In January, waste plastics recyclers in German were still contending with market tensions. Although some operators reported that demand was slightly higher than expected, they stressed this uptick did not represent a lasting trend turnaround. In most cases, the orders were coming from customers who needed to restock after taking long downtimes in December and January. Players said any improvement they were seeing in January was in the very early stages and should not be given undue weight. Overall, recyclers are still struggling with difficult market conditions, as demand remains subdued and the low prices make doing business difficult.
Frequently, recyclers say their aim is to "survive 2025", a clear sign of the uncertainty in the sector. Calls for government measures to support the industry are growing louder, as several recycling companies in Europe have had to file for insolvency and more companies are expected to go under. The industry’s troubles are mainly due to the fact that primary plastics remain cheaper than recyclate.
The challenges facing waste plastics recyclers are closely related to the general economic malaise. The construction industry – a key buyer of plastic products – continues to struggle. The German building sector is expecting real revenues in the residential construction segment to decline by 5 per cent in 2025, with only 150,000 to 200,000 residential units being completed. Moreover, public construction projects are expected to stagnate at the 2024 level and a drop is looming in 2026.
Read the full Waste Plastics Market Report for Germany here:...
