The European Packaging and Packaging Waste Regulation (PPWR) stipulates mandatory recycled content targets for food packaging and contact-sensitive applications from 2030. Chemical recycling could play an important role in this. A recent report by the European Union's Joint Research Centre (JRC) sheds light on the economic aspects of this technology and its potential significance for complying with European recycling targets.
The EU is pursuing ambitious targets to reduce plastic waste and promote a circular economy. The Single-Use Plastics Directive (SUPD) and the Packaging and Packaging Waste Regulation (PPWR) set clear requirements for the recycled content of plastic packaging. For instance, by 2030, PET beverage bottles must consist of at least 30 per cent recycled material, while other plastic packaging is expected to achieve a recycled content of 10 per cent. Chemical recycling could play a crucial role here in providing the necessary quantities of recycled material.
The JRC report investigates various chemical recycling technologies, particularly solvolysis and pyrolysis, which are currently regarded as the most significant processes. These technologies enable the breakdown of plastic waste into its chemical building blocks, which can then be used to manufacture new plastics. However, the report shows that the costs for chemically recycled polymers are currently significantly higher than for virgin material. For example, the costs for pyrolysis-derived naphtha are 1.5 to 3.5 times higher than for virgin naphtha.
High costs
The high costs are one of the biggest challenges for chemical recycling. The report points out that physico-chemical limitations and relatively low material recovery rates contribute to the higher costs. Even though incremental innovations and efficiency gains are expected, these are not anticipated to significantly reduce costs in the near future. Nevertheless, chemical recycling offers a way to produce high-quality plastics suitable for food contact – a segment that cannot be covered by mechanical recycling alone.
Statement from Chemical Recycling Europe
Chemical Recycling Europe (CRE), the European association of the chemical recycling industry, welcomes the JRC report and emphasises that chemical recycling plays a complementary role to mechanical recycling. According to CRE, chemical recycling can process waste streams that are unsuitable for mechanical processes. CRE views the higher costs as a temporary challenge of a still young industry and calls for political support to improve the economic framework conditions.
Political measures required
To fully exploit the potential of chemical recycling, CRE is calling for the finalisation of mass balance rules and measures to boost demand for recycled content. Clear enforcement of recycling targets is also necessary to justify investments in chemical recycling capacities. These measures could help to expand the capacities required to achieve EU recycling targets.
Sources: European Commission / Chemical Recycling Europe





