Presentation for conference ICM on electronics recycling in Shanghai Nov 2009

1. 4th World Recycling Forum • Shanghai ’09
y g g
Producing electronics with
p
post-consumer regenerated
g
materials (PCR)
- from supply chain to supply cycle -
Chris Slijkhuis, Director Sourcing 采购总监

2. Agenda 内容
The EU “push”-model – legislation driven E-Waste market
The US “pull”-model – product/market standard driven
The Chinese “collaboration model production of green
collaboration model”
electronics in good collaboration between OEM’s and EMS
Combining th
C bi i these 3 t
trends converts th S
d t the Supply Ch i i a
l Chain in
Supply Cycle
Converting the Supply Chain into a Supply Cycle
使供应链变成供应圈

3. The European „push model“
The European Union Legislation pushes end-of-life goods to be treated
in an environmentally responsible way

4. The European Union WEEE Legislation
WEEE legislation of 2003 is being re-written – WEEE re-cast
Quite a big percentage (>50%) leaks from the system; the EU is working on this
Based upon the WEEE legislation, the EU also has implemented RoHS
The Waste Shipment Regulation (WSR) prohibits export of E-Waste,
WSR allows certain fractions to be exported for recycling such as plastics
The EU are implementing REACH for all products
E-Waste
E Waste now is 9.3 Mio MT’s but expected to grow to over 12 Mio MT’s
93 MT’s,

5. Composition and Quantity of E-Waste
Small
Domestic
and
Consumer
Equipment
q p
32%
Large
Household
Appliances
43%
IT,
IT
Computing
and Telecom
15%
Household
Cooling
Equipment
10%
Total 18,5 kg per inhabitant or some 9 Mio MT‘s for the EU
SOURCE: Various studies, UNU and NVMP data

6. Composition of E-Waste
Printed
Pi t d Ceramics R bb Oth
C i Rubber Other Other
Oth
Circuit Wood 2% 1% 5% metals
Boards 3% 1%
3%
Aluminium
5%
Plastic
BFR
5% Iron & Steel
Glass 48%
5%
Copper
7%
Plastic non
BFR
15%
Plastics represent approx. 20 % of weight in WEEE

7. Post-consumer plastics were mostly discarded
• Metals from durable goods recycled at 90+% rates
• Plastics have high intrinsic value but extremely low recycle rate
120%
Recyle Rates
100%
80%
60%
40%
20%
0%
Glass Steel Paper Aluminum High Value
Plastics

8. The Sustainable Model of Re-Producing plastics
Procurement Processing Selling
• Growing supply • Mechanical ‘mining’ • “Green” products
process
• Land‐filled/Incinerated • Virgin‐like quality possible
• Self‐replenishing • < 10% of energy • More sustainable business
• Sustainable and • <10% of water consumption • PCR plastics
growing supply
growing supply
• Save about 1‐3 tons CO2/ton

9. CO2 Impact of MBA Polymers Recycling
SOURCE: Extracted from EMPA Study Roland Hischier July 2009

10. The US „push model“
The American EPEAT initiatives develop a pull for recycled
materials and green products

11. Not easy to find way in the forest of green labels
Nordic Swan
Blue Angel (Germany)
Ecomark (Japan)
Ecoflower (EU)
EU Computer Association
Terrachoice
TCO Development (
(Canada))
(Sweden)

12. EPEAT is very active
EPEAT created to compare durable goods products on
environmental attributes.
US government are required to buy “greener” products.
Federal agencies must purchase EPEAT registered products
Growing number of companies prefer higher EPEAT ratings
Current EPEAT users have a buying power of over 20 bn $!

