Insulation industry news from Global Insulation

Belgium: Etex says that it ‘considerably’ progressed its Road to Sustainability 2030 plan during 2023. That year, safety intensity increased by 7%, and Etex established a global diversity, equity and inclusion ambassador community of 110 volunteers across 26 countries. In Europe, the company achieved 70% Environmental Product Declaration coverage as a percentage of its turnover, up from 58% in 2022. Etex raised its total use of recycled materials to 7.6%, and achieved a 23% reduction in Scopes 1 and 2 CO₂ compared to 2018 levels, in line with its 2030 target of 35%.

CEO Bernard Delvaux said “In the EU, more than 40% of energy consumed is used in buildings and more than 30% of energy-related greenhouse gasses emissions come from buildings. Next to new building activities, and according to current high energy standards, renovating old building stock should hence be a top priority. With our portfolio of building materials such as glass wool and extruded polystyrene insulation, gypsum wallboard, fibre cement boards and fire protection materials, Etex has the solutions to reach the ambitious targets. But in view of the huge challenge, a holistic and effective plan to boost renovation is needed, to finance and simplify the renovation process, in each of the EU countries.”

Belgium: Etex reported sales of €3.81bn in 2023, up by 2.5% from 2022 levels. The company's recurring earnings before interest, taxation, depreciation and amortisation (REBITDA) rose by 10% to €712m. It also raised its capital expenditure for the year, to €371m. Etex used 47% recycled polystyrene in its operations throughout the year. In mid-2023, Etex exited Russia through the sale of two URSA insulation sites. The group is also ‘actively preparing’ to help rebuild Ukraine as soon as conditions permit.

CEO Bernard Delvaux said “Even more so than 2022, 2023 was a challenging year marked by volatility, uncertainty and severe drops in demand across the world, as we observed the continued impacts of increased energy prices and interest rates. Combined with tougher financing possibilities by banks, all these circumstances meant that both renovation and new construction levels dropped globally. Devaluation of some foreign currencies and hyperinflation accounting also had significant effects on our results. Despite all these challenges, I am extremely proud to share that Etex navigated these difficult waters very well and delivered yet again another record year. This includes our highest ever revenue and REBITDA, among others. This strong performance stems from our anticipation in making strategic decisions and changes at global, regional and local levels, ensuring continued proximity with our customers. This is also a result of even tighter cost monitoring in 2023, without ever losing sight of our long-term ambitions and continuing to improve our strong industrial footprint.”

Belgium: Knauf Insulation has released its ‘Sustainability Journey: 2023 Highlights’ report. It reveals the company’s sustainability strategy achievements focusing on safety, employee engagement, decarbonisation and the circular economy.

The company reduced its absolute full-scope emissions for its mineral wool production by 8.2% year-on-year to 1.34Mt of CO₂e in 2022 from 1.46Mt in 2021, mainly due to a significant fall in Scope 2 emissions. it currently has a target to reduce its specific embodied carbon emissions by 15% from 2021 to 2025. The recycled content of its glass mineral wool products fell to 55% in 2022 from 64%, despite the company having a target of 65% by 2025. It explained that sourcing large volumes of recycled materials of sufficient quality had proved challenging in some markets. However, it did increase the recycled content of its rock mineral wool products to 13% from 11%, with a target of 25% set for 2024. It also reduced its total recordable incident rate by 8% to 5.9 from 6.4 against a target of below 5 for 2025.

Dominique Bossan, the chief executive officer for Europe, Middle East and Asia at Knauf Group, said “The report documents our progress towards achieving our 2025 sustainability targets. It shows the areas where we need to improve, celebrates where we have made positive progress and pays tribute to the hard work of our teams."

Belgium: Recticel has appointed Jan Vergote as its chief executive officer (CEO). He succeeds Olivier Chapelle, who will start the handover process in September 2023.

Vergote has worked as the head of a number of European companies notably in the flooring sector. He was the CEO of IVC Group from 2008 to 2021. Prior to this he was the managing director of Balta Group from 2003 to 2008 and Beaulieu International Group from 1996 to 2002.

Belgium: PU Europe has issued a statement to the relevant European bodies responsible for fluorinated gases (F-gases) emphasising the role of low global warming potential (GWP) of F-gases in insulation foam applications.

