Recycled materials face scepticism, says report

Higher costs, quality concerns and legal restrictions continue to limit the use of recycled plastics across many industries, according to a sustainability trend report drawn up by Germany’s plastics industry research centre SKZ.

While some sectors such as automotive are benefitting from new regulatory incentives, others, including medical applications, remain restricted, according to the authors.

Companies are struggling to keep up with the growing web of ever-growing regulation, including the upcoming EU Directive on Corporate Sustainability Reporting (CSRD), and rules to cut microplastic emissions from plastic granules.

The trend analysis identifies regulation, technology, work design and employee structure as the four key areas of action for the broad plastics recycling industry. Automation and digitalisation – especially in recycled materials production – stand out as the most important technological drivers.

Strong commitment to change

Despite the challenges, the report concludes that transformation is underway. A survey revealed that more than 80% companies have embedded sustainability into their corporate strategies and are actively engaging in the circular economy.