Mexico Waste Plastic Recycling Market

Mexico Waste Plastic Recycling Market Overview:

The Mexico waste plastic recycling market size reached USD 513.6 Million in 2024. Looking forward, IMARC Group expects the market to reach USD 1,088.5 Million by 2033, exhibiting a growth rate (CAGR) of 7.80% during 2025-2033. Rising environmental concerns, government regulations promoting circular economy practices, growing demand for recycled plastic in packaging and automotive sectors, and increased investment in advanced recycling technologies are some of the factors propelling the growth of the market.

Mexico Waste Plastic Recycling Market Trends:

Focus on Phasing Out High-Impact Plastics

In Mexico, efforts are intensifying to address plastic pollution by pinpointing specific materials that cause the most environmental harm. A recent multi-sectoral initiative highlighted ten plastic types considered the most problematic and unnecessary, pushing for their elimination or redesign. This move reflects growing alignment across industries to reduce waste by promoting reuse, redesign, and alternative materials. The approach supports circular systems that shift away from single-use dependency, encouraging upstream changes in packaging and product development. These efforts are expected to reshape waste management practices, influencing recycling priorities, infrastructure upgrades, and stakeholder collaboration. The alignment of public and private sectors around shared environmental goals may accelerate innovation and policy adoption in plastic recovery and reuse. As the shift gathers momentum, companies operating in the recycling space will likely see demand grow for solutions that address both mechanical and advanced recycling, especially for plastics currently considered non-recyclable or hard to manage. For example, in November 2024, the Mexico Plastics Pact identified the 10 most problematic and avoidable plastics in the country, aiming to scale collaborative, circular solutions across sectors to reduce plastic pollution.

Push for Traceable Recycling of Flexible Plastics

Efforts to expand recycling capabilities in Mexico are shifting toward addressing flexible plastics, which have historically been difficult to process. New technology-driven collaborations are targeting this challenge by converting these materials into usable outputs such as pyrolytic oil, which can re-enter manufacturing cycles. A key aspect of this initiative is the integration of blockchain systems to verify and track materials, reinforcing transparency and accountability throughout the recycling chain. This marks a shift from traditional mechanical recycling to advanced recovery methods that handle more complex waste streams. Such developments are expected to boost the value of hard-to-recycle plastics and create new opportunities for material recovery businesses. The emphasis on traceability also aligns with evolving compliance and sustainability requirements, signaling a broader shift in how recycled outputs are certified and integrated into supply chains across Mexico and the wider Latin American region. For instance, in September 2024, the International Finance Corporation (IFC) partnered with Greenback to promote plastic recycling in Mexico and Latin America. Utilizing Greenback’s technology, the project aims to convert flexible plastics into reusable materials like pyrolytic oil, with blockchain verification ensuring traceability.

Mexico Waste Plastic Recycling Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the region/country level for 2025-2033. Our report has categorized the market based on treatment, material, application, and recycling process.

Treatment Insights:

• Co-Processing
• Heat Compression
• Pyrolysis
• Landfill
• Incineration
• Others

The report has provided a detailed breakup and analysis of the market based on the treatment. This includes co-processing, heat compression, pyrolysis, landfill, incineration, and others.

Material Insights:

• Poly Vinyl Chloride (PVC)
• Low-Density Polyethylene (LDPE)
• High-Density Polyethylene (HDPE)
• Polyethylene Terephthalate (PET)
• Polypropylene (PP)
• Acrylonitrile Butadiene Styrene (ABS)
• Others

A detailed breakup and analysis of the market based on the material have also been provided in the report. This includes poly vinyl chloride (PVC), low-density polyethylene (LDPE), high-density polyethylene (HDPE), polyethylene terephthalate (PET), polypropylene (PP), acrylonitrile butadiene styrene (ABS), and others.

Application Insights:

• Packaging
• Construction
• Textile
• Automotive
• Others

The report has provided a detailed breakup and analysis of the market based on the application. This includes packaging, construction, textile, automotive, and others.

Recycling Process Insights:

• Mechanical
• Others

A detailed breakup and analysis of the market based on the recycling process have also been provided in the report. This includes mechanical and others.

Regional Insights:

• Northern Mexico
• Central Mexico
• Southern Mexico
• Others

The report has also provided a comprehensive analysis of all the major regional markets, which include Northern Mexico, Central Mexico, Southern Mexico, and others.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Mexico Waste Plastic Recycling Market News:

• In March 2025, ExxonMobil announced its participation in PLASTIMAGEN MEXICO 2025, showcasing its Exxtend and Vistamaxx technologies designed to support advanced and mechanical recycling efforts.
• In February 2025, Mexican startup Petgas developed a machine in Boca del Río that converts plastic waste into gasoline, diesel, and other fuels using pyrolysis. The machine processes 1.5 tons of plastic weekly, producing 1,350 liters of fuel, which is donated to local services.

Mexico Waste Plastic Recycling Market Report Coverage:

Key Questions Answered in This Report:

• How has the Mexico waste plastic recycling market performed so far and how will it perform in the coming years?
• What is the breakup of the Mexico waste plastic recycling market on the basis of treatment?
• What is the breakup of the Mexico waste plastic recycling market on the basis of material?
• What is the breakup of the Mexico waste plastic recycling market on the basis of application?
• What is the breakup of the Mexico waste plastic recycling market on the basis of recycling process?
• What is the breakup of the Mexico waste plastic recycling market on the basis of region?
• What are the various stages in the value chain of the Mexico waste plastic recycling market? 
• What are the key driving factors and challenges in the Mexico waste plastic recycling?
• What is the structure of the Mexico waste plastic recycling market and who are the key players?
• What is the degree of competition in the Mexico waste plastic recycling market? 

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Mexico waste plastic recycling market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Mexico waste plastic recycling market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Mexico waste plastic recycling industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.