Covestro stock: CARBEX project targets recycled chemicals

Published on 11/13/2026 at 18:31 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Covestro stock gains a new circular-economy angle as the company launches a project to recover chemicals from vehicle waste. Pilot work is planned.

Covestro advances chemical recycling

The CARBEX project seeks to recover benzene, toluene, ethylbenzene and xylenes from automotive shredder residue.
Covestro plans to test the recovered aromatics in MDI and TDI production while the project moves toward pilot-scale operation.
Industrial adoption could cut German carbon dioxide equivalent emissions by up to 640,000 metric tons a year, according to the project announcement.

Covestro, DE0006062144, Illustration mit AI erstellt.

Covestro launched the CARBEX research project on Friday, November 13, 2026, with Fraunhofer UMSICHT and Carbon Minds. The project aims to recover benzene, toluene, ethylbenzene and xylenes from automotive shredder residue and develop them for chemical production, according to Covestro.

Recycling process targets core feedstocks

Covestro is leading the industrial activities in CARBEX. The project focuses on automotive shredder residue, a waste stream that can contain polyurethane from vehicle components. The recovered benzene and toluene would be assessed for use in the production of MDI and TDI, materials used in insulation, vehicles, furniture and other applications.

The process combines pyrolysis with catalytic reforming. In preliminary laboratory tests cited by Covestro, the technology produced pyrolysis oil containing 62% BTEX by weight and reduced its halogen content by up to 99%. The project partners plan to move toward continuous pilot-scale operation with a throughput of 10 kilograms per hour by 2028.

Potential emissions benefit

Covestro said the process could offer an alternative to producing aromatics from fossil-based naphtha. Fraunhofer UMSICHT calculated process emissions of around 1.1 metric tons of carbon dioxide equivalent per metric ton of BTEX, compared with 1.6 to 1.8 metric tons for steam cracking. Wider industrial use could reduce emissions in Germany by up to 640,000 metric tons a year, according to the announcement.

CARBEX runs from September 2026 through August 2029 and is funded through Germany's KlimPro-Industrie II program. Covestro will develop a separation process and conduct a techno-economic assessment before validating the recovered materials in its production chain.