Sofia Martinez
Plastic waste is a pressing human health and environmental concern, constituting the third-highest waste source globally. Since 2017, Malaysia has been the world's largest importer of plastic waste, and the country is now taking steps to tackle this issue. This includes returning hundreds of containers of illegal plastic waste to their countries of origin, shutting down illegal recycling factories, and developing a Circular Economy Roadmap to combat plastic waste nationally. Malaysia's recycling industry is fairly developed, producing 1.5 million tonnes of recycled resins annually, but the country recycled just 24% of key plastic resins in 2019. While the Malaysian government encourages local plastic waste recycling through the Malaysian Investment Development Authority (MIDA), the country faces various systemic and market challenges in meeting its plastic recycling targets.
| Characteristics | Values |
|---|---|
| Plastic waste in Malaysia | Third highest source of waste in the country |
| Plastic waste globally | Third highest source of waste |
| Malaysia's plastic waste import status | World's largest importer of plastic waste since 2017 |
| Malaysia's plastic recycling status | Only 24% of key plastic resins were recycled in 2019 |
| Malaysia's recycling target | 40% by 2025 |
| Malaysia's recycling industry | Produces 1.5 million tonnes of recycled resins a year |
| Worth of Malaysia's recycling industry | RM 4.5 billion (USD$1.25 billion) in revenue |
| Malaysia's plastic waste export status | Sent back 267 containers of illegal plastic waste to their countries of origin since 2019 |
| Malaysia's plastic waste management | Decentralised |
| Malaysia's plastic waste collection | Supported by the majority of states and territories |
| Malaysia's plastic recycling capacity | Gaps in domestic recycling capacity |
| Malaysia's plastic recycling challenges | Lack of local demand for recycled plastics, small investments in the plastic recycling industry, low-quality recyclables |
| Malaysia's plastic waste sources | Domestic consumption of single-use plastics, imports from other countries |
| Malaysia's plastic recycling incentives | Pioneer Status (PS) or Investment Tax Allowance (ITA) |
| Malaysia's plastic recycling projects | 55 projects with total investments of RM 199.5 million as of December 2018 |
| Malaysia's plastic recycling jobs | 3,341 jobs created by the 55 projects |
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What You'll Learn
Plastic waste management
The Malaysian recycling industry is relatively advanced, generating 1.5 million tonnes of recycled resins annually, valued at approximately RM 4.5 billion (USD$1.125 billion). High-value rigid mono-materials like PET and High-Density Polyethylene (HDPE) have a robust recycling market in Malaysia due to their ease of collection and higher weight and value per piece. Polypropylene is also widely recycled, including food packaging and non-packaging items. However, the country recycled only 24% of key plastic resins in 2019, falling short of its National Solid Waste Management Department (JPSPN) target of 40% by 2025.
Malaysia's plastic waste management system faces several challenges. Firstly, there is a lack of systematic separation and recycling for low-value and hard-to-recycle post-consumer packaging that often ends up mixed with general waste, especially food waste. Secondly, the country's waste management system has been inefficient in keeping up with the rising plastic and packaging waste generation. Thirdly, there is a need for better product and packaging designs, improved collection and sorting systems, and enhanced recycling infrastructure to transition to a circular economy.
To address these challenges, the Malaysian government has proposed an Extended Producer Responsibility (EPR) scheme to increase producer responsibility for packaging design with reduced material usage and improved recyclability. Corporate innovations, combined with taxes and subsidies, can also help discourage problematic flimsy and hard-to-recycle plastics. Additionally, Malaysia is working towards developing established national waste collection criteria and standards, with the Malaysian Investment Development Authority (MIDA) offering incentives like Pioneer Status (PS) and Investment Tax Allowance (ITA) to promote sustainable waste management practices.
Public awareness and individual actions are also crucial in plastic waste management. Malaysians are encouraged to reduce, reuse, and recycle plastics. By separating waste and using designated recycle bins, individuals can play a part in improving the situation. However, the success of recycling depends on market demand, government policies, and the availability of recycling facilities. Therefore, a holistic approach involving various stakeholders is necessary to effectively manage plastic waste in Malaysia.
