Cleantech specialist Klean Industries, supply chain solution provider CEVA Logistics and reusable metal container provider Goodpack have signed a memorandum of understanding to collaborate on the development of a fully holistic supply chain that produces a global solution for end-of-life tires (ELTs).
By leveraging each company’s experience and knowledge, the group aims to create significant change to solve the problem of ELTs globally. The partners aim to achieve this by integrating a total solution which includes green logistics and low-carbon intensity manufacturing and distribution. These will then be combined with a digital technology infrastructure to support the development of the low-carbon, circular economy and the end goal of zero waste to landfill.
A proof of concept (POC) will be developed in the Oceania region for the reverse collection of ELTs. The POC seeks to provide results which will greatly reduce the logistics-related carbon emissions associated with the distribution of new tires and the reverse logistics of ELTs on an integrated basis. The long-term environmental and financial impacts of tires – including resources used for producing and recycling tires – are also reduced.
To close the loop and form circularity, ELTs are delivered to Klean’s processing plants, where recovered carbon black and recovered fuel oil are then produced and re-distributed into new tires and virgin carbon blacks. They are delivered to the renewable fuels manufacturing sectors for reuse in the production of ‘green’ products with a much lower carbon intensity throughout the manufacturing and production supply chain.
These activities will then be combined into Klean Industries’ Klean Loop, a SaaS blockchain technology and system which enables all aspects of the tire lifecycle to be tracked and traced. This is turn provides supply chain transparency for improved financial and environmental performance.
“As we navigate the complexities of global supply chains with our partners, it is imperative that we prioritize sustainability,” said Bruno Plantaz, managing director for APAC, CEVA Logistics. “By embracing circular economies and finding better ways to transport products, we can boost transparency, minimize waste and reduce the environmental impact of the tire and rubber industries, while also driving economic growth in Oceania.”
“We are proud to work with industry leaders through our journey of creating circular supply chains and I am excited to see how this partnership will change the tire sector towards a better, safer and a more sustainable future,” said Peet Leong Kok, COO and global business director for tires, Goodpack.
“This MoU establishes the framework and vision to drive change not seen before in the tire and carbon black manufacturing sectors,” commented Jesse Klinkhamer, CEO of Klean Industries. “We believe this partnership represents one of the single biggest opportunities to create a completely circular tire industry making it the shining example of what can be done when we partner to create symbiosis between waste, resources and energy.”
