INEOS announced it has completed a £30 million (approximately $39 US million) upgrade at its Hull, U.K., manufacturing facility, converting operations to run on clean-burning hydrogen in place of natural gas. According to the company, the change has cut site carbon emissions by 75%, marking a major milestone in its broader decarbonization strategy across Europe.
INEOS Acetyls is the only industrial-scale producer of acetic acid, acetic anhydride, and ethyl acetate in Europe — materials widely used in products ranging from pharmaceuticals to water treatment chemicals, said the company in a press announcement. The Hull site now operates with a significantly reduced product carbon footprint, which the company said was already among the lowest globally.
The hydrogen used to fuel operations is generated as a co-product from existing manufacturing processes, making the transition resource-efficient without requiring external hydrogen supplies. INEOS said this model could serve as a blueprint for similar upgrades across the sector.
The project reportedly is part of a portfolio of decarbonization efforts at INEOS manufacturing sites, including Grangemouth and Köln. INEOS has committed to achieving net-zero emissions across its operations, with the company emphasizing immediate action over distant targets.
The Hull site employs more than 300 people directly and supports hundreds more through its supply chain, the company said.
This investment comes as Europe’s chemical industry faces mounting cost pressures and increasing regulatory burdens.
In January, INEOS announced the closing of a plant in Scotland, prompting CEO Jim Ratcliff to declare the European chemical sector is on life support.
According to a July 21 Reuters report, chemical producers across the region are calling for urgent policy relief to remain competitive globally, citing an exodus of production capacity and higher energy costs. The article points to INEOS’ move to decarbonize its operations while maintaining production within Europe, illustrating a dual focus on sustainability and industrial resilience at a time when others in the sector are cutting capacity or relocating.