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# Investments to boost Borouge’s mechanical recycling capacity for plastics
- URL: https://www.packagingeurope.com/investments-to-boost-borouges-mechanical-recycling-capacity-for-plastics/
- Published: 2026-10-07T09:31:40.000Z
- Updated: 2026-10-07T09:31:40.000Z
- Author: Packaging Europe staff writers
- Tags: Business, Sustainability, Recyclability, Rigid Packaging, Flexibles, Circular Economy

[**Borouge International**](https://www.borougeinternational.com/?ref=packagingeurope.com) **has invested in mechanical recycling capacity at multiple plastic recycling facilities, aiming to boost its annual output by 14 kilotonnes and help customers meet recycled content requirements.**

At its facility in Niedergebra, Germany (formerly mtm plastics GmbH), Borouge International converts post-consumer mixed polyolefin waste into recyclate materials for various rigid plastic applications. The latest investment is set to boost its annual recyclate output by almost 9 kilotonnes once the additional capacity becomes operational in Q1 2027.

Meanwhile, its facility in Wildon, Austria (formerly Ecoplast) is expected to increase its annual recycled polyethylene output by up to 5 kilotonnes in Q4 2027\. This is anticipated to support growing demand for recycled materials, especially in flexible packaging applications.

The investments are anticipated to help Borouge International offer customers more reliable access to mechanically recycled polyolefins produced in Europe. In turn, it hopes to help brands meet incoming legal requirements, including those set out in the EU’s Packaging and Packaging Waste Regulation.

The increased outputs are also thought to contribute to a more competitive and resilient materials value chain and help scale circular solutions around the world.

“Circular materials are a strategic resource for Europe and around the world, not only to meet sustainability and regulatory requirements, but also to strengthen industrial competitiveness, brand differentiation and supply resilience,” said Dirk Langhammer, senior vice president Circular Solutions, Borouge International.

“The investments in our European recycling platform give an even larger range of customers more reliable access to circular polyolefin solutions, from premium Borcycle M grades to fit-for-purpose Recleo materials tailored to diverse applications.”

Borouge International’s European mechanical recycling portfolio is completed by its facility in Elin Pelin, Bulgaria. Said to produce over 20 kilotonnes of ‘premium-quality’ post-consumer recycled polypropylene every year, this location is intended to complement capabilities across flexible polyethylene, rigid polypropylene, and mixed polyolefin streams. 

In North America, it supplies polyethylene film grades from its Syndigo plant, located in Indiana, USA. Borouge International also collaborates with various suppliers for recycled material across Asia.

Earlier this year, Borouge and [Borealis](https://www.borealisgroup.com/?ref=packagingeurope.com) teamed up with [Catalytic Finance Foundation](https://www.catalyticfinance.org/?ref=packagingeurope.com), [Pelita Mekar Semesta](https://www.circulatecapital.com/company/pelita-mekar-semesta-pms/?ref=packagingeurope.com) and [Reciki Solusi Indonesia](https://www.reciki.co.id/?ref=packagingeurope.com) to establish Indonesia’s ‘first’ fully integrated [circular waste management ecosystem](https://www.packagingeurope.com/borealis-and-borouge-to-establish-circular-waste-management-system-in-indonesia/). The initiative set its sights on transforming plastic waste into a valuable feedstock for recycling.

In other news, [Indorama Ventures](https://www.indoramaventures.com/?ref=packagingeurope.com) has entered a strategic partnership with [Suntory Holdings](https://www.suntory.com/?ref=packagingeurope.com), [Suntory PepsiCo Beverage](https://www.suntorypepsico.co.th/en/home?ref=packagingeurope.com), and [Iwatani Corporation](https://www.iwatani.co.jp/eng/?ref=packagingeurope.com) to [recycle PET bottles into preforms](https://www.packagingeurope.com/strategic-partnership-to-recycle-pet-bottles-into-preforms-in-thailand/) at commercial scale in Thailand – a move thought to improve recycling efficiency and reduce environmental impact.

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