At the Bureau of International Recycling's (BIR) 2026 spring convention in Gothenburg, Sweden, industry leaders called for recycled plastics to be recognized as a "strategic, sustainable raw material" that creates a more resilient economy, rather than a "temporary solution when virgin materials become expensive."
BIR Plastics Division President Henk Alssema of Netherlands-based Inviplast BV said during the organization's first joint meeting between its Plastics Division and Tires & Rubber Committee that if customers only buy recycled material when virgin prices are high, the industry faces a very dangerous situation. In recent months, the plastics recycling sector globally has experienced a turnaround, with increased demand and stronger order books following two years of low prices, abundant inexpensive virgin material, and plant closures. This change in fortunes is mainly due to the sharp increase in virgin resin prices related to the conflict in the Middle East, which has driven demand for recycled materials.
Now recycled plastics are increasingly seen as a valuable and strategic part of raw material supply chains. However, if buyers don't continue to use this material when markets eventually stabilize, they could lose this supply option, as seen with plant closures in recent years. "Our message is very simple today: use it or lose it," Alssema said. He continued: "If we want enough recycling capacity in the future, we need stable demand today. Recyclers need long-term commitments to justify investments in new equipment, innovation, quality systems and traceability."
BIR Tyres & Rubber Committee Chairman Max Craipeau of Hong Kong-based Greencore Resources said the market upturn for recycled rubber mirrors that of recycled plastics, and for the same reasons. Both sectors face similar issues and both benefit from positioning as a "strategic" material. Craipeau, who operates a PET recycling facility in Indonesia, noted that issues in the Strait of Hormuz have reduced typical oil inflows into the market by around 20%. This has benefited secondary materials, with recyclate prices increasing 15-20% and back in line with levels that made operations sustainable.