CleanCore Solutions, Inc. (ZONE) Applauds EPA’s Recent Ban of Two Cancer-Causing Chemicals

Rhea-AI Summary

CleanCore Solutions (NYSE: ZONE) commends the EPA's recent ban on two carcinogenic chemicals: trichloroethylene (TCE) and perchloroethylene (PCE). The EPA has completely banned TCE, commonly found in degreasing agents and furniture care products, while PCE, used in dry cleaning and auto repair, will be prohibited for consumer applications and most commercial uses.

As companies must now adopt safer alternatives, CleanCore positions its water-based cleaning technology as a compliant solution. The company's aqueous ozone technology offers a chemical-free alternative that prioritizes health and safety while maintaining operational efficiency.

Positive

• EPA ban on carcinogenic chemicals creates market opportunity for ZONE's chemical-free cleaning solutions
• Company's water-based technology already compliant with new EPA regulations
• Potential increase in customer base as companies seek alternatives to banned chemicals

Negative

• None.

Insights

Environmental Compliance Analyst

The EPA's ban on TCE and PCE represents a significant regulatory shift that could reshape the $61 billion industrial cleaning market. This development creates substantial opportunities for companies offering chemical-free alternatives like CleanCore Solutions. The timing is particularly advantageous as businesses will be forced to seek EPA-compliant solutions, potentially accelerating adoption of aqueous ozone technology. The ban's comprehensive scope, covering both consumer and commercial applications, positions ZONE to potentially capture market share from traditional chemical manufacturers. However, market penetration will depend on the company's ability to demonstrate cost-effectiveness and performance equivalency to the banned substances.

Market Research Analyst

This regulatory change could be a major catalyst for ZONE's growth trajectory. The dry cleaning industry alone, valued at $7.1 billion in the US, represents a significant addressable market as businesses must transition away from perchloroethylene. The auto repair and industrial degreasing sectors add further potential. With a market cap of just $11.4 million, ZONE appears notably undervalued relative to the market opportunity. The company's established technology and EPA compliance position it as a prime beneficiary of this regulatory shift, though success will hinge on execution and market penetration strategy.

Omaha, NE, Dec. 18, 2024 (GLOBE NEWSWIRE) -- CleanCore Solutions, Inc. (NYSE American: ZONE) (“CleanCore” or the “Company”), developer of patented technology that works as a safe and low-cost replacement for traditional cleaning chemicals, commends the Environmental Protection Agency (EPA) for its decisive action to ban two known carcinogens used in a variety of consumer products and industrial settings. The ban targets trichloroethylene (TCE) and perchloroethylene (PCE, or perc), substances that have posed significant risks to public health for decades. These measures mark a substantial step forward in reducing exposure to dangerous chemicals linked to cancer and other severe health conditions.

Trichloroethylene, a chemical found in degreasing agents, furniture care products, and automotive repair supplies, has been completely banned by the EPA. Perchloroethylene, a solvent extensively used in dry cleaning and auto repair, will see all consumer applications and most commercial uses prohibited under the new rules.

Companies relying on these chemicals must now adopt safer, chemical-free alternatives to maintain compliance with the EPA's stringent regulations. CleanCore Solutions offers a proven path forward with its innovative, water-based cleaning technology that delivers exceptional performance without harmful chemicals. By eliminating toxic substances, CleanCore's products not only comply with regulatory requirements but also prioritize the health and safety of workers, consumers, and the environment.

“We are very pleased with the EPA’s acknowledgment of the dangers of these chemicals and taking inevitable action to ban them,” said Clayton Adams, CEO of CleanCore Solutions. “At CleanCore Solutions, we have long recognized the risks associated with these chemicals and developed aqueous ozone technology as a safe alternative. This technology eliminates the need for hazardous substances, providing a solution that reduces health risks and supports operational cost efficiency. We look forward to supporting companies as they reevaluate their cleaning and maintenance practices as a result of these bans with the potential of adopting our technology as part of their transition to safer solutions.”

About CleanCore Solutions
CleanCore Solutions, Inc. (NYSE American: ZONE) is dedicated to revolutionizing cleaning and disinfection practices by harnessing the power of its patented aqueous ozone technology. The Company’s mission is to empower its customers with cost-effective, sustainable solutions that surpass traditional cleaning methods. Through innovation and commitment to excellence, CleanCore strives to create a healthier, greener future for generations to come. For more information, please visit https://www.cleancoresol.com/.

Forward Looking Statements
This press release contains information about our views of future expectations, plans, and prospects with respect to CleanCore’s business, financial condition, and results of operations that constitute or may constitute forward-looking statements. Any and all forward-looking statements are based on the management’s beliefs, assumptions, and expectations of CleanCore’s future economic performance, taking into account the information currently available to it. These statements are not statements of historical fact. Although CleanCore believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. CleanCore does not undertake any duty to update any statements contained herein (including any forward-looking statements), except as required by law. Forward-looking statements are subject to a number of factors, risks, and uncertainties, some of which are not currently known to us, that may cause CleanCore’s actual results, performance or financial condition to be materially different from the expectations of future results, performance or financial position. Actual results may differ materially from the expectations discussed in forward-looking statements. Factors that could cause actual results to differ materially from expectations include general industry considerations, regulatory changes, changes in local or national economic conditions and other risks set forth in “Risk Factors” included in our filings with the SEC.

Investor Relations:
Crescendo Communications, LLC
Email: zone@crescendo-ir.com
Tel: (212) 671-1020

FAQ

What chemicals did the EPA ban that affect CleanCore Solutions (ZONE)?

The EPA banned trichloroethylene (TCE) and perchloroethylene (PCE), two carcinogenic chemicals used in cleaning and industrial applications.

How does CleanCore Solutions (ZONE) benefit from the EPA's chemical ban?

ZONE benefits as companies must now seek safer alternatives, positioning their water-based cleaning technology as a compliant solution to replace the banned chemicals.

What is CleanCore Solutions' (ZONE) alternative to the banned chemicals?

ZONE offers aqueous ozone technology as a water-based, chemical-free alternative that meets EPA regulations while maintaining cleaning effectiveness.

How does the December 2024 EPA ban impact ZONE's market position?

The ban strengthens ZONE's market position by creating new opportunities for their compliant cleaning solutions as companies must transition away from banned chemicals.