Contributed by SCAO Regional Petrochemicals BL Head Mr Keiichi Yamamoto & 

SCVN Hanoi Chemicals, Plastics & Mineral Resources Dept Manager Mr Masaya Ueda

April 2020

Vietnam

SCVN has been working to expand plastic recycling material business by collaborating with Kansai Kagaku (who is a plastic recycling material maker). This time, SCVN will start new recycling business of reprocessing the cutting piece of Airbag cloth (the base material is Polyamide 66 “PA66” resin) with Asahi-Kasei Advance Vietnam (AKAV), who has started manufacturing Airbag unit in Thang Long Industrial Park 2 (TLIP2) for Toyota Gosei Vietnam etc since this February.

Currently AKAV just sells the cutting piece of Airbag to external vendors at a low price. SCVN proposed to reprocess these waste Airbag to the recycled PA66 resin and AKAV agreed with this project.

The first plan of this project is to export the cutting piece of Airbag to WAEN Thailand (who is a recycling material manufacturer). WAEN has experience to reprocess these Airbag waste materials to the recycled PA66 resin. Since SCVN has no license to handle waste disposal item, Kansai Kagaku Singapore (KKS) will open the account for AKAV. Thus, the commercial route is AKAV => KKS => WAEN Thailand, and SCVN will make a service agreement with KKS to gain a profit for this business. The expected volume in FY2022 is around 30-40mt/month and the targeted profit is USD50K/Y. Additionally SC Group will also try to sell these recycled PA66 resin to our customers.

As the second plan, SCVN is considering to reprocess these cutting pieces locally in Vietnam. SCVN has already found a recycling compound maker in Ho Chi Minh who has some experience to reprocess these Airbag wastes from Korean maker. If SCVN can establish this scheme in Vietnam, SCVN can return the recycled material to AKAV as Closed-Loop Recycling System, which is also ideal for AKAV.

A cut sample of airbag waste