Canada Plastic Recycling Services Market Size, Share, and COVID-19 Impact Analysis, By Process (Mechanical Recycling and Chemical Recycling), By Type (Plastic Bottles, Plastic Films, Polymer Foam, and Others), and Canada Plastic Recycling Services Market Insights, Industry Trend, Forecasts to 2035

Canada Plastic Recycling Services Market Insights Forecasts to 2035

• The Canada Plastic Recycling Services Market Size Was Estimated at USD 1,231.1 Million in 2024
• The Canada Plastic Recycling Services Market Size is Expected to Grow at a CAGR of Around 11.2% from 2025 to 2035
• The Canada Plastic Recycling Services Market Size is Expected to Reach USD 3,955.8 Million by 2035

According to a research report published by Spherical Insights & Consulting, The Canada Plastic Recycling Services Market Size is anticipated to reach USD 3,955.8 Million by 2035, Growing at a CAGR of 11.2% from 2025 to 2035. The Canada plastic recycling services market is driven by growing environmental awareness, strict government regulations and policies like the Zero Plastic Waste by 2030 initiative, bans on single-use plastics, and Extended Producer Responsibility programs, alongside rising industrial demand for recycled plastics and continued investment in recycling infrastructure and advanced technologies.

Market Overview

The Canada plastic recycling services market broadly covers all the activities, technologies, and services that are geared towards collecting, segregating, cleaning, processing, and recycling plastic waste produced by households, commercial establishments, and industries in the Canadian territory. This market refers to both types of recycling methods: mechanical recycling, which involves physically processing plastics into reusable materials such as pellets or flakes, and chemical recycling, which disassembles plastics into their chemical components to produce new polymers or fuels.

The market is thus largely influenced by multiple factors, such as the need for plastic pollution and landfill reduction, along with the imposition of government regulations that include but are not limited to the federal Zero Plastic Waste Initiative by 2030, provincial Extended Producer Responsibility (EPR) programs, and the prohibition of single-use plastics that require higher recycling rates. Besides that, a rising wave of environmental consciousness among consumers and businesses, an upsurge in corporate sustainability commitments, and state-of-the-art recycling technologies are helping further enlarge the boundaries and the weight of this market.

Canada produces over 4.9 million tonnes of plastic waste a year, but only a tiny part of that is recycled. Approximately 16% of plastic packaging and only about 9% of total plastic waste are being recycled. The rest, a vast majority, is either dumped in landfills or ends up polluting the environment. This discrepancy between waste generation and recycling highlights the urgent need for more and better plastic recycling services, especially for hard-to-recycle plastic film and flexible packaging materials, which have reuse rates of less than 4% at present. Change in consumption by the population, along with the growing public concern about environmental effects and plastic pollution in water bodies and ecosystems, has made it even more urgent to increase the recycling facilities and services throughout the country.

The Canada government backs this market via several policies, such as the Zero Plastic Waste by 2030 initiative, single-use plastic bags, and recycled content regulations. Federal programs such as the Canadian Plastics Innovation Challenges have committed over C$25 million to research and development for upscaling recycling technologies. These Canadian plastic recycling market opportunities are further supported by sumptuous provincial Extended Producer Responsibility programs and increasing demand from the industry for recycled plastics.

Report Coverage

This research report categorizes the market for the Canada plastic recycling services market based on various segments and regions, and forecasts revenue growth and analyses trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the Canada plastic recycling services market. Recent market developments and competitive strategies, such as expansion, product launch, development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the Canada plastic recycling services market.

Driving Factors

The Canada plastic recycling services market is influenced by a number of factors, including increasing environmental awareness among the people, stringent government regulations such as the Zero Plastic Waste by 2030 initiative and EPR programs, an upsurge in industrial demand for recycled plastics, and technological advancements in recycling that allow for sustainable and efficient plastic recovery.

Restraining Factors

The Canada plastic recycling services market is restrained by several challenges. These include high operational and capital costs for recycling facilities and reduced profits due to competition with cheap virgin plastics, as well as contamination and quality issues in the collected plastic waste. Furthermore, the market growth is hindered by a lack of chemical recycling infrastructure, complicated regulatory compliance across different provinces, and the need for efficient consumer segregation.

Market Segmentation

The Canada plastic recycling services market share is classified into process and type.

• The mechanical recycling segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. 

The Canada plastic recycling services market is segmented by process into mechanical recycling and chemical recycling. Among these, the mechanical recycling segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. The mechanical recycling segment is growing because it is cost-effective, technologically mature, and widely implemented across Canada. Strong demand for recycled plastics from packaging and consumer goods industries, well-established collection and sorting systems, faster processing times, and supportive government policies promoting recycled content further drive the growth of mechanical recycling services.

• The plastic bottles segment dominated the market in 2024 and is anticipated to grow at a substantial CAGR during the forecast period.

The Canada plastic recycling services market is segmented by type into plastic bottles, plastic films, polymer foam, and others. Among these, the plastic bottles dominated the market in 2024 and are anticipated to grow at a substantial CAGR during the forecast period. The plastic bottles are growing because of high consumption of bottled beverages, widespread collection and deposit-return systems, and the high recyclability of PET bottles compared to other plastic types. Supportive government regulations, rising demand for recycled PET in packaging, and increasing consumer awareness about sustainability further drive the growth of this segment in Canada.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the Canada plastic recycling services market, along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborate analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• Greenwave Recycling Inc.
• Green City Plastics Inc.
• Reclaim Plastics
• Blue Planet Recycling
• Merlin Plastics
• RPM Environment Ltd.
• Pnewko Brothers Ltd.
• EcoTrade Solutions
• Berga Recycling Inc.
• Rene Sadi
• Van Wasteco
• 2M Ressources Inc.
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting and Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Market Segment

This study forecasts revenue at the Canada, regional, and country levels from 2020 to 2035. Spherical Insights has segmented the Canada plastic recycling services market based on the below-mentioned segments:

Canada Plastic Recycling Services Market, By Process

• Mechanical Recycling
• Chemical Recycling

Canada Plastic Recycling Services Market, By Type  

• Plastic Bottles
• Plastic Films
• Polymer Foam
• Others