Lubrizol’s Sustainability Strategy: Innovating for the Next Century and Tackling Climate Change

SINGAPORE, August 25, 2024 – In a world where sustainability and climate change are at the forefront of global concerns, Lubrizol is leading the charge with a strategy that focuses on long-term innovation and environmental stewardship. In a recent interview with CarbonWire, Rebecca Liebert, President and Chief Executive Officer of The Lubrizol Corporation, a Berkshire Hathaway Company, detailed how the company is preparing for the next 100 years by driving sustainability across its operations and product lines.

Innovation for Sustainability

Liebert emphasized that Lubrizol’s approach to sustainability is rooted in its core philosophy: “inputs drive outputs.” This means that to achieve better performance and sustainability metrics, the company focuses on refining the processes and innovations that go into its products. “If you don’t change how you’re doing the work, how you’re driving those inputs, you’ll never change the performance,” Liebert stated. This forward-looking approach is essential in preparing the company for future challenges, particularly in a rapidly changing world.

Lubrizol has a long history of contributing to sustainability, particularly in the automotive industry. Liebert highlighted the company’s role in dramatically improving vehicle efficiency over the past century. “The first cars would only last about 3,000 miles, and they were not very efficient when it came to emissions,” she explained. Today, thanks to Lubrizol’s additive packages and lubricants, cars can travel 300,000 miles with significantly reduced emissions. This innovation not only extends the life of vehicles but also reduces the environmental impact of manufacturing new engines and consuming fossil fuels.

Local Solutions for Global Impact

Lubrizol’s commitment to sustainability extends beyond products to the entire life cycle of its offerings. The company is also dedicated to developing region-specific solutions. For instance, in China and Southeast Asia, Lubrizol formulates additive packages tailored to local market demands, ensuring that products are not just imported from the West but are designed to meet the unique needs of these regions.

Liebert also pointed to the company’s investments in sustainable infrastructure, such as its use of chlorinated polyvinyl chloride (CPVC) pipes in India to deliver clean water. “We’re the largest CPVC manufacturer in India, and we’re investing heavily to help bring clean, sustainable water into homes across the country,” she noted.

When asked how Lubrizol balances profitability with sustainability, Liebert was clear: the two are not mutually exclusive. “If it’s good for our customers, then it’s going to be good for our financial performance,” she said. Lubrizol’s approach is to listen to customer demands and deliver solutions that align with both environmental goals and business objectives. For example, the company’s biodegradable acrylic polymer, Carbopol Fusion, has seen strong market uptake because it meets the growing demand for eco-friendly products in the beauty and home care sectors.

Lubrizol’s sustainability strategy is deeply integrated into its corporate culture. The company encourages its employees to participate in sustainability initiatives through resource groups focused on environmental issues. Liebert shared that these groups organize activities ranging from tree planting in India to composting workshops in the United States, fostering a culture of environmental responsibility across the organization.

Challenges and the Road Ahead

Despite these successes, Liebert acknowledged that the journey toward sustainability is complex and requires careful planning. She expressed concern that setting overly ambitious goals without the necessary infrastructure could lead to setbacks, citing the example of electric vehicles in the United States. “We don’t have the infrastructure to support the rapid adoption of electric vehicles, and this has led to a decrease in demand,” she cautioned.

Looking ahead, Liebert emphasized the need for a clear and practical roadmap to achieve sustainability goals. “We need to make sure that we have a very good, clear, crisp roadmap on how we’re going to deliver,” she concluded.

As Lubrizol celebrates 40 years in Singapore and continues to expand its operations in high-growth regions like Southeast Asia, the company remains committed to driving sustainable innovation. By focusing on long-term strategies, local solutions, and a culture of environmental responsibility, Lubrizol is positioning itself as a leader in the global effort to tackle climate change and build a more sustainable future.