Tomra CEO Warns: Plastics Recycling Investments Delayed Despite Looming 2030 EU Deadlines

Tove Andersen, CEO of the Norwegian company Tomra Systems, confirmed in a statement to Reuters that players in the European plastics recycling industry are holding back on developments. Despite the strict and approaching 2030 European Union deadlines, high financing costs and general economic uncertainty are slowing down the market. The anticipated rebound in investments is expected to fall short this year and likely in 2027 as well.

Double the Capacity Required by the 2030 EU Deadline

Under the EU’s Packaging and Packaging Waste Regulation (PPWR), all packaging materials in Europe must be recyclable by 2030. According to Tomra’s official statement, fulfilling this target requires European plastics recycling processing capacities to at least double. Thus, there is a clear long-term demand for the company’s waste-sorting equipment; however, the market is currently underperforming, and industry players remain cautious for at least another year.

Why Are Recyclers Delaying Projects?

According to Tove Andersen, clients are postponing commitments to new recycling projects because they face significant market challenges. The main deterrents include:

• High financing costs.

• General economic uncertainty.

• A lack of confidence regarding whether the recent increase in plastic prices will be sustained.

While the recent rise in oil prices has pushed up the prices of both virgin and recycled plastics—improving clients’ cash-generation capabilities—Tomra has not yet seen a resulting increase in orders. Recyclers want tangible proof that these higher prices are here to stay before they start investing in and building new plants.

Timeline for Recovery: Investments Must Accelerate by 2028

The company forecasts that no market recovery in plastics recycling is expected this year, and this stagnant state could persist through 2027. However, the Tomra CEO emphasized: “The demand will come. It is just a question of when.” Andersen also highlighted the fact that investments must absolutely accelerate around 2028 so that the necessary capacities are available to companies before the 2030 deadline expires.

Tomra’s Current Strategy in a Subdued Market

While waiting for the plastics and waste-sorting sector to recover, Tomra’s recycling division is being supported by stronger demand for aluminum and other metals. The company is also implementing cost-cutting measures to protect its overall profitability.

Sources and References:

• Original News Agency Source: Reuters – Tomra says recyclers delay investment despite looming EU deadlines (July 17, 2026)

• Official EU Page (Background on PPWR regulation): European Commission – Packaging and packaging waste