Rosemont, Ill. — Daði Valdimarsson, CEO of global rotational molding firm Rotovia BV, says his company takes a practical, "feet on the ground" approach to its environmental goals, including aiming for a fourfold jump in use of recycled plastic in four years.
The Iceland-based company set sustainability targets last year for its 10 global factories, including using 20 percent recycled content in its products by 2028 and taking back 30 percent of its products so they can be a feedstock for the specialty resin grades needed in rotomolding. That would be a huge jump from where Rotovia is now.
Last year, it used a little less than 3 percent recycled content in its industrial storage tanks and other products. It estimates it will hit 5 percent this year and 8 percent in 2025, Valdimarsson told an audience at the Rotoplas 2024 show, held Sept. 24-26 in Rosemont.
"One can ask is that [20 percent target] ambitious enough? I would just say that we in the management of Rotovia, we are humble people with our feet on the ground," he told the conference. "It would, of course, be great to see a number here like 50 percent or even higher. But within the time frame we are looking at, meaning down to 2028, we feel that this objective is ambitious and still reachable."
In February, the company released its first sustainability report, outlining those goals and others, like converting its power-hungry, fossil fuel-powered manufacturing ovens to green energy.
Currently, only four of its 58 rotomolding ovens are powered with green electricity, but the company aims to have 11 more connected to green power by 2028, the report said.
Rotovia has put a focus on environmental initiatives because its customers, investors and employees are all seeking that, Valdimarsson told the audience at Rotoplas, which is organized by the Association of Rotational Molders.
"Why are we emphasizing so much on recycled content? The short answer to that is basically that our customers are asking for it," he said.
But he also said staff — the company employs about 800 people at nine manufacturing plants in Europe and one in Canada — want to use more recycled materials.
"The generation which is coming up today, they don't want to be employed by companies who are not running the business in a responsible manner," said Valdimarsson. "We see this clearly from the younger generation in our company, that recycling of polymers is important for them.
"We also see this kind of requirement from our owners, our investors," he said. "They are mainly coming from … funds in Iceland, and they have set high, high standards on sustainability targets."
In an interview after his presentation, he said investors are supportive of its 2028 targets and broader sustainability goals. He noted they raise the topic early with Rotovia management.
"When they took a decision on investing, this was one of the first things they asked about: How do you see the future? You are in the plastics industry," he said.
Rotovia, which formed in 2022 and is owned by Icelandic private equity funds Freyja and SÍA IV and key management, bought out Berry Global Group Inc.'s rotational molding business that year. The business, once known as Promens Group AS, had been part of United Kingdom-based RPC Packaging plc before Berry bought RPC in 2019.
He said Rotovia management started developing its sustainability plans more fully after the 2022 buyout.
"We did that early after we acquired the business," he said. "The outcome of that was a growth strategy which is built on developing the business in a sustainable way."