The association has suggested that, instead of total ban of F-gases, a lowering of the threshold should be considered as an alternative. In its view a lower threshold would allow the users of thermal insulation to continue to benefit from products made from closed-cell polyurethane foam. It warned that a ban on the use of low GWP F-gases in insulation foam would have “significant implications for the Renovation Wave, as approximately 80% of the buildings that will exist in 2050 have already been constructed.” PU Europe emphasises the need to find solutions that strike the right balance between addressing operating greenhouse gas emissions from the existing building stock and controlling low GWP F-gases.

The European Commission proposed in early 2022, as part of its so-called 'fit for 55' package, to further reduce emissions of F-gases. It wants to change the existing quota system, gradually reducing the supply of hydrofluorocarbons to the European Union market to 2.4 % of 2015 levels by 2048.

PU Europe was founded in 1981 as BING to become the single European voice for the polyurethane insulation industry. The association represents insulation producers, raw material suppliers and component manufacturers from eleven countries with activities covering the entire continent.

Belgium: Recticel has launched a new range of polyurethane insulation board products that contain 25% bio-circular raw materials. The new ‘Impact’ range reduces CO₂ emissions by an average of 43% compared to a standard board while offering equivalent insulation performance. These new products are an important element of Recticel's proactive approach to reaching net zero emissions by 2050, as committed to the Science Based Targets initiative (SBTi).

The Belgium-based insulation producer also completed its divestment of its Engineered Foams division in mid-June 2023. The bulk of the business was sold to US-based Carpenter Co for an enterprise value of around Euro454m with two UK-based units sold to GIL Investments, as part of the competition clearance provided by the UK Competition & Markets Authority (CMA). Following the divestment of its Engineered Foams division, Recticel has become solely an insulation manufacturer.

Belgium: Etex's sales were Euro3.74bn in 2022, up by 25% year-on-year from 2021 levels. The group's insulation sales were Euro312m, 8.3% of the group total for the year. Its recurring earnings before interest, taxation, depreciation and amortisation (REBITDA) totalled Euro645m, up by 13%. During 2022, Etex reduced its absolute CO₂ emissions by 20% compared with 2018 levels.

Regarding insulation sales, the producer said "The early months of 2022 saw very strong volumes, followed by modest drops. Insulation’s results were impacted by issues surrounding inflation, gas, power and raw materials but the energy savings aspect of insulation made glass wool and extruded polystyrene (XPS) insulation even more attractive than previous years."

Etex expanded its insulation business during the year through its acquisition of Spain-based URSA.

Belgium: Recticel’s Simfocor polyurethane board product has been certified a ‘Solar Impulse Efficient Solution’ by the Solar Impulse Foundation. The label is awarded to products, services or processes combining credible environmental and economic performance. It also means that Simfocor joins the Solar Impulse Foundation’s list of products selected for their contribution to clean economic growth.

Simfocor is part of the ‘Recticel Silence’ insulation range and is currently sold in France and Spain. It is a polyurethane insulation board that is marketed for both its acoustic and thermal insulation properties. The product is made of recycled polyurethane foams sourced from discarded mattresses.

Germany: Knauf Insulation has launched new overwraps on its global insulation product portfolio. The new packaging reduces ink consumption by 70% through its design, featuring a white or off-white base hue and no more than one additional colour. The wraps are designed to maximise ease and efficiency and reduce cost of recycling. This is in line with Knauf Insulation's commitment to recycle over 25% of packaging by 2025. Within the same timeframe, it also aims to reduce its packaging's virgin plastic consumption by 25% and collect over 35% of delivery pallets for repair and reuse or recycling.

Belgium: Recticel has joined the Science-Based Targets Initiative, reinforcing its commitment to institutional CO₂ emissions reduction grounded in climate science. Under the commitment, it set two new targets, namely to achieve net zero Scope 1 and 2 CO₂ emissions from its operations by 2030, and to achieve net zero Scope 3 CO₂ emissions by 2050.

The insulation producer said "Recticel looks forward to engaging with all partners in its value chain to join forces and drive progress. Our results against targets will be communicated in the annual report."