Chemical recycling a multi-billion Euro business by 2030

The global plastic chemical recycling market is projected to be US$ 50 billion (EUR 47 billion) by the end of the decade, according to research institute Fairfield.

‘Chemical recycling holds the potential to revolutionise waste management and drive the circular economy forward,’ it says. Fairfield observes five key trends and opportunities shaping plastics chemical  recycling’s growth trajectory:

Fairfield observes five key trends and opportunities shaping plastics chemical recycling’s growth trajectory:

• Collaborations and partnerships: Companies across the value chain are forming strategic partnerships to advance chemical recycling technologies.
• Investment in infrastructure: New plants are being established, and existing facilities are being retrofitted with advanced technologies to handle diverse plastic waste streams.
• Circular Economy initiatives: Chemical recycling aligns perfectly with circular economy principles by converting plastic waste into valuable raw materials, reducing dependence on fossil fuels, and minimising environmental impact.
• Policy support and incentives: Governments are providing financial incentives, grants, and subsidies to promote chemical recycling technologies, accelerating market growth and encouraging private sector investment.
• Emergence of new markets: High-quality recycled polymers can be used in various industries, including packaging, automotive, textiles, and construction, creating diverse revenue streams.

Challenges

The authors also note there are also major challenges:

Economic viability: High operational costs and the need for significant capital investment can hinder the economic viability of chemical recycling.

Feedstock quality: The quality and consistency of plastic waste feedstock can vary, affecting the efficiency of chemical recycling processes.

Regulation hurdles: Industry stakeholders must work closely with regulators to streamline approval processes and establish clear guidelines.

Public perception and acceptance: Educating the public and stakeholders about the benefits and safety of chemical recycling is crucial for gaining widespread acceptance.

Road ahead

As technology continues to advance and stakeholder collaboration strengthens, the potential for chemical recycling to revolutionise the plastic industry and mitigate environmental impact becomes increasingly evident, notes Fairfield. ‘Continued investment in research and development is essential for overcoming current technological limitation. Advancements in catalyst development, process efficiency and scalability will drive the industry forward.’

Fairfield also points to the impact of global expansion: ‘As more countries recognise the benefits of chemical recycling, the market is expected to expand globally,’ it argues. ‘Developing regions with growing plastic waste problems will particularly benefit from adopting chemical recycling solutions.’

Another future trend spotted by the researchers is an integration of chemical recycling with existing waste management and recycling systems to enhance overall efficiency. ‘Collaboration between mechanical and chemical recycling facilities will optimise resource recovery and minimise waste.’

Fairfield expects metrics and standards to become crucial in the near future: ‘Establishing standardised metrics for measuring the environmental and economic benefits of chemical recycling will help stakeholders assess its impact accurately. Clear sustainability standards will also guide industry practices and policies.’