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Plastic Recycling February 21, 2018 01:30:35 PM

Chinese Firm Announces Construction of New U.S. Plastics Recycling Facility

Paul Ploumis
ScrapMonster Author
According to reports, the Chinese recycler will invest nearly $1.6 million for the 80,000 square foot building near Huntsville, previously occupied by Kennametal, but vacated in September 2016.

Chinese Firm Announces Construction of New U.S. Plastics Recycling Facility

SEATTLE (Scrap Monster): Shanghai-based plastics company, Roy Tech Environ Inc., has decided to invest in a new plastics recycling facility in Grant, Alabama. The facility will process recyclables, mainly post-industrial plastics and export clean material to its factories in China and elsewhere in Asia. It will serve as the headquarters of its US operations.

The announced investment is in line with the company’s strategy to build processing capacities in the US so as to ensure supply of recycled plastic material to its Chinese facilities. Incidentally, the new ban by the Chinese administration on several grades of recycled materials including plastic scrap had badly impacted raw material supply. China has been the primary importer of scrap plastics. The country had accounted for nearly half of the world’s total plastic scrap imports in 2015.

According to reports, the Chinese recycler will invest nearly $1.6 million for the 80,000 square foot building near Huntsville, previously occupied by Kennametal, but vacated in September 2016. Additional investments will be made towards purchase of equipment. The plant is expected to become operational by summer 2018. The plant is expected to create 40 to 50 jobs initially, for which hiring process is expected to begin soon. The company aims to process nearly 20,000 metric tons of post-industrial plastics within the first year of operation and raise its employee count to up to 90.

ALSO READ: Europe's Plastics Recycling Capacity Witnessed Tremendous Expansion

The company has acted quickly to find a location and shift all of the required equipment, said Matt Arnold, president of the Marshall County (Alabama) Economic Development Council. Mayor Larry Walker commended the investment, saying that it will help local people to find jobs close to their home.

The construction of the plant will be carried out in two phases. In the first phase, Roy Tech Environ will install grinders and shredders for five production lines. The pelletizing equipment will be added in the second phase.

 

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