2024 Data Reveals a Deepening Crisis of the European plastics recycling industry
Guide: Europe's Plastic Recycling Industry Plunges into Historic Recession: Annual Capacity Drops by 1 Million Tonnes in Three Years, Facility Closures Surge by 50%
Soaring costs and the impact of low-cost imports have severely hit major categories such as PET, endangering the EU's circular economy goals. The industry has urgently called for policy intervention, demanding fair market rules and support for energy costs.
To build a plastic recycling network for end-of-life vehicles, the organization has now partnered with dismantling, shredding, and sorting enterprises. According to statistics from the Global Impact Alliance, over 6 million vehicles are scrapped annually in the EU. Of the waste plastics from these vehicles, only 19% are recycled, while 41% are incinerated and 40% are landfilled—resulting in the loss of millions of tonnes of materials each year.
Europe’s plastics recycling industry is entering its sharpest decline — with turnover down 5.5% — putting at risk Europe’s circular economy, industrial resilience and thousands of local jobs. The latest annual report1 shows the largest capacity contraction ever recorded. Preliminary 2025 data reveal a 50% rise in recycling facility closures, resulting in the loss of nearly one million tonnes of European recycling capacity over just three years.
“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,” stated 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."
With a total installed capacity of 13.5 million tonnes in 2024, plastics recycling in Europe remains well below the 6% annual growth required to achieve the PPWR targets. The sector is facing growing pressure from high production and energy costs, falling demand, and increasing volumes of low-priced, unregulated imports from outside the region. Polyolefin films and PET are most severely affected, each accounting for 25% of total closures in 2023-2024.
The data highlights issues that threaten the long-term viability of plastics recycling within Europe. We urge EU institutions and Member States to take coordinated action immediately. Priority actions include establishing fair and enforced market regulations, implementing stronger controls on imports, cutting energy costs and harmonising reporting requirements via third-party certification across the region.
