Recycled Plastics Market Analysis: Reducing Carbon Impact

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Recycled Plastics Market Practical Guide to
Reduce Carbon Impact As global environmental
concerns continue to rise, businesses are
increasingly focused on reducing their carbon
footprint and embracing sustainability. A key
part of this shift is the growing adoption of
recycled plastics in packaging solutions.
According to Inkwood Research, the global
recycled plastics market is anticipated to
progress with a CAGR of 8.15 during the forecast
period 2024-2032. By integrating recycled plastic
materials into their supply chains, manufacturers
can not only contribute to a circular economy but
also significantly cut down on greenhouse gas
emissions. In this practical guide, well explore
how manufacturers can incorporate recycled
plastics into their packaging solutions to
achieve both environmental and economic benefits.
Additionally, we will also examine the types of
recycled plastics available, how to balance
functionality with sustainability, and the tools
available for tracking the impact on carbon
reduction. Request a FREE sample of the Recycled
Plastics Market
So, read on for some of the most detailed
insights into recycled plastics and how
manufacturers across industries can reduce their
carbon footprint Recycled Plastics Market Key
Benefits in Reducing Emissions Recycled plastics
offer a multitude of advantages for manufacturers
looking to minimize their carbon emissions. The
production process of recycled plastics, compared
to virgin plastics, typically requires less
energy, resulting in lower carbon
emissions. According to the Ellen MacArthur
Foundation, an international charity that
promotes the circular economy to address
challenges such as climate change, pollution, and
waste, using one metric ton of recycled plastic
can save between 1.5 to 3 metric tons of CO2
emissions.
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• This stark difference makes recycled plastics an
  ideal choice for businesses aiming to decrease
  their environmental impact.
• Several companies have made substantial progress
  in this regard. For example, Unilever, a leading
  European consumer goods company, aims to reduce
  its use of virgin plastic
• by 50 by 2025. To achieve this, the company
  plans to increase its use of recycled plastic and
  cut its overall plastic packaging by 100,000 tons
  per year. By embracing recycled
• plastics, the company expects to significantly
  reduce its overall carbon footprint while also
  contributing to its broader sustainability goals.
• Stay up-to-date with whats trending in the
  Global Recycled Plastics Market
• Top 3 Types of Recycled Plastics Used in
  Packaging
• Manufacturers have several types of recycled
  plastics to choose from, each offering unique
  properties suitable for different packaging
  needs. The most common types include
• 1. Post-Consumer Recycled Plastics (PCR)
  Derived from used products like water bottles,
  PCR plastics are collected, cleaned, and
  reprocessed. Companies such
• as Coca-Cola have heavily invested in PCR for
  their bottles, aiming to
• use 50 recycled material across all packaging by
  2030. PCR plastics are ideal for creating a
  circular lifecycle where products are
  continuously repurposed.
• According to Inkwood Research, post-consumer
  recycled plastics (PCR) is expected to be the
  largest revenue-generating type in the global
  recycled plastics market, with an expected share
  of 67.31 by 2032.
• Post-Industrial Recycled Plastics (PIR) This
  type comes from the reprocessing of manufacturing
  scrap and excess material. Its typically used in
  industrial packaging solutions where high
  durability is required. Dow, for example, has
  leveraged PIR in its supply chain to create
  robust packaging that is both functional and
  sustainable.
• Biodegradable Recycled Plastics Combining the
  benefits of recycled material with the ability to
  decompose naturally, these plastics are making
  waves in industries where eco-friendly disposal
  is a priority. For instance, Danimer Scientific
  produces biodegradable polymers that are
  increasingly being used by companies to reduce
  long-term waste. The companys Nodax and PLA
  biopolymers are designed to meet the
  biodegradability standards set by ASTM and EN.
  Its PHA is FDA-approved for food contact and can
  fully biodegrade in soil, water, or compost
  environmentsboth industrial and homewithin
  three months under aerobic or anaerobic
  conditions.
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• Design Considerations for Durable, Sustainable
  Packaging Recycled Plastics Industry
• While recycled plastics offer environmental
  benefits, manufacturers must also ensure that
  these materials meet the durability and
  functionality standards expected in the B2B
  packaging industry. Key design considerations
  include
• Material Strength Packaging must withstand the
  rigors of transportation and storage. Innovations
  in recycled plastics have significantly improved
  material strength, making it possible to use
  recycled content in applications that previously
  relied on virgin plastics. Sealed Air, a
  packaging company known for its Bubble Wrap, is
  now producing protective packaging using recycled
  content without compromising the strength or
  protective properties of the material.

