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Key Trends in Recycling, Composting, and the Circular Economy: Part 1

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By Ushma Pandya


As we head into 2025, it's worth reflecting on the key sustainability trends that gained momentum in 2024. Governments, businesses, investors, and individuals have all shown increasing interest in tackling waste—not just through better recycling but by rethinking waste altogether. We've seen innovations in alternative materials, shifts toward reuse and repair, and a growing focus on circularity rather than the traditional recycle-and-landfill approach.


In this multi-part series, we’ll explore the biggest trends shaping the future of waste reduction. While this is by no means an exhaustive list, it highlights some of the most promising developments. If you think we’ve missed something, let us know—we’d love to hear your thoughts!


 

Part 1:  Recycling Trends in 2024
 
1. AI and Automation in Recycling Facilities

Artificial intelligence (AI) and machine learning are revolutionizing recycling operations. Advanced sorting robots, equipped with computer vision and sensors, can now identify and separate materials with greater accuracy than ever before. 


Currently, only 21% of household recyclables are captured according to a report by the Recycling Partnership.  It is expected that AI technology can help increase that capture rate by sorting through the curbside waste.


In the USA, these robots are being deployed in facilities such as those operated by AMP Robotics in Colorado and Glacier Robotics in California, significantly improving sorting efficiency and reducing contamination.  In 2024, AMP raised an additional $91M in funding to fuel its growth and partnered with Waste Connections to launch a new, AI-driven recycling facility in Colorado, set to open in early 2026. This facility will feature AMP ONE™ and Smart Sortation™ technology, capable of processing up to 62,000 tons of single-stream recycling annually. The AI system will not only automate sorting but also monitor material purity and make real-time adjustments to maintain high efficiency.


By integrating AI into recycling processes, these innovations are not just improving sorting accuracy—they are increasing the recovery rate of valuable materials like aluminum, plastics, and rare metals, ensuring that a greater percentage of recyclable materials are successfully reprocessed and reintroduced into the supply chain. 


We are also seeing this technology extend beyond the recycling center and have seen some testing within the Textile material stream.  One such firm is Sortile that is exclusively focusing on sorting textiles to enable better reuse and recovery.  






Beyond recycling facilities, AI is enhancing waste management through smart bins that assist individuals in correctly sorting their waste. These innovative systems are currently in testing phases, but early implementations have shown promising results.


For instance, at LaGuardia Airport's Terminal B, passengers can use "Oscar," an AI-powered waste-sorting assistant developed by Intuitive AI. When a user presents an item, Oscar analyzes it and directs them to the appropriate bin, ensuring accurate disposal and reducing contamination (Meet Oscar! Our new AI waste-sorting technology!).


Similarly, CleanRobotics has introduced "TrashBot," an intelligent waste bin that automatically sorts waste at the point of disposal. Utilizing robotics, computer vision, and machine learning, TrashBot identifies and separates items into corresponding bins within the system. Port Authority piloted TrashBot at Newark Liberty International Airport, where its AI-powered technology streamlined waste sorting for visitors and identified opportunities to improve waste diversion. 

These AI-integrated waste bins not only enhance recycling accuracy but also educate the public on proper waste disposal practices.

 

2. Chemical Recycling Gains Traction

Traditional mechanical recycling struggles with how to deal with mixed plastics and low-quality materials because the process cannot handle contamination (i.e. if there is grease on the plastic) or the multi-material packaging (i.e. a chip bag).  As a result, our plastic recycling rate is less than 15%.


In response, chemical recycling (also called advanced recycling or molecular recycling), which breaks down plastics into their molecular components for reuse, has been expanding in 2024 (it is still a small footprint - there are approximately 11 facilities in the US). Unlike mechanical recycling, which degrades plastic quality over time, chemical recycling is attempting to turn existing plastics back into high-quality materials.  


As of early 2024, 25 U.S. states, including Texas, California, Florida, and New York, have enacted laws supporting advanced recycling technologies.  Legislation is primarily focused on reclassifying chemical recycling facilities as manufacturing facilities rather than waste facilities in order to take advantage of more favorable regulations or public funds.


For example, in Texas, the 86th Legislature passed House Bill 1953 in 2019, amending the Solid Waste Disposal Act to define processes like gasification—which converts post-use plastics into valuable raw materials—as manufacturing rather than waste management. This reclassification facilitates the development of chemical recycling facilities by streamlining regulatory requirements.


One company investing in chemical recycling is ExxonMobil, which plans to invest over $200 million to enhance its advanced recycling operations at its Baytown and Beaumont facilities in Texas. These expansions are expected to commence operations in 2026, contributing to the company's goal of achieving a global recycling capacity of 1 billion pounds annually by 2027.  


Another example is Alterra Energy, a company specializing in advanced recycling technology. In October 2024, Alterra secured investments from Infinity Recycling, LyondellBasell, and Chevron Phillips Chemical to accelerate the commercialization of its proprietary process that transforms discarded plastics into raw materials.


However, chemical recycling faces criticism. Environmental advocates argue that the process can be energy-intensive and may produce harmful emissions. Additionally, concerns have been raised about the actual efficiency of converting waste plastics back into usable materials, with some processes yielding more fuel than new plastic. For example, California has filed a lawsuit against ExxonMobil, alleging deceptive practices regarding the effectiveness of their plastic recycling efforts. 


