Austrian packaging company Alpla has set a goal to double its plastics recycling capability to 700,000 metric tons per year by 2030.
The company also said its commitment to the circular economy is "paying off." It currently invests at least 50 million euros ($51.4 million) annnually in plastics recycling. In October 2024, that included its first PET recycling plant in South Africa. Alpla also operates mechanical recycling facilities in Germany, Mexico, Poland, Spain, Romania, Thailand and Mexico. Overall, Alpla’s recycling division produces recycled high density polyethylene and PET at 13 plants in nine countries.
Alpla reported its sales increased to 4.9 billion euros ($5 billion), up 4 percent in 2024 vs. 2023.
Alpla linked its success in 2024 to strong growth in South America, Africa, and the Middle East. Demand in North and Central America also recovered CEO Philipp Lehner said in a statement. Alpla is also experiencing an "upward trend" in Europe, Lehner continued, noting that market conditions remain ‘challenging’.
“Increasing [European Union] regulation is creating a lot of work and weakening our international competitiveness,” Lehner said. “This is compounded by high labor costs in some countries. We are countering this with increased efficiency, new products, and our leading role in recycling.”
In 2023, European plastics manufacturing and recycled plastics production fell for the first time. Compared with 2022, EU plastics production plunged 8.3 percent to a total of 54 million tonnes. The production of mechanically recycled post-consumer plastics decreased by 7.8 percent, to 7.1 million tonnes. By contrast, global plastics production rose by 3.4 percent, which means Europe’s global market share has shrunk further, to 12 percent. Although Europe maintains a positive trade balance in value, it became a net importer of plastic resins and finished goods, with resin exports dropping 25.4 percent from 2020 to 2023.
As virgin and recycled plastics production shifts eastward, Alpla announced it will open a new plant in Thailand in 2025, without offering more details. The company said the markets in the Asia-Pacific region offer "huge potential." Labor and energy costs are also cheaper in the region than in Europe.
Across all its divisions, Alpla reached 200 plants and created 1,000 new jobs through new business areas, acquisitions and training programs. A total of 24,350 employees work at 200 locations in 46 countries, with 365 working as apprentices.