Consumers are demanding more recycled plastics, providing the business case for an...
Lab technician Esmeralda Licea moves bins of various types of plastics and synthetics that have been ground down and separated by type in a storage room at the Exxon advanced recycling facility, part of the Baytown Technology and Engineering Comples Friday, Sept. 23, 2022 in Baytown, TX.
The unit in Baytown is on the cutting edge of an emerging industry that is racing to create new ways to recycle plastic and keep pace with soaring consumer demand for sustainable packaging. Driving that demand is a new wave of pledges made by retail brands, which are promising their customers that more of their products will use recycled plastic instead of new plastic.
“Literally we get bales of plastic waste with a bicycle or lead-acid battery stuck in the middle of it,” he said. “So we’ve got to work through all of those issues, which means consumer education and sorting. It's creating a whole new value chain.” Like the push from consumers, regulations are also leading manufacturers to move more quickly. A California law approved in June requires all packaging in the state to be recyclable or compostable by 2032.
The chasm between demand for recycled plastics and supply is allowing Exxon and other plastic makers to charge a premium for recycled plastics, Andrew said, which will help companies such as Exxon invest in more units and rapidly expand supply.
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