Why chemical recycling is the key to closing the loop on plastic waste?

by | Jun 12, 2025 | Blogs

Global plastic production is expected to nearly double by 2040, while recycling rates remain low. Mechanical recycling, though important, can’t meet growing demand — especially for food-grade plastics that require high purity. Most packaging plastics, such as films and polyolefins, are too contaminated or complex to be processed mechanically and are therefore incinerated or landfilled, causing emissions and wasting resources.

Chemical recycling offers a solution. By breaking plastics down into their molecular components, it creates certified pyrolysis oil — a high-quality feedstock that can be used to make new plastic, including food-grade material. Unlike mechanical recycling, it works with mixed and low-value plastic waste.

The EU’s new Packaging Waste Regulation (PPWR) mandates that plastic packaging must contain 10% recycled content by 2030, including in food-contact materials. This target cannot be reached without chemical recycling.

At Resiclo, we’re building modular chemical recycling plants that are scalable, efficient, and ready to deploy near waste streams. Our model cuts CO₂ emissions by over 60% compared to incineration, and helps meet Europe’s regulatory targets. Chemical recycling is not just complementary — it’s essential to close the loop on plastics.

Sources

1. PPWR: Commission Regulation governs recycled plastic materials and articles intended to come into contact with food. This regulation explicitly includes chemical recycling technologies within its scope. Link

2. Example on life cycle impact analysis for recycling: Link

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