The new 12 acre development will take the companys footprint in the South Wales city to 36 acres, giving it the capacity to process in excess of 100,000 tonnes of WEEE per annum.
With partial funding from the Welsh Assembly Governments (WAG) Regional Selective Assistance Programme, it will cover all requirements of the WEEE Directive.
These include re-use and refurbishment, secure business to business asset management services, TV dismantling and processing, general WEEE recycling and downstream plastics separation.
Sims Recycling Solutions managing director Graham Davy said: This investment has been planned for some time and we are pleased that we are now finally able to implement our strategy since the Government has laid down the [WEEE] regulations.
This facility is a further demonstration of our commitment to best practice recycling both locally and nationally. It is great news, not only for Sims but also for Newport.
The WEEE Directive will play an important role in reducing the UKs landfill and carbon emissions footprint and this investment reflect Sims commitment to environmental stewardship.
WEEE regulations will be introduced in January 2007, with Sims Newport operations set to complement existing facilities in Scotland, England, Scandinavia, Benelux and Germany.
It will also extend the companys strong partnership with Associated British Ports which will offer it a package of infrastructure support.
WAG minister for enterprise, innovation and networks Andrew Davies said: This is an important investment both economically and environmentally and Im very pleased that my department has worked so closely with Sims to make sure this project went ahead in Newport in time for the new recycling legislation which becomes law next year.