Through more than 20 years of progress and innovation, Chevron Phillips Chemical (CPChem) has operated as a premier chemical company. Our dedication to safety and advancing CPChem’s social, environmental and financial performance remain key contributors to our success, made possible by the people, customers and communities to which we are connected.
I stepped into the role of CEO in early 2021 after serving as both a CPChem Board member and President of Chevron Chemicals. I have always been impressed by the dedication and skill of this company’s workforce. Those qualities keep CPChem well-positioned to meet the increased demand for our products from the world’s growing middle class and address significant societal issues like plastic waste and a changing climate.
In 2020, the company reached its 20th anniversary during a turbulent year of unprecedented challenges. A worldwide pandemic, unstable global economy and social unrest forced us to focus even more intently on our vision, mission and values, and honed this focus on cultivating a more equitable and sustainable future. Additionally, we continued to advance our corporate sustainability strategy, which guides actions designed to mitigate climate change, drives enhancements in the circularity and footprint of our products, and promotes proactive engagement and communication on issues facing our industry and society.
Within this report, we communicate our progress in areas important to our stakeholders and address how we are empowering people, protecting our planet and transforming our performance.
People are the core of our business and the focal point of our corporate strategy. Throughout 2020, CPChem maintained its commitment to the safety and empowerment of people, just as we have done for more than two decades. I am particularly proud of the support CPChem offers local communities, including relief efforts we undertook in 2020 to address food insecurity during the COVID-19 pandemic and support offered to those recovering from Hurricane Laura. A spotlight on racism and social injustice in 2020 served as a catalyst for change, presenting opportunities to evaluate our business practices, encourage a dialogue on racial inequity, and develop resources that build awareness and empathy across CPChem and in our communities.
At CPChem, we care deeply about the environment and the impacts generated from our operations and products. We have arrived at a decisive moment unlike any other in the company’s 20-year history.
Climate change is one of society’s most pressing concerns, presenting unique risks and opportunities to the chemical industry. CPChem products can help achieve global carbon reductions, and we are energetically pursuing innovative approaches to a lower-carbon economy. We are purposeful in our work to responsibly use natural resources, lower the carbon footprint of our facilities and minimize impacts to the local environment.
I am encouraged by the recent formation of our executive-led governance model, working to optimize our operations and design new technological solutions to climate-related issues and enhance the sustainability and circularity of our products.
In 2020, CPChem’s economic performance endured a struggling economy, but I believe our efforts to help communities mitigate financial, food and medical needs presented by the pandemic truly represent how we embody our tagline: Performance by design. Caring by choice.™
To maintain CPChem’s reputation as a premier chemical company and grow sustainably, we must continue to innovate and transform our performance. Launching a new circular polymer product line, Marlex® Anew™ Circular Polyethylene, is a great example of how this transformation has already begun. Leveraging lower carbon feedstocks and enhancing the circularity of our existing portfolio while simultaneously designing new circular products will forge our path ahead. Through new digital tools that boost the quality and speed of our work and continuous improvements generated from the creativity and experience of our employees, we are transforming how we do business, one day at a time. CPChem’s workforce is eager to rethink how we operate and embrace mindsets needed to become more sustainable and ultimately more competitive.
I hope you enjoy our 2020 sustainability report, Progress Through Transformation, and that you continue to follow the company’s evolution through sustainable innovation.
Chief Executive Officer