L’Oréal signs multiyear supply agreement with Loop Industries

L’Oréal signs multiyear supply agreement with Loop Industries

THE WHAT? L’Oréal has entered into a multi-year offtake agreement with Loop Industries, with the plastic technology company set to supply the beauty giant with polyethylene terephthalate (PET) resin made of 100 percent recycled materials. 

THE DETAILS While the deal was penned in 2018, the two companies are entering the next stage of the partnership, with the resin to be supplied from Loop Industries’ joint venture facility in Spartanburg, South Carolina with Indorama Ventures. 

The collaboration will now see an increase in the facility’s production capacity to 40 KT per year, said to be driven by the growing desire for Loop resin. The increased production will enable Loop to develop its range of partnerships and supply more brands with resin made from waste PET plastic and polyester fiber.

According to a press release, “Thanks to Loop Industries’ breakthrough low-energy technology, waste PET plastic and polyester fiber can be diverted away from landfills and natural areas, depolymerized into its base building blocks, purified and polymerized into virgin-quality Loop™ PET resin.”

THE WHY? The collaboration is said to mark an important step forwards in L’Oréal’s objective to help assist brands and consumers away from plastic and towards a circular economy. 

Giovanni Catino, Senior Director of Sales and Business Development for Loop Industries, said, “Supporting businesses in achieving their sustainability objectives while helping consumers understand the potential of plastic in a circular economy model is at the core of Loop’s mission. We thank L’Oréal for their partnership and look forward to working to assist them in reaching their sustainability goals.”