Recycled Plastic Market Analysis

Global Recycled Plastic Market Overview

Recycled Plastic Market Size was valued at USD 69.1 Billion in 2022. The Recycled Plastic industry is projected to grow from USD 74.9 Billion in 2023 to USD 143.9 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 8.5% during the forecast period (2023 - 2032). Increasing the use of plastic in the manufacturing of lightweight components utilized in many different industries, such as automotive, electrical & electronics, and other industries, are the key market driver enhancing the market growth.

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Recycled Plastic Market Trends

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  Increasing plastic consumption in the production of light weight components which are used in various industries is driving the market growth

  
  

The market for recycled plastic is significantly driven by the rising plastic consumption in the manufacture of lightweight components. Several sectors, including the automotive, aerospace, electronics, and packaging industries, have seen an increase in the need for lightweight materials. The unique qualities and affordability of plastic have made it the material of choice in this movement, which is being fueled by a number of factors.

Comparing traditional materials like metal or glass to plastics reveals that the latter have a substantially lower density. Due to their ability to produce lighter and more fuel-efficient goods, this attribute makes them perfect for applications where weight reduction is essential. For instance, in the automobile sector, lighter vehicles have better fuel efficiency and lower pollutants. These goals are assisted by plastic components, such as lightweight interior and body panels. Plastics have a low density and a great strength-to-weight ratio. They can be constructed to preserve minimal weight while having great stiffness and strength. Manufacturers may create lightweight components that adhere to the necessary structural integrity and performance standards because to this combination of features. For instance, the use of plastic composites in aeroplane interiors and other non-structural parts of the aerospace sector helps reduce overall weight without sacrificing usefulness or safety.

The adaptability and processing simplicity of plastic also contribute to its rising use in the manufacture of lightweight components. Plastics may be moulded into precise shapes, opening up the possibility of elaborate designs and customizability. They are excellent for a variety of applications thanks to their flexibility, including sophisticated electrical enclosures and intricate interior vehicle elements. Plastics can be moulded, cut, and joined with ease, which facilitates effective manufacturing processes and lowers production costs. The corrosion resistance of plastic is a further factor in its application in lightweight components. Materials that can survive extreme environments without degrading are needed in many industries, including the automotive and construction sectors. Because they are naturally resistant to corrosion, plastics are a desirable material for applications that must withstand moisture, harsh chemicals, or extremely high or low temperatures. Plastics are used in lightweight components by manufacturers to increase product lifespan and lower maintenance and replacement costs. Thus, driving the Recycled Plastic Market revenue.

Recycled Plastic Market Segment Insights

Recycled Plastic Market Source Insights

The Recycled Plastic Market segmentation, based on source includes Bottles, films, foams, fibres, and other materials. With 35.35% of market revenue, the bottles category led the market. The primary sources of recycled goods are plastic bottles. Water, oils, medications, and fizzy beverages are packaged in plastic bottles, which are utilised in a variety of applications across numerous industries.

Recycled Plastic Market Plastic Type Insights

The Recycled Plastic Market segmentation, based on Plastic type, includes Polyvinyl chloride (PVC), Polyethylene Terephthalate (PET), Polyethylene (PE), Polypropylene (PP), Polystyrene (PS), Others. The category of Polyethylene Terephthalate (PET) held the largest share. The increased need for packaging materials in the consumer goods, food and beverage, industrial, and numerous other industries is to blame for this high share.

Recycled Plastic Market Process Insights

The Recycled Plastic Market segmentation, based on process, includes chemical and mechanical. The category of mechanical held the largest share. In the recycling sector, mechanical recycling is a well-known and commonly used procedure. Plastic waste must be gathered, sorted, cleaned, and processed into recycled pellets or flakes that can be applied in a variety of ways.

Figure 1: Recycled Plastic Market, by Process, 2022 & 2032 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Recycled Plastic Market Type Insights

The Recycled Plastic Market segmentation, based on type, includes Post-Consumer Recyclate and Industrial Recyclate. The category of Post-Consumer Recyclate brought in the greatest money. This is as a result of consumers' growing awareness of the negative environmental effects of single-use plastics and the rising need for recycled plastics in packaging applications.

