04 December 2012 00:38 [Source: ICIS news]
HOUSTON (ICIS)--Post-consumer recycled plastic demand in the US is projected to increase by 6.5%/year to 3.5bn lb (1.6m tonnes) in 2016, a market research study said on Monday.
Mounting emphasis on sustainability among packaging and consumer product manufacturers, processing and sorting technology improvements and advances in collection infrastructure will drive the trend, according to US-based industry research firm Freedonia Group.
Additionally, federal, state and local government support of recycling will assist recycled plastic collection, with packaging projected to be the leading market for recycled plastics in 2016, while bottles will remain the main source of recycling material.
The overall rate of plastic recycling will continue at less than 7% of total plastic demand in 2016, amid several challenges such as the lack of collection capability or economical processing, the export sales of plastic scrap (mostly to China) and high levels of contamination. Only about half of the plastic collected for recycling will go to manufactured products in the US market, Freedonia said.
The two main resins targeted for recycled plastic products in 2011 were polyethylene terephthalate (PET) and high density polyethylene (HDPE), accounting for more than 70% of demand, Freedonia said.
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