By: ICN Bureau
Last updated : November 16, 2025 6:48 pm
The industry remains far below the 6 per cent annual growth rate required to meet the Plastics Packaging Waste Regulation (PPWR) targets
Europe’s plastics recycling industry is facing its most severe decline yet, with turnover falling by 5.5 per cent and the latest annual data revealing the largest capacity contraction ever recorded. Preliminary figures for 2025 indicate a further deterioration, including a 50 per cent increase in recycling facility closures and the loss of nearly one million tonnes of recycling capacity over the past three years. This downward trend threatens Europe’s circular economy ambitions, industrial resilience and thousands of local jobs.
“Now is the time to stand united for the sector — not only to protect jobs and businesses at risk, but to safeguard Europe’s environmental and technological progress, ensuring a sustainable future for all,” said Ton Emans, President of Plastics Recyclers Europe. “We call on the EU institutions and national policymakers to act decisively and implement supportive measures to preserve the sector and Europe’s circular economy.”
Despite a total installed capacity of 13.5 million tonnes in 2024, the industry remains far below the 6 per cent annual growth rate required to meet the Plastics Packaging Waste Regulation (PPWR) targets. Rising production and energy costs, decreasing demand and a surge in low-priced, unregulated imports continue to exert significant pressure on recyclers across the region. Polyolefin films and PET have been hardest hit, together representing half of all closures recorded in 2023–2024.
The latest data underlines the urgent need for coordinated action to safeguard the long-term viability of plastics recycling in Europe.
Plastics Recyclers Europe urges EU institutions and Member States to establish fair and enforceable market rules, strengthen controls on imports, reduce energy costs and harmonise reporting requirements through region-wide third-party certification. Now more than ever, a stable and competitive market framework is essential to secure Europe’s transition toward a truly circular plastics economy.