Why Japan's automakers are using more recycled plastics to build cars

Plastic pollution plays a significant role in fueling the ongoing environmental crisis. According to the Organization for Economic Co-operation and Development (OECD), global plastic production has surged from 234 million tonnes in 2000 to 435 million tonnes in 2020, with projections suggesting it could reach 736 million tonnes by 2040 if current trends continue.

Amidst the ongoing global efforts to combat plastic pollution, the European Commission (EC) amended the End-of-Life Vehicles (ELV) Directive in July 2023, requiring new vehicles to contain at least 25% recycled plastic by the early 2030s. One-quarter of the recycled plastic used must come from end-of-life vehicles.

In Japan, the Ministry of the Environment has set a target to double the use of recycled plastic by 2030. However, recycled plastic is still rarely used in vehicle manufacturing in the country. With the upcoming European regulations and potential requirements in other export markets, Japan has initiated public-private initiatives to incorporate recycled plastics into car production.

In November, the Japanese government launched the first Industry-Government-Academia Consortium for Developing a Market for Recycled Plastics in Automotive Applications. This initiative aims to align with EC’s updated ELV Directive, providing Japan a competitive edge in creating a strategic action plan.

The consortium brings together 10 organizations from various sectors across the supply chain, including plastic waste management, recycled material production and automotive manufacturing. To promote the use of recycled plastics in vehicle production, the group is analyzing challenges throughout the supply chain, emphasizing the importance of industry-wide collaboration, and exploring support measures to facilitate this transition.

According to the consortium's report (in Japanese), the automotive industry will require 250,000 tonnes of recycled plastic annually to meet the ELV Directive standards. Of this amount, approximately 63,000 tonnes are expected to come from end-of-life vehicles, with the remaining 187,000 tonnes sourced from other channels. Securing this volume poses a significant challenge for the automotive industry, which currently has limited access to recycled plastics.

The report (in Japanese) also highlights seven key challenges in developing a market for automotive recycled plastics. These include the lack of incentives for plastic recovery during the dismantling of end-of-life vehicles; the lower and less consistent quality of recycled materials compared to virgin plastics; and insufficient promotion of the value of recycled plastics. To address these issues, another consortium will be held by the end of FY2024 to review government and industry-wide policies aimed at strengthening the supply chain.

By fostering collaboration between the automotive and recycling industries — two sectors that typically have limited interactions with each other — the consortium is also expected to facilitate discussions on topics such as procurement and costs, ensuring fairness throughout the entire supply chain.

Leading car manufacturers, including Toyota, Mazda and Honda, have already started incorporating recycled plastics into their vehicles. In 2011, Mazda became the world’s first automaker to recycle scrap bumpers into bumpers for new cars, a practice it continues today. In 2023 alone, Mazda recycled 43,889 bumpers.

In addressing the challenge of ensuring the functional quality of recycled plastics, automakers are making progress through collaborations with material manufacturers. For example, in partnership with Sumitomo Chemical, Honda developed Noblen Meguri, a polypropylene-based recycled plastic that meets high standards for appearance and durability through advanced compounding technology. The material has been adopted for the front grille, a key visual component of its vehicles.

Similarly, Toyota has developed prototypes of parts made from recycled polypropylene as part of the Cabinet Office's Strategic Innovation Promotion Programme. These prototypes have successfully met the quality standards required for commercial adoption.

Despite growing calls for global action to reduce plastic waste, it hasn’t been easy to bring all the countries on the same page. The Intergovernmental Negotiating Committee in South Korea, for example, recently failed to reach an agreement on a draft for international plastics treaty. That is despite the opportunity this endeavor poses — the World Economic Forum’s report Circular Industry Solutions for a Global Plastics Treaty emphasizes that addressing plastic pollution is “not only an environmental necessity but also an economic opportunity,” calling for a shift in mindset toward sustainability.

Japan’s cross-industry collaboration in promoting recycled plastics for automotive manufacturing could serve as a global model. By demonstrating how partnerships between governments and industries can drive innovation and reduce plastic waste, Japan's approach could help accelerate the adoption of recycled plastics across the global automotive sector while advancing efforts to combat plastic pollution.