Global chemical leader Henkel AG is putting sustainability as one of its top priorities, as China pursues more high-quality growth that balances economy, environment and society.

Jeremy Hunter, President of Henkel China, who is proud of the company鈥檚 long-standing commitment to sustainability and pioneer work in many areas in China, discusses Henkel鈥檚 sustainability strategy, experience and accomplishments.

Sustainable path

Henkel has been a crusader for sustainability over the past 90 years, continuously devoted to creating an eco-friendly business market.

In the 1920s, Henkel was the first company to employ safety engineers to improve work safety, and started off to regularly inspect detergents and household cleaners for quality and environmental impact in the late 1950s.

Afterwards, Henkel developed the world鈥檚 first phosphorus-free laundry detergent in 1986, before becoming the first company to commit to the International Chamber of Commerce鈥檚 Business Charter for Sustainable Development in 1991.

The first Environment Report by Henkel was published in 1992, which has been consistently developed and refined into today鈥檚 Sustainability Report.

Henkel is also seeking for partnerships actively along its path, such as the Plastic Bank, a social enterprise aimed at collecting plastic waste before it enters oceans, which could improve the lives of people in poverty, especially in countries that lack waste management infrastructure.

Since the start of collaborations, three plastic collection centers were opened in Haiti, one of the poorest countries in the world.

The local population can return collected plastic waste and exchange it for money, goods, or services. The plastic waste is sorted and processed, and then integrated into recycling value chains as 鈥淪ocial Plastic鈥�, which can be used for product packaging.

In 2011, Henkel and five other leading chemical companies established the 鈥淭ogether for Sustainability鈥� initiative, which has established standardized supplier evaluation guidelines and built a transparent ecosystem. As of 2017, TfS has assessed more than 10,000 suppliers.

Thanks to its constant efforts spent in sustainability, Henkel鈥檚 overall resources efficiency has improved 43 percent by 2017, CO2 emissions reduced by 24 percent, waste volumes by 32 percent, and water usage by 24 percent.

Sustainable manufacture

To promote sustainability of its manufacturing and operations in China, Henkel is constantly optimizing the manufacturing processes to enhance efficiency and reduce waste through workshops and initiatives. For example, Henkel鈥檚 Shanghai-based Dragon Plant, the largest adhesive plant, is fitted with advanced technologies which enhance energy efficiency and reduce waste such as an enclosed chilled water recycling system to reduce water use by 50%.

The Dragon Plant also incorporates a solid waste recycling program which has slashed packaging materials disposal volume by 60%, special translucent roofs to cut electricity usage by 90%, a waste heat recycling system, and a spill-proof, leak-proof loading bay.

Green technology

To fulfill its sustainability vision, Henkel is also giving customers green products and technologies throughout the entire supply chain to help reduce resources consumption.

By providing innovative products and sharing expertise, Henkel鈥檚 aim is to enable customers and consumers to save 50 million metric tons of CO2 emissions by 2020. For example, as the premier materials supplier for the electronics assembly and semiconductor packaging industries, Henkel has developed a range of innovative adhesive technologies for today鈥檚 increasingly advanced smart phone cameras.

Unlike traditional adhesives, Henkel鈥檚 LOCTITE Ablestik Non-Conductive Adhesive is effective at lower temperatures, enabling customers to reduce energy consumption and CO2 emissions.

Meanwhile, more has been done by Henkel to help customers reduce their carbon footprint, such as supporting the development of lightweight hybrid vehicles and phasing out heavy metals by providing lighter materials.

The groundbreaking Structural Adhesive TEROSON EP Series is widely used in body shops for metal bonding applications, replacing welding or expensive riveting operations and capable of reducing a car鈥檚 weight by up to 15%.

These all reflected Henkel鈥檚 dedication to helping its customers reduce their carbon footprint while achieving higher efficiency, lowered costs, and streamlined manufacturing processes.

Sustainability is usually seen a big challenge to the chemical industry. To break the prejudice, Mr. Hunter expressed his view on the sustainable development of the whole chemical industry and Henkel鈥檚 focus in 2019 and beyond:

Q: How does Henkel, pioneering in the chemical industry, balance the economic growth and environmental health?

While the word 鈥済reen鈥� historically was not usually associated with 鈥渃hemicals,鈥� people鈥檚 perceptions of the chemicals industry has been changing in recent years thanks to the industry鈥檚 strides towards sustainability.

As a fundamental corporate value, Henkel鈥檚 commitment to sustainability drives us to maintain a balance between economic success, environmental and social responsibility. Our long-term sustainability strategy for the year 2030 comprises six focal areas and includes specific targets, underlining our goal to promote sustainable development. Together with our partners, we aim to realize more sustainability across the industry and along the value chain.

Q: What do you think of the chemicals industry鈥檚 sustainable development?

As China seeks to balance economic growth, social well-being and environmental health, the country is increasingly emphasizing sustainability and 鈥榩roductivity enhancement鈥� over 鈥榩roductivity expansion鈥�. Sustainable development will be a top agenda not only for the government, but also for more and more industries. Driving sustainability requires collaboration and dialogue throughout the entire value chain, spanning from our customers and consumers to our employees, stakeholders, and communities. Through initiatives such as the Together for Sustainability initiative (TfS), Henkel is bringing together relevant parties together to accelerate the realization of a more sustainable industry.

In addition, investing in innovation is a key element of sustainability. Since 2008, Henkel has been evaluating all its products for innovation, assessing each project鈥檚 added value based on sustainability parameters such as product performance, social impact, and resource usage.

Q: What are Henkel鈥檚 sustainability targets for 2019 and beyond?

Sustainability is more important today than ever as a driver of cost-efficient and stable growth. While further driving progress following our sustainability targets, we鈥檝e identified three main priorities which will remain highly relevant also for the following years: strengthening our foundation by further improving our efficiency, bolstering employee engagement to drive sustainability, and maximizing the impact of our brands and technologies.

As we enhance our processes and drive progress along the value chain, Henkel will continue playing a leading role in realizing a more sustainable world.