At ChemSec, we often feel that chemical corporations and their customers are like addicts. They enjoy a short-term financial hit from using toxic substances that actually pose a serious risk to their long-term health.
But some companies are different. We asked the three top performers in last year’s ChemScore sustainability index why they are working to minimise toxic substances.
Long-term resilience
“Research and development (R&D) cycles in the industry are super long,” says Teresa Bernheim, Senior Manager for chemicals policy at German chemicals manufacturer Lanxess.
“Starting R&D when a substance is identified as a substance of very high concern (SVHC) is too late,” she says. “We want to start as early as possible, so we have an advantage once a substance is under regulatory scrutiny and we can develop alternatives for customers.”
Lanxess had a huge portfolio of products 20 years ago, Teresa says. It soon became clear that not all of them were future-proof. “It was a conscious decision to get ahead of the regulatory curve, to adapt our portfolio with foresight, to be proactive,” she says.
‘We have an advantage once a substance is under regulatory scrutiny’
Teresa Bernheim, Lanxess
Consequently, the company began a road map process for substitution and phase-out of substances with SVHC properties. “This was important for getting acceptance within the company. Everyone knows there are clear criteria and parameters they need to adhere to,” Teresa says.
At Saudi chemicals giant SABIC, there was a growing internal awareness about increasing regulatory pressure around hazardous chemicals. This led, in 2021, to the launch of an innovation programme aimed explicitly at developing products with lower human and environmental hazard profiles, and substituting or eliminating more hazardous ones.
“We knew we had to be proactive to enable SABIC to be prepared and to remain a reliable partner to customers,” the company explains. “As a business, we understand that we need to manage chemical portfolio risks for the long-term resilience of our business.”
Beyond compliance
A proactive outreach to partners and customers remains an important aspect of SABIC’s product safety management approach, the company says. “We think it’s important to provide transparency because it helps to drive progress, not just within SABIC, but also within our value chain,” the company told ChemSec.
Products from Thailand-based multinational Indorama Ventures, which topped last year’s ChemScore, appear in food and beverage packaging, hygiene, home care, textiles and many more applications. Success therefore depends not only on complying with regulations, but also on making products that are safe and sustainable, the company says.
‘Going beyond compliance strengthens our long-term resilience’
Anthony Watanabe, Indorama Ventures
“As a global company operating under major international, regional and industry-specific regulations, going ‘beyond compliance’ strengthens our long-term resilience,” says Dr. Anthony M. Watanabe, Chief Sustainability Officer at Indorama Ventures.
Assessment by external ratings such as ChemScore strengthens internal commitment to this goal, Anthony says. “We work openly with ChemScore and ESG (environmental, social and governance) ratings. Their methodologies can be demanding, but they provide a useful roadmap and benchmark for improvement.”
There is no need for companies to “go cold turkey”. Services such as ChemScore can help wean them off the dangerous substances to which they are addicted. Lanxess, SABIC and Indorama show how it can be done.
