As per MRFR analysis, the China Used Cooking Oil Market Size was estimated at 0.98 (USD Billion) in 2023.The China Used Cooking Oil Market Industry is expected to grow from 1.05 (USD Billion) in 2024 to 2.05 (USD Billion) by 2035. The China Used Cooking Oil Market CAGR (growth rate) is expected to be around 6.287% during the forecast period (2025 - 2035).
Key China Used Cooking Oil Market Trends Highlighted
The Used Cooking Oil Market in China is experiencing notable trends driven by the need for sustainability and waste reduction. The increasing focus on environmental concerns has led to government policies promoting the recycling of used cooking oil into biodiesel, an initiative aligned with China’s efforts to combat pollution and foster a circular economy. This regulatory support acts as a key market driver, encouraging industries to adopt measures for converting waste oil into valuable resources rather than allowing it to contribute to environmental degradation. In recent times, the population's growing awareness of health issues linked to the consumption of processed oils has created a push towards better waste management practices.
People are becoming very attentive to where their cooking oils come from, leading to a greater demand for cooking oils that ensure safety and sustainability. This indicates an increase not only in demand for used cooking oil but also for responsibly sourced edible oils, as biodiesel and animal feed provide value. The possibility of further growth in this segment of the market is clear due to new technologies for oil collection and processing. Businesses are now putting more resources into collecting waste oil from restaurants and households because of the new possibilities for producing biodiesel and other green substitutes.
This focus not only addresses waste management but also supports the renewable energy sector, presenting a win-win scenario for businesses and the environment alike. As the market evolves, collaboration between governmental bodies and private sectors is essential to unlock further potential in this niche yet impactful segment of the economy.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
China Used Cooking Oil Market Drivers
Growing Demand for Biodiesel Production
The increasing demand for renewable energy sources, particularly biodiesel, is a crucial driver for the China Used Cooking Oil Market Industry. The Chinese government has set ambitious targets for renewable energy, aiming for at least 20% of total energy consumption to come from renewable sources by 2030. This shift has led to a focus on sustainable fuel alternatives such as biodiesel, which can be produced from used cooking oil.
According to a report from the Ministry of Ecology and Environment in China, the biofuel sector, which includes biodiesel production, is expected to grow steadily at an average rate of about 6% annually.
This growth is fueled by initiatives from various established organizations, such as the National Energy Administration, which promotes the use of biofuels. As a result, the demand for used cooking oil as a feedstock for biodiesel is projected to rise significantly, driving the growth of the China Used Cooking Oil Market.
Increasing Urbanization and Waste Generation
Urbanization in China has led to an increase in waste generation, including used cooking oil. As more people move to urban areas, especially in cities like Beijing and Shanghai, the consumption of cooking oil rises, resulting in higher volumes of waste cooking oil. According to the National Bureau of Statistics of China, urbanization rates are projected to exceed 60% by 2025.
With this increased urban dwelling, an estimated 8 billion liters of cooking oil are disposed of annually, which represents both a challenge and an opportunity for the China Used Cooking Oil Market Industry.The Ministry of Housing and Urban-Rural Development has initiated programs to collect and recycle used cooking oil, further promoting market growth.
Stringent Regulations on Waste Management
The Chinese government has implemented strict regulations regarding waste management and recycling, significantly impacting the China Used Cooking Oil Market Industry. Recent policies have focused on minimizing food waste and ensuring that used cooking oil is appropriately disposed of or recycled. For example, the Solid Waste Pollution Prevention and Control Law enforces penalties for improper disposal of waste cooking oil.
Additionally, the Ministry of Agriculture and Rural Affairs has started campaigns to promote the recycling of used cooking oil, which is linked to the reduction of health and environmental risks.These regulatory frameworks are expected to bolster the market as businesses and consumers look for compliant solutions for waste cooking oil management.
Consumer Awareness of Health Risks
Increasing consumer awareness of health risks associated with improper disposal and consumption of used cooking oil is driving demand for safe recycling practices in China Used Cooking Oil Market Industry. Reports from the China Food and Drug Administration indicate that improper use of recycled cooking oil may lead to health complications, including gastrointestinal diseases. As a result, the general public is becoming more informed and cautious about their food sources.
According to recent surveys, over 70% of urban consumers are willing to pay a premium for products derived from properly recycled cooking oil. This shift in consumer behavior encourages companies to participate in responsible recycling practices, spurring growth in the used cooking oil market.
