A High Stakes Plastics Makeover Takes Off

An eight billion euro push accelerates advanced recycling and fuels a race for early feedstock advantage across Europe

1 Dec 2025

Europe’s plastics industry is bracing for a sharp turn as an eight billion euro plan pushes chemical recycling from niche experiment to central pillar. The effort, driven by Plastics Europe and backed by both political and corporate support, signals a push toward circular supply chains and a future less tied to new plastic production.

Chemical recycling sits at the heart of the shift. Once used only for stubborn waste streams, it is now expected to deliver up to three million metric tons of recycled material by 2030. The goal is to tackle mixed and multilayer waste that mechanical recycling cannot manage and to create feedstock clean enough for food packaging and other demanding uses.

Companies across the sector see a race taking shape. A senior Plastics Europe official says the investment is meant to build the backbone the continent needs to stay competitive while meeting rising sustainability expectations. Firms like BASF and Eastman have expanded pilot plants, signed long range supply deals, and claimed early ground in a market that may tighten quickly as demand climbs.

Regulators are adding pressure. Europe is advancing new and proposed rules on recycled content in packaging, and manufacturers and global brands are being pushed by lawmakers and customers to show tangible progress on waste and emissions. Supporters of the plan say it offers the scale that smaller, scattered efforts never reached.

Cost remains the sticking point. Analysts note that chemical recycling still runs far more expensive than virgin plastic, and the road to matching traditional prices is uncertain. Critics also question the energy demands of current technologies. Supporters counter that innovation usually trims costs over time and that no single method can meet Europe’s climate and waste targets alone.

With 2030 drawing closer, the sector is preparing for disruption. If the investment unfolds as intended, it could reshape markets, spark new technologies, and alter the life cycle of plastics across the continent.