Multiple virgin plastics manufacturers recently purchased PET recycling operations, citing rising demand from brand owners looking to use recycled material.
Indorama, the largest PET producer worldwide, announced last month it will acquire a Custom Polymers PET recycling plant in Athens, Ala. The company identified brand owner demand as a key factor influencing its decision. In an interview with Plastics Recycling Update, sister publication to Resource Recycling, a company official said recycled plastic demand has ramped up in the past year and a half.
In mid-January, plastics producer DAK Americas announced it will buy a plastics recycling facility from Perpetual Recycling Solutions in Richmond, Ind. Similar to Indorama, the company explained that the move was simply to balance supply with growing demand.
Describing the factors behind increased demand for recycled plastic, the companies cited consumer interest, environmental initiatives from non-governmental organizations such as the Ellen MacArthur Foundation’s New Plastics Economy project, and a growing interest among financial institutions to invest in sustainability-related business models.
Photo credit: RecycleMan/Shutterstock