Loop Industries, L’Oréal sign multiyear supply agreement

Loop Industries Inc., Montreal, has announced that it has entered into a multiyear offtake agreement to supply L'Oréal with polyethylene terephthalate (PET) resin made of 100 percent recycled materials. The companies began their collaboration in 2018, signing a letter of intent that set the stage for L’Oréal to become the first major cosmetics company to incorporate Loop PET.   

This resin is to be supplied from Loop Industries' joint venture facility in Spartanburg, South Carolina, with Indorama Ventures, a global integrated leader in PET plastic and polyester fiber manufacturing. Growing demand for Loop Industries' resin has driven the decision to increase the facility's production capacity to 40,000 tons per year, Loop says, enabling the company to supply more brands with resin made from scrap.

Loop Industries' chemical recycling technology depolymerizes PET products into their base building blocks and then purifying and polymerizing them into virgin-quality Loop PET resin, according to the company.

"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," says Giovanni Catino, senior director of sales and business development for Loop Industries. "We thank L'Oréal for their partnership and look forward to working to assist them in reaching their sustainability goals."

Loop says its collaboration with L'Oréal marks an important step in Loop's objective to help brands and consumers move away from plastic waste and toward a circular plastics economy.