Santander México’s MX$96 million investment to transition from PVC to 100% recycled PETG debit cards establishes a new ESG benchmark for the Mexican financial services sector. This move looks to mitigate toxic emissions associated with traditional plastic disposal and aligns institutional operations with United Nations Sustainable Development Goals regarding circularity.
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Santander México announced that all newly issued debit cards will be free of Polyvinyl Chloride (PVC), transitioning to sustainable materials to reduce the institution’s reliance on conventional plastics. The initiative marks a shift toward recycled alternatives and establishes a new environmental standard for the Mexican banking sector.
The new cards are manufactured using 100% recycled PETG, a chlorine-free material developed in collaboration with the technology firm Thales. While approximately nine out of 10 payment cards globally are produced using PVC, that material is difficult to recycle and can release toxic substances, including heavy metals and hydrochloric acid, during production and disposal.
“Replacing [PVC] with recycled and chlorine-free materials, such as PETG, allows for a significant reduction in waste generation and pollutant emissions associated with its life cycle,” the bank stated.
Santander México is investing approximately MX$96 million (US$5.49 million) in the initial phase of the project, which aims to produce 500,000 debit cards. The bank intends to expand this PVC-free manufacturing standard to other financial products in its portfolio during later stages of the rollout to foster a circular operation.
The institution currently utilizes recycled PVC in 85% of its total card inventory and has achieved 100% recycled content in specific credit and debit products. By moving toward 100% PVC-free materials, the bank aims to align its operations with the United Nations (UN) Sustainable Development Goals, specifically those regarding responsible production and consumption.
Bank officials indicated that the transition is part of a broader strategy to integrate Environmental, Social, and Governance (ESG) criteria into the institution’s product life cycles. By adopting PETG, the bank aims to mitigate health risks associated with plastic incineration and reduce the long-term environmental footprint of its physical payment instruments.
Santander México Scales ESG Strategy Through Sustainability Financing
Beyond the transition to sustainable hardware, Santander México has spent the last year integrating environmental criteria into its core lending portfolio. This strategy has focused on three high-impact sectors: electric mobility, renewable energy for small and medium-sized enterprises (SMEs), and sustainable tourism.
In the automotive sector, the bank has prioritized the adoption of electrified vehicles (EVs) through strategic partnerships. In Sept. 2025, Santander reported financing more than 2,700 Tesla vehicles since 2020, representing a total capital deployment of nearly MX$1.82 billion (US$103.91 million). This expansion coincided with Santander becoming the first bank in Mexico to join the Electro Mobility Association (EMA), which aims to achieve 100% electric vehicle sales in the country by 2035.
Alejandro Vázquez Ochoa, Executive Director of Automotive Finance, Santander México, stated that the partnership reflects a shift in how banking facilitates the transition toward a low-carbon economy.
This momentum continued in Dec. 2025, when the bank’s alliance with Volvo Car Financial Services completed its first year. The collaboration resulted in a 31% year-over-year increase in financed units and a 30% financial penetration rate for Volvo’s total sales in Mexico. For 2026, the institutions have established a target penetration rate of 35% to 45%.
To further support renewable energy, Santander launched a strategic alliance with the solar solutions firm Solfium in Nov. 2025. This initiative provides SMEs with access to credit products featuring preferential interest rates and the elimination of opening fees for the installation of photovoltaic systems. To support accountability, the partnership includes a corporate digital dashboard that tracks energy generation, cost savings, and carbon emission reductions in real time.
Javier Perochena, Head of Sustainable Finance, Santander México, noted that the objective is to provide tangible solutions that help corporate clients remain competitive while meeting net-zero targets.
The bank’s financing reach also extended into the hospitality industry. In Aug. 2025, Santander issued its first bilateral green loan for a hotel certified under EarthCheck Gold, the international benchmark for sustainable tourism. The loan was granted to El Dorado Royale, a resort in the Riviera Maya operated by Grupo Lomas, to support its “Evolución Responsable” program.
The capital is earmarked for infrastructure upgrades, environmental governance training, and the expansion of sustainability initiatives within the resort. Perochena emphasized that this transaction demonstrates the financial viability of socio-environmental projects, framing sustainability as a sound financial strategy rather than solely an environmental obligation.