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• Customization and Branding Recycled plastics can
  be tailored to meet branding needs. With
  advancements in colorants and printing
  techniques, businesses can create eco-friendly
  packaging that aligns with their brand identity.
  Companies
• like Nestlé have embraced this by offering
  packaging solutions made from recycled
• plastics that also highlight their commitment to
  sustainability on the products labeling in
  fact, in 2023, 41.5 of Nestlés packaging
  consisted of recycled or renewable materials,
  with 9.3 of its plastic packaging made from
  recycled content. Further, the company is also
  aiming for more than 95 of its plastic packaging
  to be designed for recycling by the year 2025.
• Compliance with Regulations As regulations
  around plastic usage tighten globally, using
  recycled plastics can help companies meet both
  environmental goals and legal requirements. By
  incorporating recycled plastics into their
  packaging, businesses can stay ahead of these
  regulatory changes and avoid penalties. The
  European Unions Single-Use Plastics Directive,
  for example, has pushed businesses toward using
  more recycled content to reduce overall plastic
  waste. As per our
• analysis, Europe captured the highest revenue
  share of 39.72 in the global recycled plastics
  market in 2023 and is expected to continue this
  growth trajectory between 2024 to 2032.
• How Can Manufacturers Incorporate Recycled
  Materials into Supply Chains?
• Integrating recycled plastics into your supply
  chain requires a structured approach. Heres a
  roadmap to get started
• Identify Suppliers Partner with suppliers who
  specialize in recycled plastics. Loop Industries
  is an excellent example of a company that offers
  recycled PET for packaging, providing a
  sustainable alternative to virgin plastic.
• Optimize Packaging Design Consider redesigning
  your packaging to reduce overall plastic use
  while maximizing the benefits of recycled
  materials. For instance, PG has not only
  reformulated its Head Shoulders shampoo to
  contain just nine ingredients but also cut the
  plastic in the bottle by 45. The design allows
  users to roll up the bottle like a tube of
  toothpaste, making it easier to use all the
  products and reducing space in recycling bins.
  Additionally, Herbal Essences has revamped its
  shampoo as well as conditioner bottles, now using
  25 less
• plastic compared to earlier versions, leading to
  a significant reduction in plastic usage.
  (Source)
• Assess Material Compatibility Evaluate how the
  recycled material performs with your current
  packaging processes. Its crucial to ensure that
  switching to recycled plastics doesnt negatively
  impact product quality or functionality.
• Whats Next Tools and Metrics for Tracking
  Carbon Reductions
• To quantify the impact of using recycled
  plastics, manufacturers can leverage several
  tools and metrics that measure their carbon
  footprint reduction
• Lifecycle Assessment (LCA) This tool helps
  businesses assess the environmental impacts of
  their products throughout their lifecycle, from
  raw material sourcing to disposal. It provides a
  comprehensive view of how recycled plastics
  affect overall emissions.
• Carbon Footprint Calculators Companies like
  Carbon Trust offer calculators to measure how
  much carbon is being saved by using recycled
  content versus virgin materials.
• The Carbon Footprint Calculator is designed to
  assist UK-based SMEs in measuring their

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• corporate emissions in line with GHG Protocol
  Guidance. It covers direct emissions from fuel
  and processes as well as emissions from purchased
  electricity for the assets they operate.
• This can help manufacturers set measurable
  targets and track progress over time.
• Greenhouse Gas Protocol (GHG Protocol) This is
  the worlds most widely used standard for
  measuring and managing greenhouse gas emissions.
  It provides guidelines on how companies can
  report their emissions reductions from switching
  to recycled materials.
• Conclusion Recycled Plastics Market Growth
  Prospects
• Incorporating recycled plastics into packaging
  solutions is not only a practical way for
  manufacturers to reduce their carbon footprint
  but also an opportunity to align with growing
  regulatory requirements and consumer demands for
  sustainability. By taking advantage of innovative
  materials like PCR, PIR, and biodegradable
  plastics, businesses can lead the charge in
  creating a more circular economy, while still
  maintaining the functionality and durability
  needed in modern packaging. With the right tools
  and strategies in place, manufacturers can track
  their impact, meet regulatory requirements, and
  embrace eco- friendly branding, all while
  contributing to a greener future.
• FAQs
• How do recycled plastics help reduce carbon
  emissions?
• A Recycled plastics require less energy to
  produce than virgin plastics, which significantly
  reduces greenhouse gas emissions. For every ton
  of recycled
• plastic used, up to 3 tons of CO2 emissions can
  be saved, contributing to a lower carbon
  footprint.
• Are recycled plastics as durable as virgin
  plastics?
• A Yes, advancements in technology have made
  recycled plastics
• comparable in strength and durability to virgin
  materials. Companies are now using them in
  packaging and products without compromising
  quality or performance.
• What types of recycled plastics are commonly used
  in packaging? A Post-consumer recycled (PCR)
  plastics, post-industrial recycled (PIR)
• plastics, and biodegradable plastics are commonly
  used in packaging. PCR is derived from consumer
  waste, while PIR comes from manufacturing scraps,
  both offering sustainable packaging solutions.