Beneficial use of waste polymers is an important issue for environmental protection researchers. In this study, a brief summary has been presented for recycling methods of polyethylene terephthalate (PET) wastes. An economic pre‐feasibility study has been performed for the production of activated carbon from PET wastes. The proposed plant was used the physical activation process for the production of 10 000 t of activated carbon per year. The mass and energy balances and equipment designs of the process were performed using Aspen Plus 7.2 software. Asian countries have been selected as the location of this plant. The economic analysis of this plant for 2013 indicated that total capital investment and total production cost of plant were about $13 004 232 and $12 819 125, respectively. Using the economic criteria, the feasibility study of the project was conducted, and it was revealed that for a sale price of $1.7 per kg, minimum values of net present value ($418 486) and internal rate of return (15.33%) and the maximum value for payout period (25.44 years) have been reached. As it was expected, both net present value and internal rate of return increase by increasing sale price, while payout period decreases. This sensitivity analysis indicated that interest rate is the most effective parameter on net present value in each of the sale prices. © 2014 Curtin University of Technology and John Wiley & Sons, Ltd.