Fire crews were yesterday called to Greenway Polymers – formerly known as Johnson Aggregates & Recycling Ltd, Greenway Waste Recycling and Pink Skips – on Rock Road near the M54.
An investigation is underway to identify the cause as the Environment Agency continues to monitor the air quality.
Now the fire service has advised that two schools near the site; Meadows Primary, in Riddings Close, Ketley, and Newdale Primary, in Marlborough Way, should not open today.
Fire crews are expected to remain on site for a number of days. The brigade is urging nearby residents to keep doors and windows shut.
Highways England will monitor the motorway overnight and close if necessary with a diversion.
One lane of the M54 eastbound remains closed to traffic and there is no entry onto the motorway at Junction 6 near Wrekin Retail Park. Waterloo Road remains closed alongside the site of the fire.
The motorway will be closed eastbound between junctions 7 at Wellington and 5 at Telford on Tuesday night and on Wednesday between 9pm and 6am.
Meanwhile Telford & Wrekin Council is advising motorists to allow extra time for journeys due to a number of road closures in the area as a result of smoke in the vicinity.
The authority said cooler temperatures overnight will result in the smoke cloud dropping .
In addition council highways teams are working to minimise disruption on surrounding roads both on and near diversion routes. However, motorists should be aware of ongoing works on the A442 southbound from Trench Lock Interchange to Wombridge Interchange which is closed until May 6 with no access towards Telford town centre
There are temporary lights on A442 Shawbirch roundabout to Leegomery roundabout and on Castle Street/Trench Lock by the Lidl supermarket.
Telford & Wrekin Council this morning posted on Facebook: "Shropshire Fire and Rescue Service have advised that Meadows Primary School and Newdale Primary School need to close today following yesterday's fire.
More photos from the scene:
"Windows need to remain closed due smoke still in the atmosphere, therefore they cannot meet Covid ventilation restrictions.
"The schools are contacting their parents directly and will update accordingly."
Plumes of smoke were today still billowing from the premises near the M54 eastbound carriageway. The fire service said the incident is under control.
The incident continued to have knock-on effects on traffic in Telford, with Newport police tweeting: "Please note if travelling into Telford this morning, there are significant delays around Trench Lock interchange due to roadworks on the EP / A442 and also on the M54 due to the ongoing fire at Ketley."