A circular economy is an essential part of building a sustainable future as it addresses critical global challenges like resource depletion, waste generation, and environmental degradation.
By focusing on reducing waste, reusing materials, and recycling resources, Aluminium Loop minimises the environmental footprint while creating economic value. Every Aluminium Loop product created ensures that the equivalent amount of aluminium is recycled into the same form completely within the borders of Thailand.
This approach not only conserves the finite resources but also drives innovation, strengthens supply chains, and supports long-term economic growth. Adopting a circular economy is key to balancing economic development with environmental responsibility, ensuring a healthier planet for future generations.
Mr. Pavin Chayavivatkul is the founder of Aluminium Loop, an innovative initiative aimed at establishing a circular economy for the aluminum industry in Thailand. Driven by a commitment to promote sustainable resource use and add value to the recycling process, Mr. Pavin has developed unique methods and concepts to maximise the benefits of aluminum utilisation.
In his role as the Vice President of Corporate Strategy at Thai Beverage Can Ltd. (TBC), a Thai-American joint venture between Berli Jucker (Thailand) Public Company Limited, Standard Can Company Limited, and Ball Corporation, Mr. Pavin gained deep insights into the packaging business, including production processes, technologies, and industry-specific expertise. The experience he has accumulated in this role has served as a critical foundation for the formation of Aluminium Loop, enabling him to identify opportunities for enhancing the efficiency of recycling systems.
Through partnerships with key stakeholders like TBC and UACJ (Thailand) Company Limited, Aluminium Loop has created a collaborative ecosystem to scale recycling efforts. “Thailand is uniquely positioned for closed-loop recycling,” says Mr. Pavin. With only four countries in Asia equipped to implement such systems, Thailand stands out due to its class-leading infrastructure and private sector partnerships.
Collaboration is at the heart of Aluminium Loop’s mission. “Thailand’s infrastructure supports robust initiatives,” Mr. Pavin explains. “Recognising this potential, Aluminium Loop’s goal is to build, drive, and scale the world’s most sustainable recycling loop.”
Thailand’s Aluminium Recycling Ecosystem
Thailand’s comprehensive infrastructure supports Aluminium Loop’s ambitions:
1. Can Manufacturing: TBC operates the largest aluminium can manufacturing plant in ASEAN, producing 5 billion cans annually, with plans to surpass 7 billion within two years. Established nearly 30 years ago, TBC benefits from cutting-edge technology through its partnership with Ball Corporation.
2. Can Collection: A highly efficient collection system provides income for waste collectors, who earn approximately 0.8-1 baht per can. This network—grounded in Thailand’s low cost of living and extensive recycling culture—ensures high collection efficiency.
3. Used Can Recycling: Thailand has efficient recycling processes in place to support the Aluminium Loop. With seasoned recyclers such as Anglo Asia Trading Company Limited that leverage innovative processes to clean and melt the used cans into raw aluminium blocks.
4. Aluminium Rolling Manufacturing: Aluminium Rolling Manufacturers are critical for maintaining a sustainable loop by processing recycled aluminium.
“All processes can be completed within a 400 kilometer radius, which is one of the smallest in the world, and allows for less emissions from delivery and a more resilient supply chain” Mr. Pavin highlights. “Producing new aluminium cans from old ones is not only cost-effective but also promotes sustainability.”
Closed-Loop vs. Open-Loop Recycling
Closed-loop recycling retains aluminium’s unique properties while ensuring no degradation. Aluminium cans are recycled into new cans, creating an efficient and sustainable cycle. In contrast, open-loop recycling alters the material’s purpose, often producing less durable items such as car parts or furniture, breaking the sustainability cycle and requiring new raw material for future production of goods.
“Closed-loop recycling is the gold standard,” Mr. Pavin notes. “It is the perfect recipe that does not need adjusting.” Additionally, by recycling in a closed loop system the metal composition does not need to be adjusted as the raw materials already present the correct proportion of alloys. This bypasses an energy intensive step and reduces the cost of the end product.
Challenges and Future Goals
Despite its success, Aluminium Loop faces challenges in:
- Communication: Explaining the nuances of recycling systems in a way that combats greenwashing and fosters public understanding.
- Cost: Encouraging consumers to embrace sustainable aluminium packaging despite its higher costs compared to alternatives.
The main future initiative of Aluminium Loop is to scale the annual aluminium can collection from 750 million to five billion, which will represent all aluminium cans in Thailand joining the aluminium loop ecosystem.
Moreover, Mr. Pavin is committed to making aluminium cans even more sustainable within Thailand. In 2025 Aluminium Loop will launch Aluminium Solar which will represent aluminium cans and bottles that are created using solar energy. “This will create additional incentive for our partners to increase their use of solar energy” Mr. Pavin explains.
Beyond 2025, Mr. Pavin hopes to push aluminium beverage packaging toward net zero by launching net zero aluminium packaging.
Advocacy for Government Support
Mr. Pavin emphasises the need for government intervention to sustain these efforts. He advocates for increased research funding around recycling and sustainability, which will allow direct and unbiased comparison between different forms of packaging and recycling loops. He hopes that this will reduce the amount of greenwashing prevalent and push the private sector toward the ideation and creation of more sustainable products. Furthermore, Mr. Pavin believes that this will need to be supplemented by clear communication from the public sector and policies that support more sustainable forms of all goods.
About Mr. Pavin Chayavivatkul
Mr. Pavin holds a B.A. Honors in Economics from Stanford University, where he received the Stanford Award for Excellence in Honors Thesis Presentation. He later earned an MBA from Harvard Business School, becoming the first Thai person in history to receive the prestigious Baker Scholar designation, ranking in the top 5% of his class.
His professional journey includes roles at J.P. Morgan in Singapore and McKinsey and Company throughout Southeast Asia. Now, as the founder of Aluminium Loop and Vice President of Corporate Strategy at TBC, he has established the New Ventures team, driving sustainable investments throughout the region, and launched the Aluminium Loop recycling programme, a truly innovative breakthrough within the space.
Through his vision and dedication, Mr. Pavin exemplifies how strategic innovation, continuous improvement and collaboration can set new standards in every dimension.
For More Information About Aluminium Loop
Website: aluminiumloop.com
Facebook: Aluminium Loop
Instagram: @aluminiumloop
