Saudi Arabia Recycled Plastics Market Forecast 2025-2033: Demand, Innovation, and Circular Economy Goals

Saudi Arabia Recycled Plastics Market Overview

Market Size in 2024: USD 406.4 Million

Market Size in 2033: USD 725.7 Million

Market Growth Rate 2025-2033: 6.18%

According to IMARC Group's latest research publication, "Saudi Arabia Recycled Plastics Market Size, Share, Trends and Forecast by Plastic Type, Application, Raw Material, and Region, 2025-2033", The Saudi Arabia recycled plastics market size reached USD 406.4 Million in 2024. Looking forward, IMARC Group expects the market to reach USD 725.7 Million by 2033, exhibiting a growth rate (CAGR) of 6.18% during 2025-2033.

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How AI is Reshaping the Future of Saudi Arabia Recycled Plastics Market

• AI-powered sorting machines in Saudi Arabia boost recycling efficiency by up to 25%, helping quickly separate plastics and reduce contamination, significantly improving recycled plastic quality.
• Saudi researchers at King Saud University are developing AI-designed biodegradable peptides to capture and break down microplastics, showing promise in environmental cleanup and water treatment applications.
• Digitization of plastic waste collection through AI algorithms, like those used by Plastic Bank Saudi Arabia, increases recycling rates by 25% by optimizing collection routes and tracking recyclable materials.
• AI-powered robotics and computer vision systems are transforming material recovery facilities, reducing landfill waste by automating and improving the precision of plastic sorting processes in Saudi cities.
• Government initiatives aligned with Vision 2030 promote AI integration in recycling infrastructure, helping scalable operations, reducing costs, and advancing the circular economy through smart waste management technology.

Saudi Arabia Recycled Plastics Market Trends & Drivers:

Government policy is playing a major role in bolstering Saudi Arabia’s recycled plastics market right now. Initiatives from the Saudi Ministry of Environment, Water and Agriculture and the Saudi Investment Recycling Company emphasize diverting plastic waste from landfills and integrating recycled materials into new product manufacturing. For instance, the National Waste Management Center aims to recycle 81% of municipal solid waste, pushing the adoption of recycled polymers by both local industry and multinationals operating in the kingdom. These regulatory signals are boosting investor confidence, and that’s rapidly scaling up local recycling capacity and collaborations with global packaging and FMCG players looking to meet their own environmental targets.

Private sector momentum is also picking up, especially with major players like SABIC and local converters investing in advanced sorting and mechanical recycling plants. There’s real traction in adopting closed-loop systems, with companies actively incorporating recycled content for packaging, construction, and consumer goods. Recently, partnerships enabling food-grade rPET and high-quality rPE are bringing more recycled products into mainstream supply chains. According to market analysts, Saudi Arabia’s domestic plastic recycling output has climbed above 900,000 tonnes per year, which is helping to reduce the import burden for virgin plastics and positions the sector as a strong contributor to national circular economy targets.

Sustainability demands from both global and local brands are creating noticeable momentum for the uptake of recycled plastics across industries. Fast-moving consumer goods, automotive, and retail companies are using recycled packaging not just for regulatory reasons, but also to win consumer trust and meet ESG commitments. Real-world applications now include eco-friendly bottles, recyclable food trays, and construction materials, with big FMCG and retail brands signing deals with Saudi recyclers to secure consistent supply of post-consumer resin. With Saudi Vision 2030 accelerating the circular economy agenda, the market is seeing double-digit growth in procurement contracts for high-grade recycled plastics, pushing recyclers to develop better quality standards and tracking mechanisms to reassure buyers.

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Saudi Arabia Recycled Plastics Industry Segmentation:

The report has segmented the market into the following categories:

Plastic Type Insights:

• Polyethylene Terephthalate (PET)
• High Density Polyethylene (HDPE)
• Polypropylene (PP)
• Low Density Polyethylene (LDPE)
• Others

Application Insights:

• Non-Food Contact Packaging
• Food Contact Packaging
• Construction
• Automotive
• Others

Raw Material Insights:

• Plastic Bottles
• Plastic Films
• Rigid Plastic and Foam
• Fibres
• Others

Regional Insights:

• Northern and Central Region
• Western Region
• Eastern Region
• Southern Region

Competitive Landscape:

The competitive landscape of the industry has also been examined along with the profiles of the key players.

Recent News and Developments in Saudi Arabia Recycled Plastics Market

• 2025 September: Saudi Arabia’s plastics economy shifts toward a more circular, digital, and decarbonized model with rising government regulations for sustainability.
• 2025 July: King Saud University researchers created AI-enabled biodegradable peptides that bind microplastics 34% more efficiently, advancing pollution control technology.
• 2025 May: Saudi Investment Recycling Company signed a $625 million MoU to develop advanced recycling and green energy infrastructure, supporting circular economy goals.

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