Southern Cone

Chile

Chile generates about 140,000 tonnes of end-of-life tires a year, and when the tire decree was published only about 17% were managed in an environmentally sound way. Municipal waste exceeds 9 million t/yr; about 95% of household waste goes to landfills or dumps, and effective recycling is below 5%. Mining produces a distinct stream of giant OTR tires whose REP target jumps to 75% in 2027.

Regulatory framework

The rules that shape the business

Ley 20.920 2016 In force

Ley Marco para la Gestión de Residuos, la Responsabilidad Extendida del Productor y Fomento al Reciclaje (Ley REP)

Framework law published 1 June 2016 creating Extended Producer Responsibility for six priority products (including tires and packaging); targets are set by supreme decree per product.

View regulation · economiacircular.mma.gob.cl
Decreto Supremo 8/2019 (MMA) 2019 In force

Decreto que establece metas de recolección y valorización y otras obligaciones asociadas de neumáticos

Sets targets for tire importers/producers. Category A (rim < 57", except 45/49/51"): 50% collection and 25% valorization in 2023, rising to 80%/60% in year 4 (2026) and 90%/90% in year 8 (2030). Category B (mining tires: 45, 49, 51 and ≥57" rims): 25% valorization in 2023, 75% in 2027 and 100% in 2030.

View regulation · carey.cl
Decreto Supremo 12 (MMA) 2021 In force

Decreto de metas para envases y embalajes (Ley REP)

Sets collection and valorization targets for packaging, including plastics; the Ministry approved 9 packaging management systems in 2023.

View regulation · prieto.cl
Ley 21.368 (modificada por Ley 21.691) 2021 In force

Ley que limita la generación de productos desechables y regula los plásticos de un solo uso

Published 13 Aug 2021; regulates single-use plastics and plastic bottles. Law 21.691 (2024) extended the single-use obligations to 13 Feb 2026.

View regulation · cuatrecasas.com
Decreto Supremo 29/2013 (MMA) 2013 In force

Norma de emisión para incineración, coincineración y coprocesamiento

Published 12 Sep 2013 (repeals DS 45/2007); sets emission limits (PM, CO, SO2, NOx, TOC, dioxins/furans as TEQ), and its definition of incineration covers combustion of gases produced by pyrolysis or gasification.

View regulation · mma.gob.cl
Ley 20.780, art. 8 (mod. Ley 21.210) 2014 In force

Impuesto verde a fuentes fijas (art. 8), modificado por Ley 21.210

Taxes facilities emitting ≥100 t/yr of PM or ≥25,000 t/yr of CO2; the base CO2 rate is US$5 per tonne. Law 21.210 (2020) allowed emissions to be offset with reduction projects.

View regulation · carey.cl
Decreto Supremo 4/2023 (MMA) 2023 In force

Reglamento del Sistema de Compensación de Emisiones del impuesto verde

Lets green-tax payers offset PM, NOx, SO2 and CO2 with certified reduction projects for the same pollutant.

View regulation · carey.cl
Ley 20.698 2013 In force

Ley 20/25 de Energías Renovables No Convencionales

Requires companies withdrawing power from systems above 200 MW to source 20% from non-conventional renewables by 2025 (biomass qualifies).

View regulation · energias-renovables.com

Context

The residue, in figures

~140.000 t/yr (~6,6 million de tires sold/yr)

End-of-life tires generated

2021 · elmostrador.cl

~17%

ELTs managed in an environmentally sound way (pre-REP)

2021 · mch.cl

80% collection / 60% recovery

REP tire targets, category A, in 2026 (year 4)

2026 · carey.cl

>9 million t/yr

Municipal solid waste

2026 · cpichile.org

~95% (effective recycling <5%)

Household waste to landfills or dumps

2026 · cpichile.org

103 (34)

Final disposal sites (of which sanitary landfills)

2026 · cpichile.org

14

Tire management systems approved by the Ministry

2023 · prieto.cl

Incentives

The green tax (US$5/t CO2; also levied on PM, NOx and SO2) has allowed offsets through certified reduction projects since 29 Sep 2023 (DS 4/2023), which gives value to projects that displace fossil fuels or avoid emissions. The REP law makes producers fund tire valorization, creating paid demand for treatment. In 2024 Congress debated a temporary green-tax surcharge on power generators (excluding biomass); whether it was finally enacted is not verified.

Recommended solution

Which technology fits Chile

Priority feedstock
Category A end-of-life tires and mining OTR tires (category B); as a complement, forestry residues for biochar.
Why
The REP targets in force (80% collection and 60% valorization in 2026; 75% for mining tires from 2027) exceed installed treatment capacity, and pyrolysis turns tires into recovered carbon black, oil and steel.

Sources consulted

Reference information compiled from public sources as of October 2026. It is not legal advice; confirm each regulation is current before making decisions.

Verification level: High

  1. economiacircular.mma.gob.cl
  2. carey.cl
  3. elmostrador.cl
  4. mch.cl
  5. reporteminero.cl
  6. prieto.cl
  7. cuatrecasas.com
  8. mma.gob.cl
  9. carey.cl
  10. cuatrecasas.com
  11. diarioconstitucional.cl
  12. energias-renovables.com
  13. repositorio.uchile.cl
  14. cpichile.org

Other countries in the region

Projects and proposals

Tell us what residue you have and what you want to obtain.

With the material type, available volume and location we prepare a preliminary technical assessment and the plant scope.