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The decline in the European plastic recycling market has become alarming. The decrease in demand for recycled materials produced in Europe, the decrease in domestic recycling investments and the increase in imports of recycled materials from outside the EU have put the European plastic recycling industry in trouble for the last few years. These problems fuel market stagnation. While many recycling companies will go bankrupt in 2023, closures are expected to continue or are planned for 2024. This decline will continue unless the situation is addressed urgently.
At the beginning of this year, the plastic recycling industry warned of difficult market conditions, stating that there was no temporary hope for recovery. Ten months later, the main issue to be addressed remains the alarming increase in polymer imports from outside the EU, where claims of recycled content are questionable but there are no effective verification and traceability measures.
This situation is hindering investment and progress to improve recycling processes,” said Ton Emans, President of Plastics Recyclers Europe. “Many recyclers are struggling to survive in a market full of uncontrolled imports that do not comply with EU requirements.” he said.
In response to this situation, it will be important to restrict market access to imports that do not meet the EU's environmental requirements. Creating a level playing field, as recommended in the EU Competitiveness report by Mario Draghi, is critical to ensuring that the green transformation is sustainable and preserving the long-term competitiveness of EU industry. The measures and targets introduced in key pieces of EU legislation must now be implemented urgently and effectively. However, given the stagnation of the sector's growth, achieving these targets is currently unrealistic, as capacity will need to at least double by 2030.
Plastics Recyclers Europe calls on the European Institutions to act now and create a truly circular single market for plastic waste and recycling. The newly elected EU Institutions have the opportunity to achieve a positive turning point, but urgent measures are needed to solve the main problems that threaten the existing plastic separation and recycling infrastructure. If these measures are not taken, the future of European plastic recycling looks uncertain – which is unacceptable for the EU's competitiveness and a sustainable future for Europe.
Source: Plastics Recyclers Europe
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