13. How does EPEAT work?
51 Criteria developed in each of the following categories:
Environmentally Sensitive Materials
Materials Selection
Design for End of Life
Product Longevity/Life Cycle Extension
Energy Conservation
End of Life Management
Corporate Performance
Packaging
Multi-stakeholder meetings to create and vote on criteria.
EPA,
EPA other gov’t agencies NGOs OEMs IEEE recyclers suppliers etc
gov t agencies, NGOs, OEMs, IEEE, recyclers, suppliers, etc.
EPEAT Bronze Meets the 23 required criteria
EPEAT Silver Those 23 criteria and at least 14 optional
EPEAT Gold Those 23 criteria and at least 21 optional

14. The Chinese „collaboration“ model
In China OEM’s, EMS’s and material and component companies
put th electronics t
t the l t i together i t appliances i collaborative t
th into li in ll b ti teamwork.
k

15. Teamworking to a create a green product
Original Equipment
O i i lE i t
Manufacturer OEM

16. OEM role in this teamwork
Design products that appeal to the public and the market
• EPEAT and other environmental help creating a demand for green products
• Design for environment and re-use & recycling
• RoHS and REACH compliant products require new materals
Market these products
• Create demand and awareness for green attributes
• Sustainability is becoming a major differentiator
Qualify new materials and work practices:
• As RoHS
A R HS did f l d f
for lead-free soldering
ld i
• Now more and more recycled materials need to be qualified
Identify new potential sources and suppliers of green materials:
Design these new materials into new equipment:
• A lot of testing is required.

17. Some examples of recent green products
Europe - Electrolux
“Made with 55% recycled plastic, the Ultra
Silencer Green from Electrolux is the most
energy‐efficient cleaner on the market. Its
new, high‐efficiency motor reduces the Ultra
Silencer’s energy consumption by 33%
compared to a standard 2,000 watt vacuum
cleaner. Because Ultra Silencer Green is made
out of recycled materials, it is only available
in black, as this color allows to achieve the
best looking finish and quality when using
recycled materials. To signify Eco friendliness
of the Green vacuum cleaner, Electrolux
designers added signature elements of green
on the graphics and buttons.”
SOURCE: Electrolux Pressrelease

18. HP combines more than one green attribute
• HPwebsite refers to “ECOHIGHLIGHTS” 20% recycled plastics as the top
eco-attribute.
• Consistent with surveys that eco-consumers value recycling/recycled
eco consumers
content second only to energy.

19. Teamworking to a create a green product
Original Equipment
O i i lE i t
Manufacturer OEM
Electronic Manufacturing
Services Company EMS

20. The EMS role in this teamwork
Pooling manufacturing resources
• Large scale manufacturing – economies of scale
• Able to react quicker to the large fluctuations in volatile markets
• Purchasing power and optimizing stocks
Allowing re-location to low-labor cost markets
• Taking over the production facilities in high-wage countries
• And
A d moving them to l
i th t lower cost areas i th F E t i l Chi
t in the Far East incl. China
Leaving the OEM’s to concentrate on their core competences
• Developing complex new appliances
• Marketing these on the global market
Taking care of value add services such as
• Distribution d logistics
Di t ib ti and l i ti
• Repair and warrantee services
And lately adding design services such as ODM
• Designing and engineering new electronic products

21. Teamworking to a create a green product
Original Equipment
O i i lE i t
Manufacturer OEM
Electronic Manufacturing
Services Company EMS
Material & component
Supplier

22. The recycled materials manufacturer
Procuring post-consumer electronics fractions
• From many different sources with differing processes
• Complex logistics required
Processing complex and variable streams of material
• E-Waste plastics contain many polymers difficult to separate
• Technology development is new and much more complex than for metals
Producing materials that are compliant to legislation
• Legislation becomes ever more complex
• Substances of concern (BFR’s, heavy metals) need to be separated
• And these substances need to be discarded properly
The requirements for new electronic products are demanding
• Processing parameters need to be similar to “virgin” materials
A global supply of material is required for global electronics market
g pp y q g

23. Final Product Quality Control as for Virgin Materials

24. Lot’s of processing data are needed

25. Production and Product Certificates

26. The first global plastics recycling company
UK
Austria
Austria
USA
China
26

27. But...global teamwork does it...
Putholes on the way to a greener world
Teamwork to push
Teamwork to pull
Teamwork to collaborate
and eventually we will get there...

28. MBA Polymers is a good „home“ for your WEEE plastics......thank you
从供应链到供应环…谢谢