Investment to Boost Borouge's Plastic Mechanical Recycling Capacity

Borouge InternationalInvested in the mechanical recycling capacity of multiple plastic recycling facilities, aiming to increase their annual output by 14,000 metric tons and help customers meet recycled content requirements.

At its factory in Niedergebra, Germany (formerly mtm plastics GmbH), Borouge International converts post-consumer mixed polyolefin waste into recyclable materials for various rigid plastic applications. Once the additional capacity comes online in the first quarter of 2027, the latest investment will increase its annual recycling output by nearly 9,000 metric tons.

Meanwhile, its facility in Wildon, Austria (formerly Ecoplast), is expected to increase its annual recycled polyethylene production by 5,000 metric tons in the fourth quarter of 2027. This expansion is anticipated to support the growing demand for recycled materials, particularly in flexible packaging applications.

These investments are expected to help Borouge International provide customers with more reliable mechanically recycled polyolefins produced in Europe. In turn, the company aims to assist brands in meeting upcoming legal requirements, including those stipulated under the EU Packaging and Packaging Waste Regulation.

Increased output is also considered conducive to building a more competitive and resilient materials value chain, and to scaling up circular solutions globally.

Dirk Langhammer, Senior Vice President of Borouge International Circular Solutions, stated, “Circular materials are strategic resources in Europe and around the world, essential not only for meeting sustainability and regulatory requirements but also for enhancing industrial competitiveness, brand differentiation, and supply resilience.”

Our investment in the European recycling platform enables more customers to reliably access circular polyolefin solutions, ranging from premium Borcycle M grades to Recleo materials suitable for diverse applications.

Borouge International’s European mechanical recycling product portfolio is produced at its facility in Elin Pelin, Bulgaria. The site reportedly produces over 20,000 metric tons of “high-quality” post-consumer recycled polypropylene annually and is designed to complement capabilities for flexible polyethylene, rigid polypropylene, and mixed polyolefin streams.

In North America, it supplies polyethylene film grades from its Syndigo plant in Indiana, USA. Borouge International also collaborates with various recycled material suppliers across Asia.

Earlier this year, Borouge and Borealis partnered with the Catalytic Finance Foundation, Pelita Mekar Semesta, and Reciki Solusi Indonesia to establish Indonesia’s “first” fully integrated circular waste management ecosystem. The initiative aims to convert plastic waste into valuable recycled raw materials.

In other news, Indorama Ventures has established a strategic partnership with Suntory Holdings, Suntory PepsiCo Beverage, and Iwatani Corporation to commercially scale the recycling of PET bottles into new bottles in Thailand, aiming to enhance recycling efficiency and reduce environmental impact.