmentally friendly “Ningbo Process”. With this innovative process, LANXESS Ningbo Factory won the “National Green Factory” certification in 2018.
In addition to sustainable low-carbon technologies, LANXESS is also building a new power system based on green energy in China to accelerate the low-carbon transformation of the production process. In September 2022, the Liyang production base of LANXESS announced the completion of the first batch of green power procurement projects, and the proportion of renewable energy used in the total annual electricity consumption reached approximately 50%, making it the first production base in the Greater China region of LANXESS to use green energy. It will reduce thousands of tons of carbon dioxide emissions for the Liyang production base.
Combining the two key forces of “innovation” and “green”, this specialty chemicals company is delivering significant sustainable business benefits. In the recently released Dow Jones Sustainability Index, LANXESS ranks first in the European index in the “Chemicals” category with a score of 85 out of 100 and ranks second in the global index.
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