Eastman Reinstated On Previous DoE Award Supporting Domestic Recycled-Plastics Supply Chain; Contract Worth $375M Minus ~$35M Received Under Previous Agreement

The award provides an opportunity for Eastman and DOE to advance an updated investment plan that expands proven, U.S.-developed methanolysis technology, restores underutilized American recycling assets and increases domestic capacity to transform difficult-to-recycle polyester waste into virgin-quality recycled materials.

The reinstated award is $375 million, less approximately $35 million Eastman has received related to investment in design and engineering under the previous agreement. Investments will advance in a disciplined, milestone-based manner aligned with customer contracts and supportive policy. The project scope has been adapted with key investment benefits, including:

Expanding proven U.S. advanced manufacturing technology by increasing output from Eastman’s commercial-scale methanolysis facility in Kingsport, Tennessee, by approximately 30% through debottlenecking and technology advancements
Reindustrializing existing American recycling assets and strengthening the critical recycled PET supply chain by restarting and repurposing underutilized U.S. recycling infrastructure
Creating a disciplined pathway for our second U.S. methanolysis facility, including flexibility in the location and timing of a potential second U.S. methanolysis facility
The reinstated award will support an integrated U.S. manufacturing strategy spanning waste processing, advanced recycling, and production of virgin-quality recycled materials. The updated scope includes the debottlenecking of Eastman’s Kingsport methanolysis facility, the restart and repurposing of underutilized U.S. recycling assets, and milestone-based planning for a potential second U.S. methanolysis facility. Together, these investments are intended to strengthen domestic infrastructure for collecting and processing difficult-to-recycle polyester waste and converting it into valuable raw materials for American manufacturing.