Carbios and Wankai New Materials seal PET biorecycling joint venture in Asia
Carbios and China's Wankai New Materials have finalized an agreement to establish a joint venture for large-scale PET biorecycling in Asia. The first plant in China will process 50,000 tons of PET waste annually.
French biotech firm Carbios and Chinese materials company Wankai New Materials have signed a definitive agreement to establish a strategic partnership for the deployment of Carbios' PET biorecycling technology in Asia. The partnership includes the creation of a joint venture to build the first PET biorecycling plant in China.
Wankai New Materials, a subsidiary of Zhink Group and the world's fourth-largest PET producer, will be the majority shareholder with a 70% stake in the joint venture. Carbios will hold the remaining 30%. Wankai will also guarantee the debt financing for the plant, which has an estimated construction cost of €115 million. The facility will be located in Haining, Zhejiang province, with construction set to begin in the first quarter of 2026 and commissioning targeted for the first quarter of 2027. The plant is designed to process 50,000 tons of PET waste per year.
Carbios will grant a license for its PET depolymerization technology to the joint venture. The companies have committed to a long-term collaboration aiming to build multiple PET biorecycling plants across Asia. The agreement includes an exclusive license for Carbios to license its technology to Wankai in Asia for three years, provided Wankai signs further license agreements for at least an additional 100,000 tons per year of capacity.
As part of the strategic alliance, Wankai New Materials will subscribe to a €5 million capital increase in Carbios' share capital. This investment may lead to Wankai appointing a representative to Carbios' board of directors. The initiative aims to advance plastic waste recycling and promote a circular economy within the petrochemical sector.