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Recently, Fortune China officially released the "2025 China ESG Influence List", with 11 domestic and foreign chemical companies including Wanhua Chemical, Zhejiang Hengyi, BASF, Covestro, and Dow Chemical making strong appearances on the list.
It is understood that nearly 300 Chinese companies and the Chinese subsidiaries of multinational foreign enterprises came to apply for this year's list, and a total of 100 enterprises were on the list, widely distributed in new energy, manufacturing, Internet, finance, health and other fields.
Interpretation of Hot News in the Chemical Industry
In the context of global sustainable development today, ESG (Environmental, Social, and Governance) has become an important standard for measuring corporate development. ESG is not only related to a company's social responsibility, but also directly affects its long-term competitiveness and market value. The editor has selected practical cases from the listed companies for readers' reference.
Local enterprises: from "zero waste factories" to "material revolution"
Wanhua Chemical Group Co., Ltd
In 2024, the company's Yantai base took the lead in launching a pilot project for the construction of a "waste free group" in Shandong Province, covering 14 pilot enterprises and successfully achieving the A-level demonstration standard for a "waste free group". The concept of "four-dimensional waste reduction" was proposed, and a smart platform for solid waste management was built, achieving a reduction of 47000 tons of solid waste and a resource utilization of 45000 tons. The first material model in the chemical industry has been officially released, which can provide customers with product consultation, brand recommendation, technical support and other Q&A services.
Zhejiang Hengyi Group Co., Ltd
The company produces environmentally friendly products such as Yitaikang, antibacterial polyester, and bio based polyester, while also developing chemical recycling technology for waste polyester. By 2024, by upgrading and renovating boilers, the overall energy consumption will be reduced by about 9%; Approximately 5.1 million tons of fresh water were saved throughout the year. In Brunei, where investments are being made to establish factories, efforts are being made to promote the establishment of three specialized talent joint training programs, providing full scholarships to train chemical professionals at different levels in the local area.
Hengshen Holdings Group Co., Ltd
The company independently develops low-carbon product EcoLactam ®， The yarn produced by it effectively reduces carbon emissions by 70% compared to conventional nylon products. The independently developed patented technology for chemical regeneration of caprolactam can recycle and reuse waste chemical fiber products, and once put into operation, it will fill the technological gap in the field of chemical regeneration of post consumer nylon waste in China.
Foreign companies in China: dual mission of technology output and ecological co construction
Veolia (China) Environmental Services Co., Ltd
Veolia provides water, waste recycling and reuse, energy management and other services for urban and industrial sectors in China. Veolia Huafei, a subsidiary of Veolia, is a leading enterprise in China's recycled plastics industry, recycling 170000 tons of plastic annually. The products produced are widely used in textile, food and beverage packaging, automotive and other fields. The joint venture between Veolia and Yanshan Petrochemical adopts a comprehensive purification plan of "industrial wastewater treatment standard discharge+wetland natural ecological restoration system" to restore the decommissioned oxidation pond into Niukouyu Wetland Park.
Honeywell (China) Co., Ltd
Honeywell has a total of 7 green factories in China, and over 75% of the products produced and manufactured by the company in China come from these national or provincial green factories. The company is working together with partners to promote the implementation of mature solutions for sustainable aviation fuels. Among them, Honeywell assisted Zhejiang Jia'ao Environmental Protection Technology Co., Ltd. in building a large-scale sustainable aviation fuel production base in Lianyungang City, which is currently the largest in China to adopt Ecofinance ™ One of the sustainable aviation fuel devices that has been put into production with advanced technology.
Covestro (Shanghai) Investment Co., Ltd
In 2023, the company will launch polycarbonate products with a post consumer physical recycling content of 90%, reducing the carbon footprint by about 70% compared to traditional fossil based materials, providing circular low-carbon solutions for fields such as electronics and automobiles. In 2024, over 30% of the electricity generated by the Covestro Shanghai Integrated Base will come from green power. Covestro's Guangzhou, Foshan, and Shenzhen bases have also achieved full coverage of 100% green power supply. At the same time, the proportion of green electricity produced and consumed by the Shanghai base is steadily increasing.
BASF (China) Co., Ltd
In addition to its own carbon reduction efforts, BASF has been continuously implementing the "Supplier Carbon Dioxide Management" program since 2022, inviting global suppliers including those in Greater China to join. The plan aims to help improve the carbon emissions transparency of BASF's purchased raw materials by sharing BASF's product carbon footprint assessment methods and tools with suppliers. In 2024, we will initiate and launch the "Zero Carbon Recycling Paper Cup Pioneer Alliance" in China, aiming to promote the recyclable use of disposable paper cups.
