Borealis Invests €49M in German PP Production Facility
Chemical and polyolefin giant Borealis has announced a significant capital expenditure of €49 million for its production site in Burghausen, Germany. The investment is specifically targeted at upgrading the facility’s polypropylene (PP) capabilities to meet the growing market demand for recyclable-by-design materials and renewable polymer grades.
Upgrading for the Circular Economy
The multi-million euro investment focuses on modernizing the plant’s logistical and processing infrastructure. This upgrade is designed to support the company’s “Design for Circularity” initiatives, allowing for the production of advanced PP grades that facilitate the switch from multi-material structures to mono-material solutions. By enhancing the site’s capability to produce high-performance PP, Borealis aims to assist converters in creating packaging and industrial applications that are easier to recycle in existing waste streams.
Furthermore, the operational enhancements will streamline the handling of sustainable feedstocks used in the company’s Bornewables™ portfolio—which utilizes second-generation renewable biomass—and the Borcycle™ portfolio, which incorporates chemically recycled content.
Strengthening European Assets
The Burghausen site remains a strategic hub for Borealis’ European operations. This latest financial commitment underscores the company’s strategy to decarbonize its assets while maintaining industrial competitiveness within Germany. By retrofitting existing assets rather than building greenfield sites, Borealis is optimizing its carbon footprint while accelerating the time-to-market for sustainable solutions.
The updated facility is expected to improve energy efficiency in the polymerization process, contributing to the company’s Scope 1 and Scope 2 emission reduction targets.
Meeting 2026 Regulatory Demands
As European regulations regarding packaging waste and recyclability tighten in 2026, the demand for high-purity, bio-based, and chemically recycled polyolefins has surged. This investment positions Borealis to supply the automotive and packaging sectors with the necessary volumes of circular PP required to meet both regulatory compliance and voluntary corporate sustainability goals.
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