The New Standard Of Biodegradable Plastics Will Be Implemented in June, And The Industry Will Meet Great Changes

According to The company, the company has developed fully degradable and highly breathable masks, and degradable surgical masks have obtained the QUALIFICATION of eu MDR medical device product registration. In the future, the company will continue to promote the application of biodegradable materials to medical and health products.

As the epidemic continues, discarded protective suits and masks could become new sources of environmental pollution. The journal Environmental Science and Technology estimates that there are 129 billion face masks and 65 billion disposable gloves every month, almost all of them made of fossil-derived plastic that is almost impossible to degrade in the natural environment or recycle.

In the early days of the epidemic in 2020, Goldilocks was one of the largest manufacturers of face masks in China. Earnings data show that in 2020, The medical and health business of Jinfa technology achieved operating revenue of 2.71 billion yuan, accounting for about 7.73% of the total operating revenue.

Li jianjun said that the technical difficulty of producing medical protective equipment with biodegradable materials is not high. "We are actively working on this and believe that in the near future, Goldilocks fully biodegradable masks will also be on the market, which will be more environmentally friendly."

Biodegradable plastics industry will usher in standardized development.

On June 1, the State Administration for Market Regulation and Standardization Administration formulated and issued the Requirements for Degradation Performance and Labeling of Biodegradable Plastics and Products (hereinafter referred to as the Requirements for Labeling). This is a national standard in the field of biodegradable plastics, which regulates terms and definitions of biodegradation and biodegradation rate, and specifies requirements for degradation performance, labeling and testing methods.

In 2020, nearly 400 million tons of plastics were produced globally, while only 1.227 million tons of biodegradable plastics were produced globally, accounting for 0.3 percent of total plastic production. The potential for biodegradable plastics is huge. Sealand Securities Research News pointed out that under the impetus of the plastic ban policy, it is predicted that by 2025, the total market demand for degradable plastics in China will reach 4.15 million tons, 9.23 times the demand in 2018, and the market space will be 83 billion yuan based on the unit price of 20,000 yuan/ton.

As the largest fully biodegradable plastic enterprise in Asia and a complete master of core technologies of polymerization, modification and terminal application, Jfa Technology (600143) began to deploy fully biodegradable plastics as early as 2004.

"The implementation of the new standard is conducive to the development of the biodegradable plastics industry." Blonde technology chief strategy officer, blond biological chairman, sustainable development technology research institute, China association of synthetic resin biodegradable resin branch of soloing said in an interview, "technical requirements more clear, more standardized products, blonde technology has put into production of biodegradable plastic production line, is one of the global PBAT capacity of the largest enterprises, And products in line with the new standard, the industry has a certain market basis and reputation accumulation of enterprises, can take the opportunity of the implementation of the new standard quickly volume, seize the industry development opportunities."

New regulation comes on stage, bibcock enterprise greets good news

Plastic is widely used in daily life and social production, but at the same time, a large number of disposable plastic products have become one of the main pollution sources of ecological environment. China is the world's largest plastic producer and consumer, accounting for 15 percent of the world's plastic consumption, according to shanxi Securities Research Institute.

It is urgent to solve the problem of plastic pollution, and the replacement of biodegradable plastic is one of the important ways to solve the problem. In this context, in recent years, the country's attention to biodegradable plastics is increasing.

In July 2020, the National Development and Reform Commission issued "notice about promoting plastic pollution control work, that will strengthen the supervision and inspection of banned production and sales of plastic products, strengthen the supervision and management of retail food and beverage in the fields of plastic limit, promote agricultural management, standardization of plastic waste treatment and disposal, to carry out the plastic special cleaning.

In January 2021, the most strict "plastic limit" in history was officially implemented, and the biodegradable plastics industry has become the focus of market attention. That was reflected in the capital markets, where Goldilocks shares soared more than 60 percent that month.

On the other hand, due to the lack of unified national standards, biodegradable plastics industry also has problems such as uncertain degradation degree, insufficient output, unclear labeling, and time-consuming and difficult testing methods, which hinder the promotion of plastic pollution control.

The implementation of "Marking Requirements" provides a solution to these problems.

"Biodegradable materials have been in a state of anxiety since the second half of 2020 when they received a lot of attention. In the past, there was no national standard for biodegradable materials, and there was no basis for strict enforcement by the regulatory authorities. As a result, some fish eyes and beads were mixed in the industry, and some products may not meet the quality standards." Li Jianjun said.

As early as 2004, Jinfa began to deploy fully biodegradable plastics, which is the largest supplier of biodegradable materials in China and one of the earliest companies to achieve the mass production of PBAT in China. In 2021, Jinfa sold 79,700 tons of fully biodegradable plastic products, up 22.28 percent year on year, according to financial data.

Up to now, Jinfa technology has built a PBAT production line with an annual output of 180,000 tons, which is one of the largest PBAT enterprises in the world. In 2021, The sales volume of biodegradable film materials of Jinfa ranked top 3 in the world and No.1 in Asia.

Li jianjun said that 60,000 tons is a standard production unit of PBAT, and it takes About a year for Jinfa to build a PBAT production line with a capacity of 60,000 tons. In the future, Jinfa will continue to promote the construction of PLA devices with an annual output of 30,000 tons, which is planned to be put into production in the second quarter of 2022. In addition, Jinfa is also actively exploring the construction of bio-based BDO project with an annual output of 10,000 tons, which is expected to be completed and put into operation by the end of December 2023.

"In combination with the changing trend of domestic policies and market demand, Jinfa will push forward the construction and production of the follow-up 120,000 tons/year PBAT and 60,000 tons/year PLA capacity in due time." According to Goldilocks Tech.

Who owns the future of biodegradable materials?

Although biodegradable materials have become a hot plate in recent years, it is undeniable that China's biodegradable materials industry is still in the initial stage of development. Li Jianjun said that the industry's future upgrading direction mainly has two, one is to reduce cost and increase efficiency, the other is to broaden the application scenarios.

Compared with traditional plastics, the cost of biodegradable plastics is currently significantly higher, about twice as high as traditional plastics. This is also one of the important factors affecting the market acceptance and promotion of biodegradable plastics.

Soloing, points out that in the same technical route under the premise of enterprise cost control is the upstream of the supply chain management, to the enterprise internal production process, technical innovation and cost control management, as well as to the downstream market bargaining power and to maintain market share, therefore, the three aspects to make the most valuable products.

"After nearly 20 years of development, we experience the failure of countless times, constantly sum up experience, now we've done internally fine production management, to say the blonde technology of cost control in industry is very competitive, and there has been a steady product quality, both at home and abroad has been in a leading position, We are confident of maintaining our leading position and market share." Li Jianjun said.

At present, the fully biodegradable copolyester resin developed by Jinfa technology and its modified products are mainly used in disposable packaging (shopping bags, fruit and vegetable bags, garbage bags), agricultural plastic film, disposable tableware and 3D printing consumables.