Improper management of plastics showed a significant impact on climate change and biodiversity loss. Around 400 million tonnes of plastic waste (PW) have been generated so far and are projected to be doubled by 2040. Despite having plastic management rules worldwide, only 12% of PW is recycled and reused and the remaining waste directly enters the terrestrial and aquatic environment, leading to plastic pollution. It is noted that ∼1.7 GT of greenhouse gases releases into the environment during the production and incineration stages of plastics, demonstrating a higher carbon footprint and leading to climate change. To overcome these issues, it is mandatory to curtail single-use plastics from everyday use and enhance the recycling option from the production to disposal stages, bringing circularity to the plastic industry. This paper recommends limiting the use of virgin plastics from fossil carbon and endorsing recycling and reusing PW as a secondary resource that can minimize the ∼3.0 kg CO2 emission per kg of plastics. Further, to promote a low-carbon economy in the plastic manufacturing process, the CO2 feedstock from fossil carbon can also be replaced by direct carbon capture and storage processes such as the power to x technology. This paper advocates setting up stepping milestones for a circular transformation in plastic industries that can reduce the carbon footprint by 25% and fulfill the target of the United Nations Sustainable Development Goals.