Dow Chemical (China) Investment Co., Ltd
Dow is one of the top 20 companies in the world that purchases the most renewable energy. In China, the Guangzhou factory installs 2200 square meters of solar panels on the top of the factory building, which can reduce 200 tons of greenhouse gas emissions annually. The Zhangjiang R&D Center uses solar energy instead of electric water heaters, which can reduce greenhouse gas emissions by 120 tons per year. The "Shiwai Pottery Garden" public welfare project completed in Shanghai creates a healthy and comfortable public space for community residents with environmentally friendly and low-carbon material solutions. Participate in the "Beautiful China" teaching project to help promote STEM education in rural areas of China.
Lind (China) Investment Co., Ltd
Linde China's continuous purchase and use of green and low-carbon electricity accounts for over 20% of the company's production electricity consumption. In 2024, Linde completed an on-site renovation and upgrade project for a 65000 standard cubic meter/hour air separation unit at Wanhua Chemical's Yantai production base, which is expected to reduce absolute carbon dioxide emissions by 120000 tons per year, from steam driven to electric driven.
What value reference does the practice of listed companies bring to the industry?
Technological innovation: the core driving force for solving the problems of circular economy and carbon reduction
The list shows that breakthroughs in core technologies are becoming a key link for chemical companies to practice ESG and enhance competitiveness.
Wanhua Chemical leads the industry in intelligentization, launching the first material large-scale model in the chemical industry, empowering customer service and product research and development. Its Yantai base's "Waste Free Group" smart platform promotes the reduction of 47000 tons of solid waste and the resource utilization of 45000 tons.
Hengshen Holdings' independently developed patented technology for chemical regeneration of caprolactam targets the blank in the field of chemical regeneration of post consumer nylon waste in China. Its low-carbon product EcoLactam ® Yarn can reduce carbon emissions by 70%.
Covestro has launched polycarbonate products with a post consumer physical recycling content of up to 90%, reducing the carbon footprint by about 70% compared to traditional materials, providing a recycling solution for the electronics and automotive industries.
Hengyi Group continues to invest in the research and development of environmentally friendly products such as Yitaikang and biobased polyester, and deeply cultivates chemical recycling technology for waste polyester.
Diversified carbon reduction paths: accelerating the popularization of green electricity
Chinese and foreign chemical companies have shown different focuses on carbon reduction strategies, but the application of green electricity has become a common choice.
More than 30% of the electricity used by Covestro Shanghai base and 100% of the electricity used by Guangzhou Shenzhen Foshan base is green electricity; Linde China's production of green electricity accounts for over 20% of its usage; Dow Guangzhou factory reduces carbon emissions by 200 tons annually through solar panels, while Zhangjiang R&D center reduces carbon emissions by 120 tons through solar energy substitution.
Extension of Responsibility: From Environmental Protection to Social Value Creation
The ESG practices of leading chemical companies have surpassed basic environmental compliance and expanded to create broader social value.
Vigorously promoting resource recycling: Veolia Huafei (Veolia's enterprise in China) recycles 170000 tons of plastic annually, and its products are widely used in textiles, packaging, and automobiles, achieving efficient resource recycling. The wetland restoration project in cooperation between Veolia and Yanshan Petrochemical will transform the abandoned oxidation pond into Niukouyu Wetland Park, demonstrating the harmonious coexistence of industry and ecology.
Community Co construction and Education Investment: Dow Chemical has created a low-carbon community public welfare space called "World Ceramic Garden" and participated in the "Beautiful China" teaching project to support STEM education in rural areas. Hengyi actively cultivates local chemical talents in overseas factories.
Supply chain empowerment: BASF's supplier carbon management program aims to enhance transparency in carbon emissions across the entire industry chain.
The Fortune list deeply reflects that ESG has evolved from an additional question to a mandatory question in the chemical industry, and is also a core competitiveness for future development. Industry insiders point out that with the deepening of China's "dual carbon" strategy and the tightening of global ESG regulation, the green technology competition in the chemical industry will continue to escalate. Whether breakthroughs can be made in key technologies of circular economy, deep decarbonization path, large-scale application of green electricity, and responsible industrial chain management will become key factors determining the future market position of enterprises. The practice of the companies listed this time provides valuable reference paths for the transformation and upgrading of the entire industry.
Source: China Petroleum and Chemical Magazine
