Industry Landscape
|

July 8, 2025

Tempered Advances in Regulation, Investments, and Market and Material Innovations

Recycling industry News

Our top news picks from last month:

  • McKinsey & Company: Aligning the value chain to decarbonize plastics
  • WasteDive: Where new recycling laws are taking effect in July
  • ESG Dive: Lululemon grows circular sourcing ambitions, expands partnership for recycled fibers
  • ESG Today: Starbucks Launches Compostable, Recyclable Cups
  • Investing.com: PureCycle secures $300 million to expand global recycling capacity

Aligning the value chain to decarbonize plastics

As part of a Materials Circularity series, this McKinsey article covers how industry can lower emissions and diversify supply chains for various materials (plastics, glass, copper, with more to come). The article provides an overview of emissions across the plastic value chain, options for decarbonizing, challenges in recycling (e.g., collection and recovery), for various polymers, end use sectors and geographies.

✅  Our take:

The article provides helpful context for all industry stakeholders. It highlights key opportunities to unlock circularity and specific areas industry players should target first. It is also useful context in the run-up to the round of negotiations for a global plastics treaty in August, where regulatory incentives, and technical guidelines (re: production limits, problematic and hard-to-recycle polymers) are critical for priming the recycling value chain.

Where new recycling laws are taking effect in July

The article provides the latest updates on EPR and packaging legislation across the US, including bans on: lithium-ion battery disposal (NH), polystyrene containers (DE, VA), single-use personal care plastic bottles in hotels (IL).

✅  Our take:

That’s good news, as recent research shows such policies have been effective in limiting plastic pollution on shorelines

In addition to the above-mentioned updates, this month the EU approved a 25% minimum recycled content for new cars, and the UK defined the modulated fee structure for its EPR scheme.

Meanwhile, EPR legislation suffered setbacks in Florida, where the governor struck down the recycling bill, in New York, where the state Assembly failed to advance packaging EPR, in Maine, Rhode Island, and Ontario, where changes were either made or proposed for packaging EPR.

Lululemon signs deal to buy recycled materials for up to 20% of its total fibers

The apparel company has entered into a 10-year offtake agreement with Samsara Eco to supply it with recycled nylon and polyester, representing ~20% of its fiber needs. The partnership between Lululemon and the recycling technology company, which uses enzymes to recycle plastic waste into virgin-like plastics, started in 2023, and will support the brand owner in reaching its target to source 75% of preferred materials (those with improved environment or social outcomes).

✅  Our take:

This marks a big win for the circular economy!  At Circular, we’re big believers in advanced purchase agreements to tackle some of the major barriers to the circular economy. For the recycling industry, the offtake agreement lowers the risk of investing in recycling infrastructure and recovery of PCR; for brand owners, it reduces the risk around PCR performance and price. A win-win for Lululemon and Samsara Eco. We’re hoping to see these types of agreements scale and are excited to lend Circular’s platform to match buyers and suppliers to that end.

Starbucks launches compostable, recyclable cups

Across Europe, Starbucks is replacing plastic in its take-away cups with traceable wood fiber and a waterproof mineral-based coating to make the cups compostable and recyclable. The cup which will be available in 2026 and builds on the existing portfolio of options (notably, reusable cups) to reduce single-use packaging waste.

✅  Our take:

At Circular, we’re excited to see these next gen materials entering the mainstream. We support  innovations in procurement (look no further than Circular.co), recycling (ex. Samsara Eco mentioned above), and material technologies (Northwestern University startup GO Eco announced a non-toxic, recyclable and compostable food packaging coating this month as an alternative to PFAS), and look to these as key pillars to eliminating waste (time, money and materials)!

PureCycle secures $300 million to expand global recycling capacity

US-based plastic recycling company PureCycle has raised $300 million from investors to expand recycling capacity across 3 continents (130-million pound facility in Thailand, another on Belgian and a 300-million pound facility in Georgia, US) with operations expected to come online between 2027 and 2029, with the aim of producing 1 billion pound of rPP by the end of the decade.

✅  Our take:

Amidst economic and geopolitical turmoil and uncertainty, it’s encouraging to see investment in the recycling industry. The news comes alongside other announcements like Exxon Mobil’s newest recycling facility coming onlineon line in Texas,; Cyclic Materials’s  new rare earth recycling and R&D facility in Canada, and some casualties, like Eastman losing its $375 million federal grant for a new recycling plant.

💿 We leave you with this last tid-bit of industry news: rock band Coldplay announced this month that it is re-releasing its full catalog of LPs on EcoRecords made of 100% rPET.

Subscribe and stay up to date with
the latest industry insights and news.

Circular News

What has Circular.co been up to?

Circular launched new features for suppliers this month: Supplier Profile Management and Market Insights. These tools make it easier for suppliers to access buyers on Circular and gain insights to price and position their products competitively. Get the full scoop on our website

Suppliers are invited to create a free supplier profile

Contact support@circular.co for more information.

About Circular

Circular.co is an AI sourcing platform for sustainable and next-gen materials. Circular’s AI-powered platform runs on the world’s largest recycled materials model, allowing buyers to instantly access new suppliers, analyze pricing, get custom quotes, transact, and manage quality, saving time and cost. Global brands use Circular.co to make data-driven decisions and efficiently find the right material from the right suppliers at the right price. Book a demo here or visit circular.co.