Sika, Sulzer to Establish JV to Advance Plastics Recycling in Construction Industry

Circular Economy Sika, Sulzer to Establish JV to Advance Plastics Recycling in Construction Industry

2025-06-04 Source: Press release Sulzer 2 min Reading Time

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Under a MOU signed between Sika and Sulzer, both the companies will combine their expertise and work together to establish a joint venture in order to advance plastics recycling in the construction industry.

Image from left: The joint venture initiators Michael Schüepp, Head of Ventures at Sulzer, and Ivo Schädler, Head of Construction at Sika. Both companies are looking forward to jointly advancing the transformation of the construction industry towards greater sustainability.(Source: Sulzer) — Image from left: The joint venture initiators Michael Schüepp, Head of Ventures at Sulzer, and Ivo Schädler, Head of Construction at Sika. Both companies are looking forward to jointly advancing the transformation of the construction industry towards greater sustainability.
(Source: Sulzer)

Winterthur/Switzerland – Sika and Sulzer have signed a memorandum of understanding to establish a joint venture to advance plastics recycling in the construction industry. The aim is to combine the strengths of both companies: Sika's extensive expertise in polymer applications and high-performance building materials and Sulzer's leading process knowledge in chemical recycling. The joint venture, based in the Zurich area, will be founded as an independent company, with each partner holding a 50 percent stake. Operational activities will commence in the second half of 2025 with pilot projects in Germany, Austria and Switzerland.

Approximately two million tons of plastic waste are generated in the European construction industry alone each year. Currently, recycling these complex materials is highly fragmented, technically demanding, and often inefficient. As a result, the majority of construction plastics are disposed by the end of their lifecycle, since existing mechanical recycling methods produce low-quality materials that are not suitable for reuse.

With this joint venture, Sika and Sulzer are developing a system for the collection, processing and reuse of construction plastics using mechanical and chemical processes.

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Ivo Schädler, Head of Construction Sika: " This joint venture represents a significant milestone on our path toward greater sustainability and circularity in the construction industry. By converting waste into high-quality raw materials, the project helps reduce Scope 3 CO₂ emissions. At the same time, it supports companies in meeting increasing ESG standards and unlocking new value creation streams. Together, we are making a decisive contribution to the sustainable transformation of the construction industry, and thus to the future viability of the sector and our customers."

Michael Schüepp, Head of Ventures Sulzer: "The combination of Sulzer's and Sika's technologies is now paving the way for the construction industry to achieve a functioning circular economy and an even more sustainable future. We are supporting an important industry on its journey toward a more cost-effective, efficient and low-emission future."

The joint venture between Sika and Sulzer will close gaps in the value chain of the construction industry, and offer customers a comprehensive, cost-efficient service package. The offering will be complemented by local partners, such as logistics and recycling companies, which will be integrated into specific process steps. Recycled materials will thus be reincorporated into the manufacturing process.

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