[Commercialization of Eco-Friendly Cable Material That Reduces Carbon Emissions by 34%]

As the transition to a decarbonized era coincides with expanding global power grid investments, the application of recycled raw materials is emerging as a new competitive edge in the cable materials market. In particular, the demand for submarine and high-voltage direct current (HVDC) cables is surging as offshore wind power generation and cross-border grid interconnection projects increase. With the strengthening of circular economy regulations, particularly in Europe, there is a growing trend requiring even cable manufacturers to increase the proportion of recycled materials starting from the raw material stage.

Amid these industry trends, Korean chemical companies are also accelerating efforts to convert recycled plastics into materials for power infrastructure. Moving beyond the stage of merely applying recycled polyethylene (rPE), reprocessed from waste plastics, to simple packaging or containers, expanding into cable materials—a core component of power grids—has recently emerged as a major theme.

Leading this trend is the Hanwha Solutions Wire & Cable (W&C) division. Hanwha Solutions announced that it has completed customer verification for 'CHBA-8241RC,' a power cable jacket material based on high-density polyethylene (HDPE) containing 50% post-consumer recycled (PCR) plastic, and will begin full-scale commercialization starting on the 11th.

A key feature of this material is that it reduces carbon emissions per kilogram by approximately 34% compared to existing products while maintaining equivalent electrical properties. After completing development and trial production last year, Hanwha Solutions successfully wrapped up production testing and quality verification with a cable manufacturer in the first half of this year.

Carlo Scarlata, Head of the W&C Division at Hanwha Solutions, expressed his ambition, stating, "Through this commercialization, we have passed rigorous customer verification processes, proving both the quality and marketability of our product." He added, "We will support our customers' sustainable cable production with recycled raw material-based products and establish ourselves as a trusted material partner in the global power infrastructure market."

[Beyond Packaging to Extra-High Voltage Cables... Expanding Territory]

This commercialization is a fruition of the waste plastic recycling technology and commercialization experience that Hanwha Solutions has accumulated over time. Hanwha Solutions has successively obtained international certifications such as the Global Recycled Standard (GRS) and ISCC PLUS for rPE. In addition, the company has continuously expanded the application of rPE by collaborating with partners like LG Display and Kolmar Korea Holdings for electronic product packaging, cosmetic containers, and industrial recycled packaging bags. The commercialization of CHBA-8241RC is highly significant in that the application area has expanded beyond simple packaging and container materials to 'power cables,' a high-value industrial material.

Hanwha Solutions' cable materials business is also broadening its scope into high-value markets such as extra-high voltage (EHV), in addition to eco-friendly products. At 'WIRE 2026,' the world's largest wire and cable exhibition recently held in Germany, the company showcased a new cable model applying 500kV-class extra-high voltage cross-linked polyethylene (XLPE) and semiconductive materials, foreshadowing a portfolio expansion that spans from extra-high voltage insulation materials to eco-friendly jacket materials. Furthermore, it is understood that the company is actively reviewing the utilization of its European hub organization and local experts to expand its sales network, scaling up domestic production facilities, and entering new bases in North America.

[Future Keys: Approval of Around 30 Certifications and Securing Global Bases]

A key variable that will gauge the future growth potential of this business is the speed at which approximately 30 ongoing material certification processes with major wire and cable companies translate into actual supply contracts. In addition, the specific timeline for the commercialization plans of high-value products scheduled for after 2027 and whether the company secures new bases in Europe and North America are important points to watch.

Ultimately, whether the application of recycled materials translates into actual adoption rates by cable manufacturers, and how swiftly the company responds to relevant certifications and regulations, are expected to serve as indicators that will determine the sustainability of this theme going forward.

[※ This article is based on Hanwha Solutions' business announcement and is not intended to provide investment judgment or buy/sell recommendations for any specific stock. The final judgment and responsibility for investments lie with the investor. This is an AI-assisted article.]