Teijin Invests in Circularise to Boost Supply Chain Transparency
Netherlands, Wednesday, 4 December 2024.
Teijin Limited’s investment in Circularise aims to enhance supply chain sustainability using blockchain technology, aligning with Teijin’s goal of achieving net-zero carbon emissions by 2050.
Strategic Investment Details
On November 20, 2024, Teijin Limited announced a strategic pre-Series B investment in Circularise B.V., a Dutch blockchain technology company [3]. This partnership represents a significant step in Teijin’s commitment to supply chain innovation, following Circularise’s successful Series A funding round in 2022 [2][3]. The collaboration aims to leverage Circularise’s blockchain-enabled platform, which specializes in supply chain traceability and transparency [2].
Technology and Implementation
Teijin plans to integrate Circularise’s innovative ‘Smart Questioning’ and Zero-Knowledge Proof technology to enhance supply chain oversight while maintaining confidentiality [2]. This technology enables organizations to track a product’s complete journey, including its history, composition, and carbon emissions [2]. The platform will be particularly crucial for sourcing raw materials with reduced environmental footprints, supporting Teijin’s broader sustainability initiatives [2][3].
Environmental Commitments
As part of its long-term vision, Teijin aims to achieve net-zero carbon emissions by 2050 [2][3]. The company, which reported consolidated sales of JPY 1,032.8 billion (USD 6.6 billion) for the fiscal year ending March 31, 2024 [3][4], has identified climate change mitigation and circular economy achievement as key material issues [2]. This investment aligns with new EU regulations, including the Ecodesign for Sustainable Products Regulation and Corporate Sustainability Reporting Directive [2].
Market Impact and Future Outlook
The partnership comes at a crucial time when the global bioplastics market is experiencing significant growth, with projections reaching USD 44.77 billion by 2030 [5]. According to Ton de Weijer, General Manager of Teijin’s Environment Solution Division, this investment positions Teijin to cooperate with leaders in the field of traceability [3]. Jordi de Vos, co-founder of Circularise, emphasized that the partnership aims to set new benchmarks for industry-leading examples of the circular economy [2][3].