AsianFin -- Ingka Group, the parent company of Swedish furniture giant IKEA, has invested in Shanghai-based Re-Mall Environmental Protection New Material, a recycler of consumer packaging waste, marking its first circular-economy investment in China amid ongoing rumors over the sale of Livat malls.

The investment, made through Ingka’s capital arm, will help Re-Mall expand its recycling capacity and develop new products, the Leiden-based company said in an announcement yesterday. The financial terms of the deal were not disclosed.

China, as one of the world’s largest plastic markets, plays a critical role in advancing circular-economy solutions, and Re-Mall is recognized as a leader in this field, Ingka noted. The company produces premium-grade recycled polypropylene, which is used in a wide range of products including storage boxes, containers, tableware, toys, cosmetics packaging, and woven textiles.