The European Union is preparing to tighten controls on plastic imports from early 2026, as a wave of plant closures and financial pressure across the bloc’s recycling industry threatens its circular economy targets.
According to an online portal, the European Commission said it will propose stricter documentation, new customs codes and increased oversight of imported plastics after Europe lost more recycling capacity in 2025 than in any previous year on record.
Political pressure for intervention has been mounting. Six EU member states, including France, Spain and the Netherlands, formally urged the Commission to act against imports of low-quality recycled plastics, arguing that heavily discounted material is destabilizing markets and accelerating the loss of domestic recycling capacity.
According to industry group Plastics Recyclers Europe, facilities across the Netherlands, Germany and parts of Southern Europe have shut down or scaled back operations as recyclers struggle with persistently high electricity prices, shrinking margins and competition from low-cost imports.
The Commission says a central challenge is the growing volume of virgin plastic entering the EU market while being declared as recycled material. Virgin plastic, produced directly from fossil fuel feedstocks, is often cheaper than recycled plastic, particularly when oil prices are low, giving imported material a cost advantage over EU-produced recycled plastics.
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