Finnish renewable diesel producer Neste has signed an agreement with Swiss speciality chemicals company Clariant to produce new sustainable materials for a variety of industries.

The two companies will start replacing fossil-based ethylene and propylene used in Clariant’s hot-melt adhesives with monomers derived from Neste’s renewable hydrocarbons, produced from renewable raw materials such as waste fats and oils, and vegetable oils.

In a later phase, the companies will also develop other renewable additives for plastics and coating applications.

“This will enable us to help various sustainability-focused brand owners – such as those producing furniture, sporting goods, hygiene products, electronics and automotives – to increase their bio-based offering,” Neste said in a press release on 6 November.

“We are proud to join forces with Clariant, one of the most innovative players in the specialty chemicals industry. Collaboration marks an essential step forward in Neste’s quest to become a preferred partner as a provider of sustainable chemicals solutions for forerunner brands,” said Peter Vanacker, president and CEO of Neste.

Clariant vice president Gloria Gang said: “For society, our environment and future generations, it is our responsibility to improve sustainability performance and reduce our carbon footprint and dependency on crude oil. As a result of Clariant’s partnership with Neste, we can progress our goal to become a true sustainable solution provider in the additive market, offering our customers products and solutions that can make a positive contribution towards their targets and enhance end applications.”

Neste is the world’s largest producer of renewable diesel refined from waste and residues.

Clariant is a leading producer of speciality chemicals with a focus on care chemicals, catalysis, natural resources and plastics and coatings.