Central China Pharmaceutical Company · Closed-Loop In-House DMT Chemical Recycling
An in-house recycling unit for a central China pharmaceutical group: 350 t/y polyester-grade DMT back into PBT production, raw material cost down 35%.
Background & client context
- Client
- Listed pharmaceutical group
- Region
- Central China
- Scale
- Revenue ¥8B · dual-listed HK + A-share
- Industry
- Pharmaceutical
The client is a listed pharmaceutical group in central China with core businesses in API intermediates, medical packaging, and PBT engineering plastics for medical devices. Production generates ~1,500 t/y of PET trim, off-spec medical packaging and bottle-grade PET, conventionally handled as hazardous waste at ¥1,800/ton plus 30+ day processing cycles due to GMP compliance.
In H2 2024, geopolitical pressure pushed PTA international prices from ¥5,400/t to ¥7,200/t, raising the company's PBT raw material cost by 28% and squeezing margins. Concurrently, several brand customers (medical device OEMs) added 'recycled content' to 2027 compliance lists, requiring ISCC PLUS certification.
Given internal demand for both waste PET disposal and DMT / EG feedstock, the executive team approved a small-scale in-house chemical-recycling unit to replace external PTA with internally produced DMT, simultaneously consuming waste PET and establishing closed-loop feedstock with ISCC PLUS certification.
Pre-engagement pain points
- 01High hazardous-waste cost + long disposal cycle
- Medical-grade waste PET under GMP supervision must use qualified third-party disposers — ¥1,800-2,200/t with 30+ day cycle, creating inventory pressure.
- 02Sharp PTA price volatility
- PTA swung 30% in 2024 amplitude. PBT raw cost +28%. Stable DMT supply needed to replace PTA-EG route.
- 03Brand customer compliance escalation
- Downstream medical device customers add "recycled content ≥25%" to 2027 compliance lists, requiring ISCC PLUS mass-balance + ISO 14067 PCF.
- 04Limited site space; small-scale design required
- Existing space ≤500 m². Large reactor trains infeasible. Needed small, modular, low-noise, low-emission chemical-recycling unit.
ResourceCycle delivery
Small-scale skid-mounted chemical-recycling unit
ResourceCycle delivered 350 t/y skid-mounted DMT unit — 480 m² total footprint, 2 × 2 m³ reactor train, modular process skids individually transportable, assembled on site in <2 weeks.
GMP-compatible design
Equipment surfaces in 304 stainless steel + polish, CIP (clean-in-place) ports on critical lines to prevent cross-contamination. Control system integrated with client SCADA.
In-house feedstock loop
Waste PET → internal collection → ResourceCycle unit → polyester-grade DMT → direct to downstream PBT polymerization. Zero external purchases, zero external sales in the intermediate.
ISCC PLUS + pharmaceutical-grade quality assurance
ISCC PLUS mass-balance certification post-commissioning. DMT also passed pharma GMP audit (microbiological, ICP-MS heavy-metal, GC-MS residual solvent).
Fast implementation, short payback
10 months from contract signing to production. ¥32M capex, saving ¥9.8M/y external PTA cost + ¥2.8M/y waste disposal cost. Static payback 2.6 years.
Phases & deliverables
- 01
Phase 01 · Lab-scale sample validation
May - Jun 2024 (1 month)
5 PET sample types tested, conversion rate + product COA verified
- 02
Phase 02 · Pilot trial + process definition
Jul - Aug 2024 (2 months)
50 kg pilot batches, parameters + catalyst formula confirmed
- 03
Phase 03 · Engineering design + equipment manufacturing
Sep - Dec 2024 (4 months)
Skid-mounted modules built to GMP / ASME standards
- 04
Phase 04 · Installation + commissioning
Jan - Feb 2025 (2 months)
Field assembly, E&I, 72 h hot run + performance test
- 05
Phase 05 · Commercial production
Mar 2025 onwards
30 t/month DMT output, all consumed by PBT engineering plastic line
KPIs & delivered value
| Metric | Achieved | Comment |
|---|---|---|
| Waste PET processed | 1,200 t/y | 100% closed-loop |
| DMT output | ≥350 t/y | Dual pharma + polyester grade |
| PTA substitution | -100% | PBT line external PTA fully replaced |
| Raw material cost reduction | -35% | In-house DMT cheaper than PTA-EG route |
| Hazardous waste cost saved | ¥2.8M/y | Medical-grade waste internal consumption |
| Waste resource utilization | 100% | Zero external disposal |
| DMT purity | ≥99.9% | Color ≤3 APHA · exceeds polyester grade |
| Annual CO₂ reduction | ~2,000 t | Low energy + reduced PTA transport |
| ISCC PLUS certification | Jun 2025 | Supports brand customer compliance |
| Static payback | 2.6 years | Includes equipment + GMP retrofit |
「Our initial expectation was simply to handle the 1,500 t/y waste PET. In actual production we discovered that PTA substitution and brand customer compliance benefits far exceeded disposal cost savings. ResourceCycle's ISCC PLUS + GMP dual-track system let us complete in 10 months what we originally expected to take 24 months.」
Listed pharmaceutical group
Group CPO · Procurement & Supply Chain
- 01Annual CO₂e reduction ~2,000 t (equivalent to 1,150 households of annual electricity emissions)
- 021,200 t/y medical-grade waste PET 100% resource utilization, avoiding hazardous waste incineration
- 03Wastewater discharge reduced 64% (chemical recycling vs PTA route)
- 04ISCC PLUS + ISO 14067 PCF + pharmaceutical GMP audit all obtained
- 05Supports brand customer 2027 compliance list (recycled content ≥25%)
Related products & technology
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