So while there is some increased investment and legislative activity to support chemical recycling, I believe there is still more research and work to be done to determine what role this technology plays in addressing our plastic problem.  



A brief overview of the differences between Chemical and Mechanical Plastic recycling
A brief overview of the differences between Chemical and Mechanical Plastic recycling


3. The Rise of Consumer-Friendly E-Waste Recycling

With the growing use of electronic devices, proper disposal of e-waste has become crucial. In 2022, global e-waste generation reached 62 million tonnes, with less than a quarter (22.3%) properly collected and recycled.   


In the U.S., state governments such as California, New York, and Oregon are rolling out deposit-return schemes and take-back programs for smartphones, batteries, and appliances.   

Additionally, manufacturers such as Apple, Dell, and HP are designing electronics with recyclability in mind by using modular components, reducing the use of toxic materials, and incorporating recycled content in new devices. These efforts make it easier to extract valuable components like lithium, cobalt, and gold while improving overall sustainability.


Apple has expanded its use of recycled materials, integrating recycled aluminum, tin, and rare earth elements across its product line. Dell is exploring modular designs through its Concept Luna project, which simplifies disassembly and repair to reduce electronic waste and promote a circular economy.

HP has implemented a global take-back program, refurbishing and repurposing devices to extend product lifecycles. These efforts aim to extract valuable components like lithium, cobalt, and gold while improving overall sustainability.


Trade-in programs have also seen growth, providing financial incentives for consumers to return used devices. In the second quarter of 2024, the average trade-in value for Apple iPhones increased by 21% from the previous quarter, rising from $163.47 to $198.01. These initiatives not only provide economic benefits to consumers but also promote the refurbishment and reuse of devices, reducing electronic waste and extending product lifecycles.


4. Standardization and Transparency in Recycling Programs

Consumers are confused by inconsistent recycling guidelines as what is accepted for recycling in one city may be rejected in another.   In addition, the recycling logo with the plastic resin code does not necessarily mean it is recyclable.  Generally, only plastics labeled #1 and #2 are widely processed, while #3 through #7 are not, contrary to common perceptions.



Image Source:  Just Zero
Image Source: Just Zero

In 2024, U.S. states and municipalities, including California, Washington, and New York City, implemented standardized labeling and digital platforms that provide real-time information about local recycling rules. 


California: Enacted the Truth in Labeling for Recyclable Materials law (SB 343), which restricts the use of the "chasing arrows" symbol to products that meet specific recyclability criteria. This legislation aims to provide consumers with accurate information, reducing confusion and contamination in recycling streams. 





Source: CalRecycle
Source: CalRecycle

At the federal level, the Truth in Labeling Act of 2024 was introduced to establish national standards for recycling labels on consumer packaging. Spearheaded by Senator Jeff Merkley, the bill seeks to ensure that the "chasing arrows" symbol is used exclusively for genuinely recyclable products, reducing misleading claims. Industry groups like Ameripen support a unified labeling system to streamline compliance, though discussions continue on how federal and state laws should align. If enacted, this bill would create more consistency in recycling rules nationwide, making it easier for consumers to understand what can and cannot be recycled.


Blockchain technology is also being explored to enhance transparency in the recycling supply chain. It creates a secure digital record that tracks materials from collection to processing, ensuring recyclables are effectively repurposed rather than diverted to landfills. This system fosters accountability among consumers, companies, and waste management entities, promoting a more efficient and trustworthy recycling process. 


The Ellen MacArthur Foundation highlights how blockchain can transform recycling supply chains into "chains of responsibility," ensuring businesses accurately report and use recycled materials. By integrating blockchain with Internet of Things (IoT) sensors, companies can track waste in real-time, preventing recyclable materials from being mismanaged. Blockchain is also being used to verify sustainability claims, allowing consumers to scan a product’s QR code and trace its recycling journey. 


One example is Plastic Bank, a social enterprise that uses blockchain to combat ocean plastic pollution while creating economic opportunities in vulnerable communities. The initiative operates in countries like Haiti, the Philippines, Indonesia, and Brazil, where waste collection infrastructure is often lacking. Plastic Bank provides a blockchain-secured platform where local collectors can exchange plastic waste for digital tokens, which can be used for essential goods, education, or financial services. This system ensures that collected plastic is properly accounted for and prevents fraud in recycling supply chains. The collected plastic, known as Social Plastic®, is then sold to major brands for reuse in packaging and products, promoting a circular economy.


Wrap Up

As we move through 2025, advancements in recycling are making waste management more efficient and transparent. AI and automation are improving sorting accuracy, chemical recycling could help handle hard-to-recycle plastics, trade-in and retail collection programs are fueling the rise of e-waste recycling, and efforts to standardize recycling guidelines are aimed at reducing consumer confusion and maybe increased recycling. 


While challenges remain, these innovations are shaping a more circular and sustainable future. Stay tuned for Part 2, where we’ll explore even more trends driving progress in waste reduction and sustainability!


Please comment below on additional trends that we should follow.


 
 
 

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