In May 2024, the recycled PP (polypropylene) project, invested and constructed by GEM's subsidiary,Jiangxi Green Recycling Co., Ltd., became the world's first PP plastic recycling and carbon reduction project to be approved under the international Verified Carbon Standard (VCS).According to the VCS evaluation, the project can issue up to 19,000 VCUs (Voluntary Carbon Units), which can be directly used in international voluntary carbon trading. This represents not only a valuable "carbon" initiative by a Chinese enterprise in addressing global climate issues but also showcases China's determination and action in advancing along the path of green, low-carbon, and sustainable development to the world.

Project Disclosure Information

The project aims to use waste PP plastics generated from social recycling sources and home appliance dismantling processes as raw materials, recycling them into regenerated PP plastics. This not only achieves effective resource utilization but also brings substantial carbon reduction benefits. The successful implementation of the VCS project is significant for the Green Recycling Plastic Regeneration business sector. It also serves as a flagship for China's recycled resources sector in the international carbon reduction arena, strongly promoting carbon reduction efforts in the global waste plastic recycling and regeneration industry.

As a pioneer in the high-quality recycled plastics manufacturing sector in China, Green Recycling has achieved groundbreaking results in the recycling of waste plastics. The company has been the first to establish a closed-loop circular economy model for plastic products, encompassing "waste products—recycling and dismantling—resource processing—modification and regeneration—new products." This model enables high-value utilization of waste plastics and has led to the development of a variety of high-quality recycled plastics, including rPP, rHIPS, rABS, and rHDPE.Among them, the high-quality rPP recycled plastic pellets have a rich and stable raw material source. Through meticulous double sorting and advanced waste plastic recycling processes, these pellets feature a purer color, superior black spot control, and extremely low odor. They have been successfully applied in automotive plastic products, household appliance plastic parts, polypropylene fibers, and other fields.The company's 100% PCR (Post-Consumer Recycled) material M7 series has entered the global luxury automotive brand interior supply chain. The M1 series has entered the supply chain of Fortune Global 500 household appliance companies, achieving peer-level recycling from one appliance to another. The M6 series, developed using recycled food containers, has produced the world's first ultra-fine polypropylene sports shirt. These initiatives provide customers with more environmentally friendly and reliable recycled plastic supply products, achieving full lifecycle traceability of recycled plastic products.

Plastic Recycling Pelletizing Production Line

In the future, Green Recycling will further strengthen sustainability initiatives at each stage of the production process, enhance circular technology innovation, and advocate for the use of sustainable materials. The goal of reducing carbon footprint will be integrated into product manufacturing, distribution, and raw material procurement processes. We will actively promote the establishment of an ESG value chain among global consumer brands, contributing Chinese wisdom and the strength of GEM to the global carbon reduction cause through concrete actions.

Note：The Verified Carbon Standard (VCS), established in 2006 by four organizations including the Climate Group, the International Emissions Trading Association, the World Business Council for Sustainable Development, and the World Economic Forum, is an international voluntary carbon crediting mechanism. VCS is currently the largest and most widely used voluntary emission reduction project mechanism in the international market. Its function is to allow certified projects to convert their greenhouse gas (GHG) emission reductions and removals into tradable carbon credits. The program is overseen by the non-profit organization VERRA, and since its inception in 2006, VCS has had nearly 2,000 registered projects in 82 countries and regions worldwide, generating over 1.095 billion Verified Carbon Units (VCUs). A Verified Carbon Unit (VCU) is a carbon credit awarded to VCS projects after verification and validation, with each VCU representing one ton of carbon dioxide equivalent (CO2e) reduction or removal achieved by the project.