ExxonMobil, a major U.S. energy company, has stopped a €100 million ($118.4 million) investment in European plastic recycling projects.
New EU rules on calculating recycled content in products are causing the delay.
Affected Recycling Projects
The paused projects involve chemical recycling at ExxonMobil’s plants in Rotterdam and Antwerp. These facilities aimed to process 80,000 metric tons of plastic waste yearly.
This would help meet the EU’s target of 30% recycled content in plastic bottles by 2030.
Issues with EU Rules
Jack Williams, ExxonMobil’s Senior Vice President, said the draft EU rules favor standalone recycling plants over integrated ones.
The rules measure recycled content by comparing waste input to output. This method disadvantages complex facilities that mix recycled materials with fossil feedstocks.
Williams noted that ExxonMobil’s plants would get far fewer recycling credits than they deserve.
“We’re ready to move forward and have local support,” Williams said. “EU regulations are the only thing stopping us.”
Industry Shares Concerns
Other companies, like Finland’s Neste, agree with ExxonMobil. They raised similar issues during a recent public consultation on the EU rules.
The industry says both mechanical recycling (reusing waste without changing its structure) and chemical recycling (breaking plastics into basic chemicals) are key to meeting EU goals.
More Regulatory Challenges
Williams also criticized the EU’s Corporate Sustainability Due Diligence Directive (CSDDD). This rule asks large companies to check their supply chains for forced labor or environmental harm.
He called it complex, costly, and hard to apply globally. The EU has softened and delayed this rule, but it still concerns ExxonMobil.
The Future of Recycling
ExxonMobil’s pause shows the struggle to balance industry innovation with strict regulations. The company wants policies that support both standalone and integrated recycling to boost efficiency and sustainability.
Sustainable Waste Solutions
Other efforts highlight waste management progress. For example, the Staten Island Compost Facility turns food waste into nutrient-rich soil, called “black gold.”
It diverts tons of waste from landfills each year. These projects show what’s possible when regulations support sustainable practices.
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