China Used Cooking Oil Market Segment Insights
Used Cooking Oil Market Source Insights
The China Used Cooking Oil Market, driven by various sources, is experiencing notable changes as it evolves among different segments. Food Manufacturers play a crucial role as they generate large quantities of used cooking oil during food production processes. As health and environmental awareness increases among consumers, manufacturers are increasingly prioritizing sustainable practices, making the recycling and repurposing of used cooking oil a vital component of their operational strategies. The HoReCa (Hotels, Restaurants, and Catering) segment significantly impacts the landscape as it is characterized by high consumption rates and the large-scale production of waste oils.
This sector is focusing on improving waste management processes by channeling used cooking oil into biodiesel production and other useful applications, thereby aligning with governmental regulations aimed at sustainability. The Household segment contributes to the market’s dynamics since homes generate substantial amounts of used cooking oil from cooking activities. Residential consumers are becoming more conscious of proper disposal methods, thereby opening up avenues for recycling initiatives. As a result, households are increasingly participating in oil collection programs, supporting community efforts aimed at reducing pollution.
The Others segment encompasses a variety of smaller sources, including food trucks and street vendors, which are also significant contributors to the overall used cooking oil supply chain. Each of these segments presents opportunities for growth and innovation within the China Used Cooking Oil Market as the country's regulatory framework and public sentiment shift towards sustainability and the circular economy. Furthermore, these segments collectively represent a diverse range of practices, with increasing collaboration between stakeholders to enhance used cooking oil management and promote its potential as a valuable resource in an ever-evolving energy market.
Collectively, these insights into the Source segment showcase the complexity and potential of the China Used Cooking Oil Market, underscoring its importance not only for waste management but also for supporting the renewable energy landscape in China.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Used Cooking Oil Market Application Insights
The Application segment of the China Used Cooking Oil Market plays a crucial role in determining market dynamics and growth potential. This segment is characterized by diverse applications, including Biodiesel, Oleochemical Products, Animal Feed, and others, each contributing uniquely to the industry. Biodiesel has gained significant traction as a sustainable alternative fuel, aligning with governmental policies aimed at reducing carbon emissions and promoting renewable energy sources. The oleochemical products segment showcases the versatility of used cooking oil in producing various chemicals used in soaps, detergents, and cosmetics.
Similarly, animal feed applications benefit from the nutritional value derived from treated used cooking oil, supporting livestock growth and health. As environmental regulations tighten and consumer awareness increases, the demand for recycled products across these applications continues to expand. This trend, combined with the growing emphasis on sustainability in China, enhances the importance of the Application segment, paving the way for innovation and investment in the future. Overall, the Application segment encapsulates the diverse opportunities within the China Used Cooking Oil Market, contributing to a circular economy and fostering responsible consumption.
China Used Cooking Oil Market Key Players and Competitive Insights
The China Used Cooking Oil Market has emerged as a vital segment within the larger environmental and waste management industry, driven by increasing awareness of the environmental impact of improper disposal practices and the growing demand for sustainable resource utilization. As the concerns regarding food safety and waste-related pollution escalate, the recovery of used cooking oil for use in biodiesel production and other applications offers both economic advantages and environmental benefits.
Several players are actively participating in this market, leveraging technological innovations, regulatory changes, and consumer trends to establish a strong presence and competitive edge. This competitive landscape is characterized by a mix of established corporations, regional players, and innovative startups, all playing pivotal roles in the evolution and expansion of the market.
China National Petroleum Corporation has established itself as a formidable player in the China Used Cooking Oil Market, primarily through its extensive infrastructure and resource network. The company’s strengths lie in its vast capabilities in refining and processing, allowing it to efficiently convert used cooking oils into high-quality biodiesel and other value-added products. With a significant market presence backed by comprehensive research and development initiatives, the corporation has effectively harnessed advanced technologies for oil recovery and purification.
Additionally, China National Petroleum Corporation has fostered collaboration with local governments and environmental agencies to promote sustainable practices, which have further bolstered its reputation in the market. This strategic positioning has enabled the company to address the increasing regulatory demands for waste management and oil recycling, thus enhancing its market share and operational efficiency.
Hangzhou Yuhua Environmental Protection has carved a niche for itself in the China Used Cooking Oil Market with its commitment to environmentally friendly practices and innovative solutions. The company offers a range of services encompassing the collection, processing, and conversion of used cooking oil into biodiesel, animal feed additives, and other eco-friendly products. Its strengths lie in its strong local partnerships and robust supply chain management, which ensure a reliable source of raw materials while minimizing waste. As part of its growth strategy, Hangzhou Yuhua Environmental Protection has engaged in several strategic alliances and collaborations that bolster its market position, including mergers and acquisitions that expand its operational capacity and reach.
