Second, the circular economy requires functioning markets through reliable recycled content targets, eco-modulated licensing fees, and sustainable public procurement. Third, the region demands a faster pace of scaling up, which is why transformation funds must be directed specifically toward industrial pilot projects and must not be diverted from the federal budget.

“The future fields of the high-tech agenda have one thing in common: they require a high level of materials expertise,” emphasized Dr. Thorsten Dreier, Chief Technology Officer at Covestro, in his keynote address: “Without tailor-made plastics, technological advances would be impossible. Anyone striving for technological leadership must therefore also secure the necessary materials, production, and value chains within their own country.”

Panel Discussion: Strengthening Value Chains 

During a panel discussion, Dr. Carsten Gerhardt, a partner at the consulting firm EY, highlighted the importance of collaboration between academia, industry, startups, investors, and policymakers for high-performing innovation ecosystems: “Overall, Germany should think more in terms of complete value chains and concrete scaling projects.”

Also Prof. Manfred Renner, Director of the Fraunhofer Cluster of Excellence Circular Plastics Economy (CCPE) and Director of Fraunhofer Umsicht, emphasized during the panel discussion that the greatest risk lies in other regions industrializing new technologies more quickly. “Whoever masters pilot plants, demonstration projects, and industrial scaling will ultimately determine where value is created and jobs are generated—and who will lead the way in the technologies of tomorrow.” 

The transition to a circular and climate-neutral plastics economy can only succeed if existing production structures are maintained while new technologies, infrastructure, and business models are developed. Jens Hambricht, Strategy Coordinator for Plastics Recycling at BASF, emphasized: “To truly achieve this transformation, we need the legal certainty provided by laws that set clear goals.”

Examples of Plastic Innovations

At the conference, participating industrial companies demonstrated field-proven material and process innovations across the entire value chain. Covestro presented lightweight polycarbonates for robotics as well as specialty polyurethane films for wearables in medical technology. “Plastics have a very special ability: they can integrate things,” affirmed Stefan Mechnik, coordinator for political communications at Covestro.

Dow showcased a fully cross-linked XLPE insulation system for 525-kV direct-current cables that enables higher operating temperatures and increases transmission capacity by 20 to 25 percent. Borouge International is investing over 150 million euros at its Burghausen site to triple its production capacity for recyclable high-melt-strength polypropylene (HMS-PP) and showcased a PP bumper bracket with 65% PCR content as well as running shoes with a CO₂-based EVA midsole.

Evonik introduced an adhesive additive for PUR systems under the name “Debonding on Demand,” which can be selectively debonded at trigger temperatures ranging from 80 to 180 °C, as well as the de-inking co-binder Tego Res 1100 for removing ink from printed films. Polymaterials demonstrated virtual compounding using the AI platform X-Plorator, which enables the calculation of predictive formulations for plastic blends in minutes rather than months. BASF presented process engineering advances in the mechanical recycling of PUR foams, the chemical depolymerization of polyamide textiles, and the mass-balanced Ultramid Ccycled with a net-zero CO₂ footprint.

In the field of chemical recycling, Arcus Greencycling Technologies operates an industrial pyrolysis demonstration plant in Frankfurt-Höchst with a capacity of 4,000 jato for mixed waste. Lyondell Basell is building a Moretec plant in Wesseling with a capacity of 50,000 metric tons per year to produce high-quality drop-in feedstocks, with an investment of over 250 million euros.

Matterr is scaling up a hydrolysis technology at the Knapsack Chemical Park to break down complex polyester waste into ultra-pure monomers. “Thanks to the recycled material, polyester manufacturers can gradually supplement their products in the value chain with sustainable variants,” explains Melanie Hackler, CEO of Matterr. In Worms, Röhm is developing a chemical depolymerization process for post-consumer PMMA with a yield of over 90%. And Vinyl Plus Germany highlighted established closed-loop recycling systems for PVC window profiles with a recovery rate of 78%.

Prospects for Germany as a Hub for Innovation

All of these examples show that Germany has an abundance of innovation expertise. The field-tested developments—ranging from AI-supported compounding and removable adhesive systems to large-scale pyrolysis and hydrolysis plants—demonstrate that the process engineering foundations for this transformation are in place.

If the industry’s economic policy demands are implemented, the rapid transition of these pilot projects to large-scale commercial production can ensure a stable supply of raw materials for processors and sustain industrial value creation in Germany over the long term.