Kraton Corporation is a global producer of Styrenic Block Copolymers (SBCs), speciality polymers, and high-performance biobased chemicals derived from pine wood pulping. Headquartered in Houston, Texas and founded in the 1950s, the company currently serves a diverse range of end markets in over 70 countries.
You are a chemist by training before moving into industry. Looking back, what first piqued your interest in this space?
I’ve always been a fan of science, and chemistry intrigued me early on because it's in everything we do. My journey began in high school, where I got my first glimpse of chemistry, but it was during my master’s studies at the University of Milan that I truly fell in love with the subject. Understanding the science behind what shapes our world was fascinating to me.
Over time, I realized I wanted to contribute more as a business leader in the industry, which drove me to pursue an MBA and transition into roles on the commercial side an,d eventually general management. My chemistry background remains a foundation, but my career has been about merging science with strategic leadership.
What is the motivation behind Kraton's focus on specialty polymers and bio-based materials?
Kraton has a rich history. We pioneered elastomers—rubber-like materials—as part of Shell more than 65 years ago, revolutionizing how performance materials are developed. We also invented Styrenic Block Copolymers in 1957. In 2016, we expanded by acquiring Arizona Chemical, doubling our size and integrating bio-based pine chemicals into our portfolio. What’s unique about pine chemicals is that they’re derived from crude tall oil, a waste byproduct of the pulp and paper industry. They are sourced from responsibly managed forests that do not compete for land with food crops, are non-GMO and do not require land use change. We refine this into valuable molecules used in adhesives, coatings, and mining operations. Essentially, we transform a would-be waste product into sustainable alternatives that replace fossil-based materials, adding both environmental and economic value.
The adhesive space, particularly in packaging, is a significant growth area. Customers like Henkel and Bostik are driving demand for bio-based adhesives to reduce environmental impact. For example, the glue used in packaging boxes is increasingly bio-based, replacing fossil-derived formulations.
This shift isn’t just about sustainability; it’s about meeting consumer and regulatory expectations for greener products. Winning awards, such as being named Henkel’s most sustainable supplier, highlights how bio-based innovations are making tangible impacts across industries.
What is the most seismic change you’ve observed in the chemicals industry throughout your career?
The industry has grown significantly more responsible over time. The introduction of initiatives like the Responsible Care Act has set a global standard for sustainability, influencing how companies approach their environmental impact. Previously, the focus was solely on creating products, often with less consideration for the broader impact. Today, there’s a deeper consciousness around sustainability and how the industry can positively influence the planet, from reducing emissions to improving quality of life. It’s a necessary evolution and one I’m proud to witness.
When it comes to international standards, there’s always room for improvement, and the industry is evolving rapidly. Regulatory standards are becoming stricter, and reporting requirements are more rigorous. Beyond regulations, there’s a self-propelled drive within the industry to prove sustainability, which is both strategic and necessary. For instance, we’ve achieved four consecutive years of EcoVadis Platinum status, which is rare; of the many companies rated, only 1% are awarded platinum status. This recognition reflects our commitment to sustainability, but it’s a journey that keeps raising the bar. The challenge is not just regulatory compliance but showing genuine progress, which matters to customers, talent, and the broader market.
Looking to the future, what sustainable solutions or technologies are you most excited about leveraging and implementing?
Two key innovations that inspire me are CirKular+™ and REvolution™. CirKular+ polymer additives enhance the recyclability and performance of recycled plastics, enabling higher recycled content in products like packaging and automotive parts while achieving quality comparable to virgin plastics. Our REvolution technology focuses on sustainability by offering advanced, biobased materials as efficient, environmentally responsible alternatives to fossil fuels. It delivers superior performance across industries, including automotive, consumer goods, and infrastructure, while reducing environmental impact.
Both innovations help lower customers' carbon footprints, supported by transparent life cycle analysis to quantify emissions reductions and avoid greenwashing. We’re constantly exploring new applications, like using bio-solvents to replace hydrocarbon-based solvents. Also, we’ve set ambitious targets, like a 10% reduction in emissions and water use, aligning sustainability with operational goals. Efficient use of assets also reduces environmental impact by minimizing inter-plant shipments. This integrated approach strengthens our supply chain while advancing our sustainability agenda.
Which global trends are shaping Kraton's operations, and what shifts do you anticipate in 2025?
Global trends like regionalized supply chains and geopolitical shifts have reshaped the industry. During COVID-19, logistics challenges highlighted the need for localized sourcing, which we’ve embraced by maintaining assets in every major region. Demand varies by geography. Asia leads in electronics, supported by our Shanghai innovation center. In the U.S., oil and gas drive demand, while mining operations are significant in Australia. This localized approach ensures that we stay aligned with regional strengths while addressing global challenges.
Tariffs are a major concern, especially with new trade policies potentially reshaping the industry. While they aim to level the playing field, they could create barriers between regions like Europe, the U.S., and China. The challenge lies in ensuring fairness while addressing regional disparities in regulations. Europe, for example, has stricter carbon taxes, which can disadvantage local industries. A balanced, global approach is crucial to maintaining competitiveness while advancing sustainability.