The company is recognized for its emphasis on research and development, continually enhancing its processing technologies to improve efficiency and product quality. This focus on innovation and sustainability resonates well with the increasing awareness among consumers and industries regarding environmental protection, thus facilitating the company’s growth trajectory within the competitive landscape of China Used Cooking Oil Market.
Key Companies in the China Used Cooking Oil Market Include
China Used Cooking Oil Market Industry Developments
In recent months, the China Used Cooking Oil Market has seen significant developments. Companies such as China National Petroleum Corporation and Sinopec are increasingly investing in technologies for refining used cooking oil into biodiesel, enhancing sustainability efforts in the energy sector. Hangzhou Yuhua Environmental Protection continues to expand its operations, focusing on environmental compliance and grease recycling processes, which are vital as regulations tighten around waste disposal. Recently, Nanjing Luhua Biotechnology announced an increase in its production capacity to meet the rising demand for biodiesel from used cooking oil, reflecting robust market growth.
Moreover, in October 2023, Beijing Zhenhua Oil expanded its footprint through a strategic partnership with Zhengzhou Zhongxin Chemical, aimed at enhancing production efficiency and market reach. Companies like Shenzhen Fuhua Bioengineering and Guangzhou Jihua Environmental Protection have been actively improving their waste-to-energy conversion technologies. Additionally, the past two years have highlighted shifts toward more sustainable practices in the industry, prompting firms such as Hunan Yihuan Bioenergy to innovate in bioenergy solutions and waste management practices, further boosting market dynamics.
Used Cooking Oil Market Segmentation Insights
Used Cooking Oil Market Application Outlook
Biodiesel
Oleochemical Products
Animal Feed
Others
| Report Attribute/Metric | Details |
| Market Size 2023 | 0.98 (USD Billion) |
| Market Size 2024 | 1.05 (USD Billion) |
| Market Size 2035 | 2.05 (USD Billion) |
| Compound Annual Growth Rate (CAGR) | 6.287% (2025 - 2035) |
| Report Coverage | Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year | 2024 |
| Market Forecast Period | 2025 - 2035 |
| Historical Data | 2019 - 2024 |
| Market Forecast Units | USD Billion |
| Key Companies Profiled | China National Petroleum Corporation, Hangzhou Yuhua Environmental Protection, Nanjing Luhua Biotechnology, China National Chemical Corporation, Xiamen Ecoman Technology, Sinopec, Grease Recycling, Beijing Zhenhua Oil, Shandong Longda Oil, Guangzhou Jihua Environmental Protection, Jiangsu Greet New Energy, Zhengzhou Zhongxin Chemical, Shenzhen Fuhua Bioengineering, Biodiesel Technologies, Hunan Yihuan Bioenergy |
| Segments Covered | Source, Application |
| Key Market Opportunities | Biodiesel production expansion, Sustainable waste management solutions, Food safety regulations enforcement, Bio-based lubricant innovations, Increased consumer awareness campaigns |
| Key Market Dynamics | Growing demand for biodiesel, increasing regulatory scrutiny, rising health concerns, competition with alternative oils, waste collection infrastructure expansion |
| Countries Covered | China |
Frequently Asked Questions (FAQ) :
The China Used Cooking Oil Market is expected to be valued at 1.05 USD Billion in 2024.
By 2035, the China Used Cooking Oil Market is expected to reach a valuation of 2.05 USD Billion.
The expected CAGR for the China Used Cooking Oil Market from 2025 to 2035 is 6.287%.
In 2024, the Food Manufacturers segment holds the largest market share, valued at 0.42 USD Billion.
The HoReCa segment is projected to grow from 0.3 USD Billion in 2024 to 0.59 USD Billion by 2035.
Major players in the market include China National Petroleum Corporation, Hangzhou Yuhua Environmental Protection, and Nanjing Luhua Biotechnology.
The Household segment is expected to reach a market size of 0.39 USD Billion by 2035.
The market presents significant growth opportunities driven by increasing awareness of environmental sustainability and recycling practices.
The Others segment is anticipated to be valued at 0.13 USD Billion in 2024.
The competitive landscape is marked by diverse players, including Sinopec and Shenzhen Fuhua Bioengineering, which contribute to a dynamic market environment.
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Senior Research Analyst I have a bachelor's degree in mechanical engineering and an mba. i have more than two years of expertise in the retail, food, and beverage, chemical, and material industries, and hence have developed a sound cross-domain expertise. a firm believer in lifelong learning and sharing of knowledge. having a proclivity for hatching ideas and trying to absorb as much information as possible in a short amount of time. introducing corporates to the data and insight, which enables them to move from probability to possibility, has been my key areas of interest.Â
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