Foreign Media Predict: Europe's Plastic Recycling Industry on the Brink of Collapse, Urgent Action Needed

On August 29, Zhuansu Shijie cited foreign media reports revealing that the European plastic recycling industry is currently on the brink of collapse. Behind this situation are the surge in low-priced imported recycled plastics, the decline in demand for recycled plastics within the EU, increasing economic pressures, and cumbersome administrative procedures. These factors combined are forcing more and more EU recycling companies to shut down, resulting in a significant reduction in production and recycling capacity. This downward trend is severely threatening the survival of this strategic industry.

It is predicted that by the end of 2025, the region will have lost nearly one million tons of recycling capacity in recycling facilities since 2023. The loss of recycling capacity from January to July 2025 alone is almost equivalent to the entire year of 2024 and is three times that of 2023. Zero net growth is expected in 2025, marking a significant setback in the momentum towards transitioning to a circular economy. The Netherlands, Germany, and the United Kingdom are most affected by this downward trend.

These data fully demonstrate the devastating impact of the economic recession on the European plastics recycling industry. To revive the demand for recycled plastics in the EU and prevent more business closures, policymakers must urgently implement trade and market defense mechanisms, ensure the consistency of Extended Producer Responsibility (EPR) rules, strictly enforce third-party certification, and impose uniform penalties on non-compliant materials.

At the same time, measures should be taken to alleviate the economic pressure on recycling enterprises, such as providing affordable clean energy and simplifying the application and renewal processes for permits to reduce administrative burdens. Strengthening customs controls and offering targeted investment incentives are also crucial for restoring the competitiveness of the industry.

Now is the critical moment to take action. The collapse of the European plastic recycling industry would cause irreversible damage to the progress made in environmental protection and innovation over the past decade, jeopardizing the achievement of the EU's climate goals and its long-term competitiveness.