The new rules establish, for the first time, a methodology for calculating, verifying and reporting chemically recycled content. They can be applied to any recycling technology, including chemical and mechanical recycling technologies, and will help Member States meet the recycled-content target set under the Single-Use Plastics Directive. This is key to creating a level playing field and providing investment security for the plastic recycling sector.

Mechanical recycling is currently the most widely used method for recycling plastics. This is typically used to sort, clean, shred and remould plastics into new products. However, some plastic waste streams cannot be effectively recycled mechanically. This includes plastic waste with food residues, additives and mixed materials which reduce recyclability. In these cases, chemical recycling can complement mechanical recycling. 

In contrast to mechanical recycling, chemical recycling breaks down plastics into smaller molecules, which can be reused for feedstocks for new plastics or other chemicals. This helps to return more plastic waste streams to the circular economy, including for products that have to meet high-quality standards like food-contact packaging.

Initially, the EU will count as recycled plastics material from the Union and EEA countries, where compliance with EU environmental rules can be fully verified. From 21 November 2027, recycled plastic from OECD countries will also count, unless excluded under the Waste Shipment Regulation. Material from non-OECD countries will also count when covered by arrangements ensuring equivalent standards related to human health and environmental protection requirements.