3M said that fluorochemistries are valuable for many properties – such as durability, water repellency, heat resistance, and others. Some products, like semiconductors used in modern electronics, cannot be made without use of fluorochemistries.
3M also said that fluorochemistries, which include PFAS, are important materials that are used in everyday products. Fluorochemistries are safely used in many modern products for their important properties and can be safely manufactured. Some people have questions, however, about how they’re managed.
In particular, these chemicals have been criticised for their persistence, and have been included on a list of ‘forever chemicals’ by environmental organisation CHEMTrust.
3M said that its decision is based on careful consideration and a thorough evaluation of the evolving external landscape, including multiple factors such as accelerating regulatory trends focused on reducing or eliminating the presence of PFAS in the environment and changing stakeholder expectations.
3M chairman and chief executive officer Mike Roman said: "While PFAS can be safely made and used, we also see an opportunity to lead in a rapidly evolving external regulatory and business landscape to make the greatest impact for those we serve. This action is another example of how we are positioning 3M for continued sustainable growth by optimizing our portfolio, innovating for our customers, and delivering long-term value for our shareholders."
In detail, 3M will discontinue manufacturing all fluoropolymers, fluorinated fluids, and PFAS-based additive products by the end of 2025. 3M intends to fulfill current contractual obligations during the transition period. Also, 3M is working to discontinue use of PFAS across our product portfolio by the end of 2025: it reports that it has already reduced our use of PFAS over the past three years through ongoing research and development, and will continue to innovate new solutions for customers.
3M reports that its current annual net sales of manufactured PFAS are approximately $1.3 billion with estimated EBITDA margins of approximately 16%. Over the course of the exit from PFAS manufacturing, 3M expects to incur related total pre-tax charges of approximately $1.3 billion to $2.3 billion.
