EU Regulatory Shift Supercharges High-Quality Pyrolysis Oil (HQPO) for Circular Plastics
Different Fractions out of Circular Oil

EU Regulatory Shift Supercharges High-Quality Pyrolysis Oil (HQPO) for Circular Plastics

🔍 What’s New Since March 2025?

Major updates to the EU Packaging and Packaging Waste Regulation (PPWR) are reshaping the future of plastics. Effective March 2025, chemical recycling—especially pyrolysis—is now officially endorsed as a critical pathway to meet Europe’s mandatory recycled content targets.

✅ Mass balance methodology is now standardized, allowing traceable allocation of recycled content across product portfolios.

✅ Fuel use disqualified—only material recovery counts toward regulatory goals.

✅ Permitting accelerated—new pyrolysis plants now qualify for fast-track approval in Germany, Finland, and France.

This regulatory clarity is already attracting major investments in high-quality pyrolysis oil (HQPO), with strong support for food-grade and high-performance plastic applications.

📈 Demand Set to Soar: From 0.1 kt to 3 Mt

In 2024, HQPO output stood at just ~0.1 kilotons. But with regulations, brand commitments, and supply chain agreements aligning, demand is projected to skyrocket to 2–3 million tons annually by 2030.

🎯 Automotive OEMs are demanding recycled-content plastics with strict mechanical and thermal performance.

🎯 Food-grade packaging leaders are securing HQPO-based materials to meet new EU thresholds.

The future is clear: mass-balanced HQPO will be a cornerstone feedstock for tomorrow’s circular economy.

⚗️ Oil Grades: From Plastic Waste to Premium Applications

Advanced pyrolysis is no longer a one-size-fits-all technology. Thanks to innovation in purification and distillation, we now have:

  • Heavy fractions → For non-critical polymers.

  • Cracker-grade (naphtha substitutes) → For high-end plastics in cars, electronics.

  • Kerosene-grade → Emerging feedstock for synthetic aviation fuels.

Ongoing R&D in hydrodechlorination, desulfurization, and fractional distillation continues to push quality benchmarks upward.

🌍 Lamor’s Strategic Role in Circular Plastics

Lamor’s recent investment in HQPO production is not just timely—it’s visionary. By committing to high-purity, traceable, and mass-balanced pyrolysis oil, Lamor is directly addressing Europe’s most urgent recycling bottleneck.

A secured and certified value chain from raw material to the circular oil

💡 Focused on plastics with the highest performance requirements—food-contact, automotive, and beyond—Lamor brings purification tech, supply chain integrity, and circular innovation into one platform.

➡️ As the demand for HQPO grows, Lamor is positioned to lead in both volume and quality.

🧾 References

  1. European Commission. (2025). Packaging and Packaging Waste Regulation (PPWR) Amendments.

  2. Chemical Recycling Europe. (2025). Market Outlook for Chemical Recycling.

  3. Ellen Foundation. (2024). Advanced Recycling Technologies: Potential and Challenges.

  4. Bain & Company. (2025). Future of Plastics: High-Value Recycling Pathways.

  5. European Chemicals Agency (ECHA). (2025). Mass Balance Certification Guidelines.

  6. ICIS Chemical Business. (2025). Pyrolysis Oil in the Circular Economy.

  7. Lamor Corporation. (2025). Strategic Roadmap for Circular Plastics Solutions.

🔗 Let’s connect if you’re navigating the intersection of high-performance plastics, regulatory innovation, and sustainable feedstocks. The shift is happening—HQPO is here to stay.

G V Rama Krishna

Group Head Operations at CHETTINAD CEMENT CORPORATION LIMITED with expertise in Plant Operations and Management

3mo

This shift in circular plastics is critical. With regulatory changes and consumer demand rising, how do you see ROI balancing with sustainability efforts? Any case studies to share?

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