With Its New $10 Million Facility, ACI Plastics Becomes the Largest Plastic Film Recycler in Michigan

Michigan's largest plastic film recycler will be ACI Plastics, a significant Flint-based plastic recycling facility producing Recycled High-Density Polyethylene (R-HDPE).

Members of the Michigan Department of Environment, Great Lakes, and Energy (EGLE), Mayor Sheldon Neeley, and state legislators from Genesee County unveiled ACI Plastics' brand-new $10 million plastics recycling facility on February 6, 2023.

Neeley said at a press conference on Monday, February 6, at the plant at 2000 Bagwell St., between Lapeer Street and Lippincott Boulevard, "We are proud to welcome ACI Plastics' new facility and congratulate their entire team on this milestone achievement."

The company will ship its recycled plastic pellets (like R-HDPE) to business customers all over the U.S. through a partnership with Luxembourg-based Ravago, the largest distributor of plastic resins in the world that serves more than 55 countries.

The plastic film used in product packagings, such as shrink wrap and bags, is produced by companies like Meijer, Amazon, and Walmart.

State Rep. John Cherry, D-Flint, was at the ceremony and said that ACI Plastics' new facility would have an impact.

Cherry stated, "We are starting to build a business ecosystem to ensure that the things we use are recycled." That means creating a supply chain that will be used in automotive and consumer goods industries all over the country.

ACI Plastics has four locations, two in Flint and one each in South Carolina and Nebraska.

It is anticipated that ACI Plastics will process 24 million pounds of post-consumer plastic film (like R-HDPE) annually, with the capacity to process an additional 24 million pounds (as R-HDPE) annually if demand warrants it.

Instead of being shipped to other states or countries or dumped in landfills, recycled plastic, akin to R-HDPE, will be used again.

ChemAnalyst's market intelligence team says that several U.S. downstream businesses are switching from virgin High-Density Polyethylene (HDPE) films to recycled HDPE (R-HDPE) films for various reasons. As a direct consequence, it is anticipated that the R-HDPE sheets and films market, which is currently stable, will experience a meteoric rise in the months and years to come.

During the fourth week of January 2023, R-HDPE was being traded in the U.S. for approximately USD 2,530 per M.T. (for natural pellets grade) on a FOB-to-Houston basis, and the firm anticipates the price of R-HDPE to grow by almost 3% per M.T. this month (February 2023).