Pyrolysis in the Circular Economy: why technology alone won’t solve the plastics problem.
Chemical recycling technologies like pyrolysis are gaining attention as potential solutions for hard-to-recycle plastics. But before jumping on the bandwagon, buyers of recycled materials need to understand the full picture.
What Pyrolysis Actually Does:
Pyrolysis breaks down plastic waste (PE, PP, PS) through high-temperature heating in oxygen-free environments, converting it into three products: liquid oil (for fuel or chemical feedstock), syngas (process fuel), and solid carbon residue. The goal is to handle contaminated or multi-layer plastics that mechanical recycling can’t process.
The Reality for Material Buyers:
If you source recycled plastics as raw materials, here’s what pyrolysis means for your supply chain:
– Energy Economics Are Challenging – The process requires significant thermal energy (300-650°C) to break molecular bonds. While syngas can offset some costs, the net energy balance often makes pyrolysis-derived materials more expensive than virgin plastics when oil prices are low.
– Quality Variables – Impurities (nitrogen, chlorine from PVC) contaminate the output oil, requiring expensive upgrading processes. The final product quality varies significantly based on feedstock consistency.
– Market Competitiveness – Virgin plastic producers have economies of scale and established infrastructure. Pyrolysis oil competes directly with petroleum prices—a volatile benchmark that doesn’t account for environmental externalities.
-Niche Applications Exist – Where mechanical recycling fails (contaminated streams, multi-material packaging) and regulatory pressure is high, pyrolysis fills a gap. Some companies are finding success in specialized applications beyond replacing virgin plastics.
Technology can solve technical problems, but economic problems require economic solutions. As material buyers, watch for:
-Regulatory signals – Countries investing in chemical recycling infrastructure through subsidies or mandates are creating future supply opportunities
-Honest suppliers – Pyrolysis operators transparent about energy costs, output quality, and process limitations are better long-term partners than those overselling capabilities
-Diversified applications – Companies exploring pyrolysis oil for industrial heating or chemical feedstock (not just virgin plastic replacement) may have more viable business models
-Hybrid systems – The future likely combines mechanical recycling (for clean streams) + chemical recycling (for contaminated streams), not one replacing the other
Pyrolysis is a tool, not a silver bullet. It expands what’s technically possible in waste management, but profitability depends on policy frameworks that haven’t fully materialized yet.
For material buyers: Don’t dismiss chemical recycling, but don’t bet your supply chain on it either until the economics align. The technology works—the question is whether governments will create conditions where it can compete.
¿Cómo trabajamos?
En Alliance, hemos diseñado un proceso simple y eficiente para transformar tus residuos en ingresos. Te acompañamos en cada paso para que maximices el valor de tus materiales mientras contribuyes al cuidado del medio ambiente.
Evaluamos tus materiales
Uno de nuestros expertos revisara a detalle la información suministrada.
Escoge una
fecha
Nuestros expertos se contactaran contigo para organizar una reunión.
Recogemos y pagamos
Coordinamos la recolección de tus residuos y te aseguramos un pago justo y rápido.
Seguimos acompañándote
Nuestro experto te acompañara en el desarrollo de más oportunidades.
1. Llena el formulario
2. Evaluamos tus materiales
Uno de nuestros expertos revisará a
detalle la información suministrada
3. Escoge una fecha
Nuestros expertos se contactaran
contigo para organizar una reunión
4. Recogemos y pagamos
Coordinamos la recolección de tus residuos y te aseguramos un pago justo y rápido.
5. Seguimos acompañandote
Nuestro experto te acompañará en el desarrollo de más oportunidades
