14 November 2025

Europe’s plastics recycling industry is 'entering its sharpest decline'

Preliminary 2025 data reveal a 50% rise in recycling facility closures, reveals Plastics Recyclers Europe.

Multicoloured bales of plastic containers packed up for recycling
© studiocho/shutterstock

This would result in the loss of nearly 1Mt of European recycling capacity over just three years.

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 2023-24.  

The trade body says, '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.'

Priority actions put forward 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.

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