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Plastic recycling industry
Plastic waste is one of the world's most pressing human health and environmental concerns. Plastic is the third-highest waste source globally, and Malaysia has been the world's largest importer of plastic waste since 2017.
The Malaysian recycling industry is fairly developed, producing 1.5 million tonnes of recycled resins a year, worth approximately RM 4.5 billion (USD$1.125 billion) in revenue. High-value rigid mono-materials such as PET and High-Density Polyethylene (HDPE) have a strong existing recycling market in Malaysia as they are easier to collect and have a higher weight and value per piece. Polypropylene has a wider range of accepted materials for recycling, including food packaging, takeaway food containers, and non-packaging items.
However, Malaysia's landfills are overflowing with low-value plastic packaging and sachets. The country's expanding takeaway food culture has accelerated the domestic plastic packaging generation. A simple meal of takeaway noodles can contain up to six different single-use plastics, which often cannot be recycled because they are made of flimsy, low-quality plastic and are contaminated by food residue. There is no systematic separation and recycling for low-value and hard-to-recycle post-consumer packaging that is highly contaminated as it gets mixed with general waste.
The Malaysian government has recognized the need to create an EPR scheme to demand greater responsibility from producers to improve packaging designs with less material and higher recyclability, and to support waste collection and separation. The government is also taking steps to prevent Malaysia from becoming a dumping ground for plastic waste from other countries. In 2019, the authorities shut down 170 illegal recycling factories and began returning containers of illegal plastic waste to their countries of origin.
Malaysia recycled just 24% of key plastic resins in 2019 and is not on track to meet the National Solid Waste Management Department's (JPSPN) recycling target of 40% by 2025. Several structural challenges cause a market failure for plastics recycling, including a lack of local demand for recycled plastics, gaps in domestic recycling capacities, and low-quality recyclables due to a lack of "design for recycling" standards.
However, there are also opportunities for scaling up recycling efforts. The Malaysian Investment Development Authority (MIDA) offers incentives such as Pioneer Status (PS) or Investment Tax Allowance (ITA) to encourage sustainable waste management practices. As of December 2018, 55 plastics recycling projects were in operation, creating 3,341 jobs in the country. With global demand for plastic products increasing, Malaysia can support the creation of a functioning market for recycled and sustainable plastics.
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Plastic waste imports
Malaysia has been the world's largest importer of plastic waste since 2017. In 2023, it received shipments of more than 405,000 metric tons of plastic waste from around the world. The United States was the largest exporter, with shipments of over 100,000 metric tons, followed by Germany, with around 50,000 metric tons. Malaysia remains the second-largest importer of plastic waste from the EU, with one-fifth of the EU's plastic, paper, and glass waste destined for the country's dumps.
Malaysia became a top recipient of global plastic waste after China banned plastic waste imports in 2018. The Malaysian government has stated its intention to reduce waste imports, but it has not formally banned them. Instead, the government continues to allow plastic waste imports due to economic reasons and demand from the local recycling industry. However, much of the imported plastic is either non-recyclable or contaminated, ultimately ending up in landfills or incineration.
The country's waste management system faces significant challenges due to the large volume of waste imports. There is a lack of systematic separation and recycling for low-value and hard-to-recycle plastics, which often end up mixed with general waste, especially food waste. The Malaysian government has recognized the need to implement an Extended Producer Responsibility (EPR) scheme to improve packaging designs and enhance waste collection and separation.
To address the issue of plastic waste imports, the EU has agreed to ban plastic waste exports to non-OECD countries, including Malaysia, starting in mid-2026. This measure aims to prevent materials like plastics from being sent to countries that cannot properly treat them. However, critics argue that the EU is increasing the amount of plastic waste shipped to Asia before the ban takes effect.
