Surviving in the plastics market was challenging for many companies last year. Stability is not in sight. One growth opportunity may lie in taking a holistic approach – joining forces and becoming part of the driving power that will shape the future of the industry in the long term. We asked for an assessment of the perspectivs in five questions to Yvonne van der Laan, EVP Circular & Low Carbon Solutions at LyondellBasell:
How is the plastics industry doing at the moment?
The plastics industry is currently navigating a complex landscape of challenges and opportunities. We’re experiencing significant pressure from environmental regulations, changing consumer preferences, and the urgent need for more sustainable solutions. While the industry has faced headwinds from economic uncertainties, high energy prices and supply chain disruptions, there’s also a growing recognition that innovation and circular economy principles are critical to our future.
How does this affect the circular economy?
The current industry dynamics are actually accelerating our transition towards a more circular economy. Companies like LyondellBasell are increasingly focusing on developing advanced recycling technologies, creating new business models, like our integrated hub strategy in Cologne and in Houston that prioritize material recycling, and investing in infrastructure that supports closed-loop material streams. We’re moving beyond traditional linear models of production and disposal, towards a more integrated approach that sees plastic as a valuable resource to be continuously recycled and repurposed.
What are the resulting requirements?
The requirements emerging from these industry shifts are multifaceted. First, we need significant technological innovation in recycling processes. This means developing more efficient mechanical and chemical recycling technologies that can handle complex plastic streams. But also alternative recycling technologies, like solvent-based recycling. Second, we require robust collaboration across the value chain – from manufacturers to waste management companies, and including brand owners and consumers. Third, we need supportive policy frameworks that incentivize circular design, recycling investment, and sustainable material use.
What trends will the plastics market develop in the coming years?
I anticipate several key trends. We’ll see a continued push towards bio-based and recycled content in plastic production. Advanced recycling technologies will scale-up, becoming more sophisticated, allowing us to process plastics that is normally sent to incineration. There will be increased investment in chemical recycling technologies that can break down plastics into their molecular components for true material regeneration. Additionally, we’ll witness more robust tracking and certification systems to verify the sustainability credentials of plastic materials. The transition to a circular economy will also be deeply linked with the urgent need for low-carbon solutions.
What would you like to see for plastics recycling in the future?
My vision is a comprehensive, integrated recycling ecosystem. I want to see infrastructure that makes recycling as convenient and accessible as possible, with standardized collection and processing systems. We need continued investment in technologies that can handle mixed and contaminated plastic waste. Moreover, I’m looking forward to a future where recycling is not just an environmental imperative but an economically attractive proposition for all stakeholders. This means developing markets for recycled materials, creating economic incentives for recycling, and fostering a cultural shift where circularity is the default, not the exception.