GC One Report 2023 [EN]

GC operates its PLA business through NatureWorks LLC (NatureWorks), a joint venture between GC’s GC Internat ional Corporat ion (“GCI”) and Cargi l l , Incorporated (“Cargill”) of the U.S., and the proprietor of the polylactic acid (PLA) production technology with a commercial capacity of 150,000 tons per year. To expand its production capacity, NatureWorks has decided to construct a second plant in Nakhon Sawan Biocomplex in Thailand, which will be an integrated lact ic acid, lact ide, and polylact ic acid (PLA) manufacturing plant with a capacity of 75,000 tons per year. The engineering design of the plant has been completed, and the construction has begun, with the commencement of commercial operation scheduled for 2025. As for PBS, GC operates its business through PTTMCC Biochem Co., Ltd., which is the world’s sole producer of bio-PBS and a joint venture with Mitsubishi Chemical Corporation (MCC), established for the production and distribution of bioPBS, an environmentfriendly product composable in ambient temperature. PTTMCC operates a plant in Rayong with a capacity of 20,000 tons per year. Policy and Marketing Bioplastic and biochemical markets have seen significant growth in line with a surge in environmental conservation, plastic ban and reduction measures, and public awareness of plastic waste issues, and there has been a significant rise in global demand for compostable plastics for as substitutes for single-use plastics. NatureWorks’ Ingeo™️branded PLA can be used to produce food-grade products, such as cold drink cups, spoons, forks, coffee capsules, rigid and flexible food packaging, and tea bags. It is also used to manufacture products in the computer industry, such as 3D printing filaments and powders. With respect to sales and marketing strategies, NatureWorks focuses on catering to specialized needs by researching and developing products in collaboration with major international manufacturers with production bases and customers in various regions whose policy is to use bioplastics in their products. As such, NatureWorks has been successful in responding to specific needs and adding value to products. In addition, NatureWorks collaborates with other proprietors of bioplastic production technology to enhance the quality of its products, grow customer bases, expand the range of applications, and accommodate the steady growth of global bioplastic demand , such as through product development research in which PLA is combined with polyhydroxyalkanoate (PHA) to enhance the product’s degradability and texture. On the other hand, PBS is mixed with PLA or other bioplastics in the current market to enhance the properties and functionalities for use in the production of coffee capsules, packaging, food-grade cling films, bioplastic carry bags, and mulch films and as a coating in paper food containers or cups for hot and cold drinks. PBS is sold directly to customers and through dealers, with the major markets being mostly in Europe, the U.S. and China. Company Product Nameplate Capacity (thousand tons per year) NatureWorks Polylactic acid (PLA) 150 PTTMCC Polybutylene succinate (PBS) 20 57 PTT GLOBAL CHEMICAL PUBLIC COMPANY LIMITED Form 56-1 One Report 2023

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