Sims takes $25m hit from discontinued circular plastics technology

The news: Metals recycling firm Sims said it will cease work to develop and commercialise plasma-assisted gasification technology for the processing of automotive shredder residue waste.

The numbers: Sims said closure-related costs are expected to total $4 million in the second half of fiscal 2025, alongside a non-cash write-off of $21 million.

The context: The company said it made the decision after undertaking a market assessment of the technical and commercial viability of the technology. It noted that while the circular plastics economy continues to evolve, it concluded that "current market conditions are not yet conductive to scaling the technology".