We must act now

The whole world has been watching Glasgow with bated breath. What will the countries agree on at the UN Climate Change Conference? What course can policymakers set? And what implications does this have for us as consumers, citizens, and for the economy? While there are complexities and fair criticisms, there is consensus on one thing: We must act now. Quickly, decisively, and unitedly. So that we and future generations can live safely and well on this wonderful planet of ours. The coming years are crucial!

Every day, we are faced with news and imagery on the state of our planet. Sea levels are rising. Vast regions are suffering from drought. Pollution is endangering species worldwide. Every single one of us is responsible. We can and must make a difference. But above all, it’s up to companies to make their contribution. We must decouple growth from rising resource consumption. This requires a clear strategy, targets, and concrete actions.

Sustainability is at the top of our agenda at Henkel. We are following an ambitious sustainability strategy that tackles the main challenges our planet is facing. We push for climate protection, social progress, and a circular economy.

Today, I would like to share some thoughts on one of our key focus areas: circular economy. Why this area, and why now? Because circular economy is not a stand-alone topic – it plays an essential role in reaching climate targets. ?

Switching to renewable energy in production is one thing, but the remaining emissions come from the way we use and dispose of our products. When we extend a product’s lifetime, when we use waste as a key input instead of virgin materials – i.e., expand circularity – we cut greenhouse gas emissions. At Henkel, we know we have a role to play in this, especially when it comes to recycling packaging materials and integrating them into circular processes. The use of recycled materials alone can save over 60 percent CO2.

And with our great responsibility as a globally active company comes the great opportunity to make an impact at scale. Using innovative solutions, our Adhesive Technologies business enables stakeholders along the value chain, such as customers in e-commerce, to develop fully recyclable packaging. In our consumer goods businesses, our sustainability experts and packaging engineers work tirelessly with ambition and creativity to ensure we deliver continuous improvements and innovation for products from shampoos to detergents used by millions of people every day. All pursue one common vision: making our packaging more sustainable. How will we accomplish this?

• We will make 100 percent of our packaging recyclable or reusable by 2025.
• We will reduce the amount of virgin plastics by 50% and increase the proportion of recycled plastic.
• We will reduce the overall plastic volume with smart packaging and innovations, such as piloting refill solutions.
• And, we will increasingly use bio-based plastics.

Second, we need to change the way we think about and deal with plastic. The primary challenge comes in due to the way in which plastic is used – or better: single-used. It’s better to tackle the plastics problem where it is – at the end of its lifecycle. This is again where circular economy comes into play.

The road to a circular economy, in which plastic is repeatedly recycled and reused, is not only paved with packaging innovations, but also with a larger, complete transformation: how we think about resources, build recycling infrastructure and design to turn plastic waste into a valuable, more sustainable material.

This brings me to an important point: nobody can go at it alone. We need to team up with many different partners along the entire value chain to find better ways of managing plastic material.

Let me give you one example that is particularly close to my heart: in 2017, we formed a very fruitful alliance with Plastic Bank. The social enterprise fights plastic waste in the oceans while creating opportunities for people living in poverty, among others in Haiti and Egypt. The local population can return collected plastic waste to collection points and exchange it for money, goods or services. The waste is recycled and used in the form of Social Plastic? for product packaging in many of our products, such as Nature Box – and thus returned to the production cycle.

If we want to reach a truly circular economy, we need fundamental change. We need all industry players to work on effective recycling and packaging solutions. We need politicians to work on clear regulations and guidelines, especially in countries where there is no functioning waste and recycling infrastructure. And we need consumers to change their behavior towards waste. We want to own our part by designing and optimizing packaging for recycling. Only then can we help keep materials in the value chain for longer – and foster a more circular world.