Can Dow’s Circulus Move Spark a Circular Plastics Shift

Dow expands hybrid recycling after Circulus acquisition, as analysts track partnerships and emerging circular feedstock options

29 Apr 2025

Recycled plastics are entering a new phase of experimentation, and Dow is moving fast to claim a larger role. Under pressure to cut waste and meet long term sustainability targets, the company is widening its circular strategy with a blend of mechanical and advanced recycling.

The clearest sign arrived in June 2024, when Dow bought Circulus, a US recycler known for turning tough plastic films into high grade resin. The deal brings mechanical assets able to process about 50,000 metric tonnes a year. Analysts say the acquisition gives Dow a steadier supply of recycled feedstock at a moment when manufacturers crave stability and want to rely less on virgin materials.

Since mid 2024, Dow has also signaled interest in pairing its new mechanical capacity with emerging advanced methods that could handle more complex waste streams. The company has not unveiled specific projects, yet observers see potential in technologies that promise broader recovery. They note that real progress will depend on regulators, technology performance, and future investment cues.

Speculation has also surfaced about a deeper link with Procter and Gamble for polypropylene recovery. The two have explored circular options before, but no expanded program has been confirmed. Even so, market watchers argue that collaborations across major companies will be crucial to produce recycled materials that meet the quality demands of consumer brands.

Not all parties are convinced. Environmental groups continue to question the energy demands of certain advanced techniques and urge tougher standards. State regulators are still deciding how to classify these facilities, a choice that will shape permitting timelines and investor confidence.

Despite the uncertainty, momentum grows. Brands are scrambling to meet recycled content pledges, supply chains remain tight, and interest in diversified recycling keeps rising. For many in the sector, Dow’s recent steps hint at how acquisitions, new technologies, and shifting partnerships could redefine circular plastics. The result could be more dependable feedstocks and fresh openings across the materials market, even as the sector waits to see which approaches prove durable.