The European Commission has recently confirmed that it is developing a new legal framework to strengthen controls on plastic imports into the European Union, starting in early 2026, following a year marked by increasing shutdowns within Europe’s plastics recycling sector. These proposed measures aim to curb the influx of low-cost plastic materials that regulators and industry bodies argue are harming domestic recyclers, disrupting market conditions, and threatening the EU’s circular economy objectives.
The decision comes after a challenging year for Europe’s recycling industry. Plastics Recyclers Europe reports that 2025 saw more recycling capacity lost than any other year on record, with facilities in countries including the Netherlands, Germany, and parts of Southern Europe closing or reducing operations due to consistently high energy costs and tightening profit margins.
Facilities in Germany, the Netherlands, and parts of Southern Europe were either scaled back or shut down as operators struggled with shrinking margins and rising electricity prices. At the same time, imports of plastic materials labeled as recycled have continued to increase and are priced below the production costs of European plants.
Why is the New EU Recycled Plastic Import Rule Necessary?
One of the Commission’s major concerns is the growing strain on the recycled plastics sector. Virgin plastic, produced from fossil fuel feedstocks, is often cheaper than recycled plastic, especially when oil prices are low. European authorities note that increasing volumes of virgin material are entering the EU market, further weakening the competitiveness of recycled plastics.
This situation encourages the mislabeling of materials and leads to errors in recycling. It also misleads buyers seeking to meet recycled-content requirements. At the same time, the price gap continues to widen as energy-intensive recycling operations struggle with electricity costs that are generally higher in Europe.
The Commission plans to introduce legal changes at the beginning of 2026, focusing on documentation requirements for recycled plastic imports. Importers will be required to submit verified and detailed information covering the entire lifecycle of materials, from their origin to processing, before they enter the EU.
The second key proposal is the introduction of separate customs codes for recycled and virgin plastics. These codes will allow regulators to gain a clearer view of import flows and patterns, addressing inconsistencies and ensuring greater transparency and accountability in the handling of these materials.
23 January 2026
23 January 2026
23 January 2026
23 January 2026