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SiYE Interview - Trex Makes Circularity Work

SiYE Interview - Trex Makes Circularity Work

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Less than 2% of Americans can put plastic film in their curbside recycling bin, according to The Recycling Partnership. Meanwhile, the country generates millions of pounds of bags, pallet wrap, bubble mailers, and dry cleaner sleeves every year that machinery at materials recovery facilities is designed to reject. The plastic film problem has been the recycling industry's white whale for three decades — too contaminated for most processors, too light for most economics. But more than 30 years ago, Trex Company, then a small operation in the Shenandoah Valley of Virginia, decided to build its supply chain around exactly this material. By the end of 2024, Trex had upcycled more than 5.5 billion pounds of waste plastic film into composite decking and had become one of the largest plastic film recyclers in North America. On this episode of Sustainability In Your Ear, Amy Fernandez, Chief Legal and Sustainability Officer, and Zachary Lauer, Chief Operations Officer at Trex, discuss how the company designs an entire manufacturing process around feedstock variability, why Trex indexed its 2024 sustainability report to IFRS standards before any US regulator required it, and what has to happen for old Trex decks to become new Trex decks.

Most manufacturers spend their engineering effort narrowing input tolerances. Trex went the other direction. Zach described thousands of recipes the production lines can run through, swapping between cleaner stretch film one day and heavily contaminated industrial trimmings the next. Artificial intelligence reads each feedstock stream in real time and adjusts extrusion temperatures and line speeds to keep the finished board within specification. In 2024, the company sourced over 1 billion pounds of reclaimed PE film and wood scrap, including 377 million pounds of waste plastic, through a national collection network of more than 10,000 retail drop-off locations and hundreds of school and community partners enrolled in its NexTrex program. The company is also preparing for the first generation of Trex decks, which are reaching replacement age, and its manufacturing lines can reabsorb the company's own boards. The recycling bottleneck is contractors pulling up old decks who don't want to sort screws from boards. Underneath all of it is a point worth lingering on: Trex's poly feedstock isn't priced off a barrel of crude, which means in a period of reshoring, tariff volatility, and oil-market disruption, recycled supply chains are structurally more stable than virgin ones, not less.

To find out more about Trex and its sustainability work, visit trex.com. The 2024 Sustainability Report is available on the company's investor relations site.
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