One of the measures suggested by the European Commission is to bolster investment in chemical recycling — which involves heating plastics to high temperatures to recycle them — despite it being energy intensive and more polluting than mechanical techniques. But it could be useful for dealing with food packaging like yoghurt pots, Brussels believes.
That proposal would involve new rules on identifying recycled content in PET (polyethylene terephthalate) single-use plastic bottles that can be handled by chemical processes.
Asian competition
Another measure wants to cut red tape and harmonise rules across the 27-nation bloc so recycled plastics could more easily be traded.
The overall aim of the commission’s proposals is to “accelerate Europe’s transition to a circular economy”, in which recycled plastics are treated “as a valuable secondary raw material rather than waste, benefiting both the economy and the planet.”
The Commission describes the measures as an initial step toward broader legislation on the circular economy. The proposals include tougher checks on imports, to prevent the dumping of cheap plastics on the European market.
Indeed, citing high energy prices and mounting international competition, plastics manufacturers appealed for support in early October, warning they were “on the brink of collapse.”
In the long term, European production is declining while imports from Asia are ever increasing.
Globally, plastic production continues to grow at a sustained pace. However, more than half of plastics produced — 57 percent — come from Asia, with 35 percent coming from China. With such a supply of cheap plastic, Europe’s recycling sector is under severe challenge.
Asia also dominates the market for so-called “circular” plastics — those that are mechanically recycled, bio-based, chemically recycled, or produced using carbon capture. China accounts for 30.3% of global production, with the rest of Asia contributing a further 24.6%. Europe represents 19% of the total, according to Plastics Europe, which represents around 100 companies.
Stagnating capacities
The EU is facing increasing volumes of plastic wastea source of ever-growing pollution. EU data show that each European generated nearly 190 kg of packaging waste in 2021 — a figure projected to rise to 209 kg by 2030 without additional measures. In parallel, plastic recycling capacity in stagnating.
The sector had a recycling capacity of 13 million tons in 2023. But growth has been slowing even as plastic waste has been rising. In 2021, capacity grew at 17 percent, then in 2022 it slowed to 10 percent, and in 2023 it was six percent. By the end of 2025, the commission said, recycling capacity is “expected to turn into a net decrease of around one million tons”.
“This capacity reduction poses challenges not only from an environmental compliance perspective, but also for industrial competitiveness, economic growth and job retention,” the commission said.
Industry groups, however, expressed disappointment with the announced measures. “The responses provided so far are inadequate given the scale of the economic, industrial, and social challenges,” French environmental services group Veolia told AFP. A leading advocate for emergency support for the sector, the company said it was “imperative that the Commission fully grasp the seriousness of the situation and adopt measures that genuinely address these challenges.”
