CNG and Nova Chemicals Partner to Develop Recycled Polyethylene Business for Sustainable Solutions in Flexible Packaging

Zhuansu Shijie has learned that Charter Next Generation (CNG) in the United States has established a strategic partnership with Nova Chemicals to commercialize high-quality recycled polyethylene (rPE) for application in high-end flexible packaging, providing significant support for the circular economy development of flexible films.

Both companies stated that they have signed a long-term agreement under which CNG will purchase NOVA Chemicals’ Syndigo series rPE resins. This material is a post-consumer recycled product derived from recycled films and plastic packaging, and compared to virgin polyethylene, it can significantly reduce carbon emissions.

Journey of Sustainable Development

John Garnett, Senior Vice President of CNG Technology, Sustainability, and Innovation, stated that the company is pleased to take this step in its sustainability journey.

“By applying post-consumer recycled (PCR) materials to everyday packaging and achieving commercialization, we are helping to build a more circular flexible packaging economy. We provide high-performance specialty films and advanced materials, reduce the use of virgin plastics, lower greenhouse gas emissions, and create a stronger end market for PCR materials,” he said.

Both parties pointed out that this collaboration will further strengthen CNG's GreenArrow sustainable product portfolio, which includes recyclable, recycled content, compostable, and low-carbon options. rPE-based films are currently being gradually applied in the fields of grain bags, shrink films, as well as household outer packaging films for daily necessities such as paper towels and napkins.

Greg DeKunder, Vice President of Nova Chemical Looping Solutions, emphasized the core foundation of this collaboration.

“Our long-term collaboration with CNG is based on shared values: performance, stability, and a clear vision for the circular economy,” he said. “By combining our resin innovation technology with CNG’s manufacturing expertise, we are advancing the application of PCR in the flexible packaging industry.”

Regional Supply Chain Advantages

A major core advantage of this cooperation lies in its regional integrated supply chain. CNG’s production bases in Wisconsin and Ohio form a strategic synergy with Nova Chemicals’ newly built recycling plant in Connersville, Indiana, scheduled to commence operations in early 2025. This recycling plant is expected to produce over 110 million pounds (approximately 50,000 tons) of rPE annually, making it one of the largest and most technologically advanced plastic film recycling facilities in North America.

"We are proud to support the future development of recycled materials and deliver circular solutions to the flexible packaging market," said Eric Smith, Chief Procurement Officer of CNG. "This helps us provide sustainable, localized sourcing of raw materials to meet the growing market demand for PCR materials. It is a win-win for our customers in terms of film performance, supply chain resilience, and the environment."

This agreement further highlights CNG's commitment as a leader in sustainable manufacturing. As a participant in the Ownership Works collaborative program, CNG has over 2,600 employee shareholders and continues to invest in material innovation and circular solutions, working together to improve lives and build a better world.