Rethinking Pyrolysis: It’s not Dirty or Illegal.

Pyrolysis is often misunderstood as an unsafe process hidden deep in remote areas, associated with pollution and poor conditions. It was the stereotype in some places in the early days, and it hurt the growth of sustainable recycling in Vietnam, as that image is already outdated.

Why Hidden in the Jungle: The Old Way

1. Regulatory Grey Zone

Pyrolysis is an age-old concept that has been around for years, but it still lacks a clear definition and a consistent classification of its output. Is it a form of recycling, fuel production, or chemical manufacturing? Such ambiguity creates a regulatory gap that prevents operators from obtaining the right permits for their businesses.

Also, Tire Pyrolysis Oil (TPO) is neither fully classified as a fuel nor a chemical, since it can satisfy both criteria. In practice, across many Asian countries, it is mainly used as a low-cost burning fuel, which requires operators to obtain a Fuel Trading License — with specific conditions and policies if they want to engage in the import or export of such products.

2. Weak Pollution Controls

Low-cost, low-tech units without advanced emission control, of course, released smoke, odors, and carbon dust. Locating far from towns reduced complaints, but it never solved the pollution problem.

The lack of environmental awareness prevents them from doing so because the real cash is generated from the sales of pyrolysis output products.  Quick monetary gains blinded them.

3. Land & Cost Pressures

Industrial land comes with strict rules and high costs. Jungle plots are cheaper and easier to get. An advanced, compliant pyrolysis plant can cost up to USD 1 million. By comparison, basic pyrolysis machines from China sell online for USD 30,000–100,000.

4. Small, Fragmented Industry

Many early plants, operated by small entrepreneurs, used low-quality reactors. A few had the vision to scale up, but most stayed small and outdated, even scattered all over the place.  

Pyrolysis Redefined: Real Chemical Recycling

Modern pyrolysis is a controlled, clean, and regulated industrial process that transforms waste into valuable products, such as oil, recovered carbon black (rCB), and steel, while meeting stringent environmental standards.

The new standard plant setup is industrial, traceable, and licensed. It must include:

• Automation & Control Systems
• Optimized Efficiency & Output
• International Compliance & Quality Standards
• Real-time Monitoring & Predictive Maintenance
• Environmental Safety & Regulatory Assurance
• Flexible Feedstock Compatibility

Modern pyrolysis setups are now industrial, traceable, and licensed.

Global Policy Is Catching Up

Around the world, governments are finally calling pyrolysis what it is: chemical recycling.

The United States: 

Over 24 states now classify Pyrolysis as “Manufacturing”, not incineration. This definitely clears the stigma of “burning waste” and attracts more investment to innovate this technology, enabling easier permits.

At the federal level, however, the debate is ongoing. The Environmental Protection Agency (EPA) just issued an Advanced Notice of Proposed Rulemaking (ANPRM) to gather data on pyrolysis and gasification units. This is because there’s still confusion under the Clean Air Act (CAA) about whether or not the EPA should regulate these pyrolysis units as incinerators, manufacturers, or chemical recyclers.

Industry groups defend that pyrolysis is not combustion and recovers valuable feedstocks. Environmental groups counter that it should be regulated and enforced with stricter air pollution control rules.

The European Union: 

The EU and European Chemicals Agency (ECHA) already classify pyrolysis as a form of Chemical Recycling, allowing TPO to re-enter the petrochemical supply chain as circular feedstock.

Moreover, the TPO’s non-biogenic content is now officially treated as a Recycled Carbon Fuel (RCF) under the EU Renewable Energy Directive (RED II, Annex IX) and counted towards circular economy targets.

India: 

The Central Pollution Control Board has issued national SOPs for tire pyrolysis, covering siting rules, technology standards, emissions control, waste management, and worker safety.

When implemented the right way, pyrolysis isn’t a legal gray area anymore, it’s a recognized part of the circular economy.

DVA Renewable Energy: Proof It Works

Our partner, DVA Renewable Energy, has been in the industry for over 12 years. In early 2022, the new management team revamped the plant with new designs and technology upgrades.

• ISO certification (9001, 14001, 45001) for a fully integrated management system
• International sustainability accreditation (ISCC Plus & EU) to certify pyrolysis-derived products as “circular” materials.

Located in the Toc Tien Centralized Waste Treatment Zone, DVA annually processes 46,500 tons of end-of-life tires into TPO, rCB, and Steel Wires all within strict environmental limits.

In fact, the plant emits only 353 kg of CO2 when producing 1 ton of output product, verified by ISO 14064 & 14067 statements. This is significantly better than traditional waste disposal methods, such as landfilling & incineration, that release tons of toxic pollutants into our atmosphere.

Proud to be the first ISCC-certified pyrolysis plant in Vietnam, which hosted foreign firms & investors from Japan, Korea, France, the UK, the US & Singapore.

Of course, there are similar plants in Europe, India, Thailand, and the U.S. that are proving that pyrolysis can be both profitable and sustainable.

Time to Reset Perception, Restart the Industry

The real challenge is no longer technology; it’s reputation & regulations. We must separate professional, compliant plants from those still running low-tech, high-pollution setups.

If we keep judging the entire industry by its worst players, we risk slowing down a solution that can keep millions of tires out of landfills and replace fossil fuels in industry.

It’s time to break the cycle of negative perceptions. Join us in advocating for responsible, modern pyrolysis and supporting efforts to educate communities and policymakers. Let’s accelerate the transition to sustainable recycling together.

Pyrolysis isn’t the problem — it’s part of the solution.

The future of chemical recycling in Vietnam depends on it. Time to RETHINK.