Check out the following from the website of one of these recycling companies:
Plastic - We found an overseas market where we can sell plastics. All the plastics we collect are stored at our location. We use a baler to compact all the plastics into a cube and ship it overseas to recycle.
It's getting baled and shipped overseas... Yikes! What do you really know about what happens to this stuff? About 10 years ago, there was a Vancouver recycling company that was caught shredding plastic bottles and burying them under gravel road beds.
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