Samsung E&A secured a pre-engineering contract for Emirates Biotech’s planned biodegradable plastics facility in Abu Dhabi, marking the Korean engineering firm’s entry into the growing eco-friendly materials sector.
The agreement, signed April 14 at Emirates Biotech’s UAE headquarters, covers initial design and planning for the Falcon PLA Project, which will produce polylactic acid, a corn and sugarcane-derived alternative to petroleum-based plastics. The plant will be located in Abu Dhabi’s Khalifa Economic Zones and is expected to begin operations by early 2028.
Investment for the facility is estimated at $800 million across two construction phases, each with 80,000-ton annual capacity, according to earlier reports. Output will target markets in the Gulf region along with India, Turkey and Europe.
The facility addresses growing regulatory pressure for eco-friendly packaging alternatives as governments worldwide implement restrictions on conventional plastics. PLA offers advantages in biodegradability but faces challenges in cost competitiveness against established petroleum-based options.
Samsung E&A President Hong Namkoong indicated the project strengthens the company’s competitive position in sustainability projects, while Emirates Biotech CEO Marc Verbruggen described the partnership as “another significant step toward making our vision a reality.”
The project will incorporate technology from Sulzer, which Emirates Biotech previously selected as its technical partner. Samsung E&A will oversee integration of this specialized equipment into the production facility.
For Samsung E&A, the contract advances its strategic vision of becoming a key player in environmental technology through its E&Able initiatives focused on low-carbon, carbon-free and environmental solutions.
