The company confirmed that the decision was made as a consequence of the “continuing difficult market conditions in plastic recycling”.
Since becoming part of the Veolia Group in Germany in 2017, the Bernburg site, with an annual capacity of around 70,000 tonnes, has been one of the largest plastics processing facilities in Europe.
Guido Adomßent, CEO of Veolia Umweltservice, explained the decision: “The high costs for processing plastic waste and persistently low prices for primary plastics have fundamentally impaired the profitability of these sites, which cannot be operated economically under the current conditions.”
The closure is amongst several shutdowns that have been reported this year.
On 1 August 2025, Viridor announced that it will be closing and decommissioning its mechanical recycling centre in Rochester, Kent due to “wider market challenges”.
This follows the closure of Biffa’s 39,000 pa tonne Sunderland plastics recycling plant earlier this year.
‘We remain committed to the circular economy.’
Following the closure, Veolia said the material flows will be diverted to other company sites, particularly in the Netherlands and France. Deliveries from Germany to these plants will be increased to better secure their capacity.
The decision will affect 122 employees, with the company stating it will “do everything possible” to support staff during the transition.
Veolia confirmed it will enter into negotiations with the relevant works council and explore opportunities to offer roles within other Veolia companies.
Looking ahead, Veolia said it will continue to grow its PET recycling operations in Norway, Sweden and Switzerland.
In July 2025, Veolia announced a £70 million investment to convert a disused industrial facility at Battlefield, near Shrewsbury, into a plastics sorting and recycling plant, set to process 80,000 tonnes of plastic each year.
The company is also investing in the digitalisation and efficiency of its facilities, and strengthening its collaboration with municipalities and industrial partners.
Adomßent added: “Despite this development, we remain committed to the circular economy.
“The sorting and pre-treatment of plastics, as well as grinding and trading, will continue to be a central part of our activities, as our sorting plants play an important role in the recycling chain.”
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