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Plastic waste exports
Malaysia has emerged as a global hub for plastic waste exports, with Japan being the top exporter of such rubbish. Since China banned solid waste imports in 2018, Malaysia has become an international hub for such waste. The country is the world's second-largest dumping ground for plastic waste from the European Union. In 2023, Japan exported 21.7 million kg of plastic waste per month to Malaysia. The EU exported 8.5 million tonnes of paper, plastic, and glass to other countries in 2023, with just over a fifth of it destined for dumps in Malaysia.
Malaysia's landfills are overflowing with low-value plastic packaging and sachets. The country's expanding takeaway food culture has accelerated the domestic plastic packaging generation. A simple meal of takeaway noodles can contain up to six different single-use plastics. The takeaway packaging and other carry-out boxes made of styrofoam or flexible plastic generally cannot be recycled because they are made of flimsy, low-quality plastic and are contaminated by food residue.
The Malaysian recycling industry is fairly developed, producing 1.5 million tonnes of recycled resins a year, worth approximately RM 4.5 billion (USD$1.125 billion) in revenue. High-value rigid mono-materials such as PET and High-Density Polyethylene (HDPE) have a strong existing recycling market in Malaysia as they are easier to collect and have a higher weight and value per piece. Polypropylene has a wider range of accepted materials for recycling, including clear and coloured packaging of food, takeaway food containers, and non-packaging items.
However, there is no systematic separation and recycling for low-value and hard-to-recycle post-consumer packaging that is often highly contaminated as it gets mixed with general waste, especially food. The Malaysian government has recognized the need to create an EPR scheme to demand greater responsibility from producers to improve packaging designs with less material and higher recyclability, and to support waste collection and separation.
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Plastic waste reduction
Plastic waste is a pressing human health and environmental concern, constituting the third-highest waste source globally. Malaysia has been the world's largest importer of plastic waste since 2017. The country has become a top destination for global plastic waste shipments after China banned plastic waste imports in 2018.
Malaysia's landfills are overflowing with low-value plastic packaging and sachets, with the country's expanding takeaway food culture contributing significantly to this waste stream. The linear waste path, from production to consumer to landfill, incineration, or litter, needs to be transformed into a circular economy.
To address the plastic waste problem, Malaysia is developing a Circular Economy Roadmap to combat mismanaged plastic waste. The country is also implementing initiatives to improve packaging designs, reduce material usage, and enhance recyclability. The Malaysian recycling industry produces 1.5 million tonnes of recycled resins annually, valued at approximately RM 4.5 billion (USD$1.125 billion). High-value rigid mono-materials like PET and High-Density Polyethylene (HDPE) have a strong existing recycling market in Malaysia due to their higher weight and value per piece.
However, challenges remain, including the lack of local demand for recycled plastics and gaps in domestic recycling capacities. The government has taken steps to prevent Malaysia from becoming a dumping ground for foreign plastic waste, returning hundreds of containers of illegal plastic waste to their countries of origin.
To reduce plastic waste, individuals can play a role by reducing their plastic consumption and properly separating and recycling waste. Developing a sustainable lifestyle is crucial to tackling the pressing issue of plastic pollution.
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Frequently asked questions
Malaysia is one of the world's largest importers of plastic waste and has a fairly developed recycling industry, producing 1.5 million tonnes of recycled resins a year. However, it is not on track to meet its National Solid Waste Management Department's (JPSPN) target of recycling 40% of plastic resins by 2025.
There are several challenges to plastic recycling in Malaysia. The country's landfills are overflowing with low-value plastic packaging and sachets from takeaway food, which often cannot be recycled due to contamination by food residue. There is also a lack of systematic separation and recycling for low-value and hard-to-recycle plastics, which end up in landfills.
Malaysia has recognised the need to transition to a circular economy and is developing a Circular Economy Roadmap to combat mismanaged plastic waste. The government is also taking steps to reduce the importation of plastic waste, sending back hundreds of containers of illegal plastic waste to their countries of origin.
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