BARCELONA (ICIS)--Europe’s new €800/tonne charge on waste plastic packaging will force chemical supply chains to take recycling more seriously and could drive product substitution.
- Charge agreed at EU summit last week could
lead to substitution away from some polymers
which are less easy to recycle, or to other
- It will accelerate adoption of recycling technology and infrastructure
- Challenges as recycled polymer sector not yet developed enough
- Polymer and carbon taxes will act as a “short, sharp shock” for chemical companies and supply chain
- Move to local, sustainable production will accelerate
- Oil prices propped up by China and India building reserves which are now full
- Hopes for a V-shaped recovery evaporating
- China may switch from being the world’s largest net importer of polypropylene (PP) to net exporter by 2022
- Global PP moving towards “perfect storm” of over-capacity amid structural changes to demand
- PP producers must focus on sustainability, affordability, local supply chains
Interview with Paul Hodges, chairman of International eChem; John Richardson, ICIS senior consultant Asia; Mark Victory, ICIS senior recycling editor, and Helen McGeough ICIS senior analyst, plastics recycling.
Interview by Will Beacham
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