Recycled Plastic Market End-Use Industry Insights

The Recycled Plastic Market segmentation, based on end-use industry, includes automotive, electrical & electronics, textiles, packaging, building & construction, and others. The category of packaging held the largest share. The rise in demand for packaged food and beverages, electrical & electronics, and textiles is attributed for this high share.

Recycled Plastic Market Regional Insights

By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The North America Recycled Plastic Market dominated this market in 2022 (45.80%). The market is being pushed by the expansion of the main end-use sectors, including construction, electrical & electronics, and packaging. Over the projection period, it is anticipated that increased building activity in the United States, Mexico, and Canada would fuel market expansion. Further, the U.S. Recycled Plastic Market held the largest market share, and the Canada Recycled Plastic Market was the fastest growing market in the North America region.

Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: RECYCLED PLASTIC MARKET SHARE BY REGION 2022 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Europe Recycled Plastic Market accounts for the second-largest market share. The adoption of the circular economy is what is driving the market because it will increase plastic recycling in the area while lowering the carbon footprint connected with the traditional technique of producing plastic. Further, the German Recycled Plastic Market held the largest market share, and the UK Recycled Plastic Market was the fastest growing market in the European region

The Asia-Pacific Recycled Plastic Market is expected to grow at the fastest CAGR from 2023 to 2032. During the projected period, there will be a rise in the need for non-residential construction projects such hospitals, schools, and universities, which will increase the demand for flooring materials like carpet and tiles as well as insulation and fences. Moreover, China’s Recycled Plastic Market held the largest market share, and the Indian Recycled Plastic Market was the fastest growing market in the Asia-Pacific region.

Recycled Plastic Market Key Market Players & Competitive Insights

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Recycled Plastic Market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Recycled Plastic Market industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the Recycled Plastic Market industry to benefit clients and increase the market sector. In recent years, the Recycled Plastic Market industry has offered some of the most significant advantages to medicine. Major players in the Recycled Plastic Market, including WM Intellectual Property Holdings, L.L.C., Veolia, Shell International B.V., Waste Connections, CLEAN HARBOUR, INC., Covetsro AG, REMONDIS SE & Co. KG, Biffa, Stericycle, Republic Services, Inc., and others, are attempting to increase market demand by investing in research and development operations.

High-tech polymers are provided by Covestro AG (Covestro). It creates and produces raw ingredients for polyurethanes, their derivatives, coatings, specialised adhesives, polycarbonate, and specialty chemicals, among other things. In addition, the company manufactures and markets byproducts including chlorine and styrene. The company offers its products to a variety of industries, including those in the automobile, building, apparel, electrical and electronics, cosmetics, health, and chemical industries as well as those that process wood and make furniture. It runs sales offices, technical service centres, and research labs all throughout the world. The corporation has operations in the Middle East, Africa, Europe, Asia-Pacific, and North and South America. Leverkusen, Germany serves as the home base for Covestro.

An integrated oil and gas business, Shell plc (often known as Shell), was formerly known as Royal Dutch Shell Plc. The company uses conventional fields and sources, including tight rock, shale, and coal formations, to explore for and produce oil and gas. It runs petrochemical and refining complexes all around the world. Lubricants, bitumen, liquefied petroleum gas, and petrochemical goods such raw materials for plastics, paints, and detergents are among Shell's product offerings. In Brazil, the firm is a significant biofuel producer. It also has stakes in a number of gas to liquids (GTL) and liquefied natural gas (LNG) projects. With the help of distributors across Europe, Asia, Oceania, Africa, North America, and South America, the corporation markets its goods both directly and indirectly. London, England, is home to Shell's global headquarters.

Key Companies in the Recycled Plastic Market include

• REMONDIS SE & Co. KG


• Biffa; Stericycle


• Republic Services, Inc.


• WM Intellectual Property Holdings, L.L.C.


• Veolia


• Shell International B.V.


• Waste Connections


• CLEAN HARBOR, INC.


• Covetsro AG

Recycled Plastic Market Industry Developments

April 2022: With the goal of reaching an average 30% recycled content by 2026, Veolia and Faurecia, a member of the Group FORVIA, have signed a Cooperation and Research Agreement to work together to develop novel compounds for car interior modules. Through this collaboration, the two businesses will quicken the adoption of green technologies in centre consoles, door panels, and instrument panels throughout Europe. Beginning in 2024, Veolia will begin producing these secondary raw materials at its current recycling facilities in France. 

October 2022: At the K 2022 trade show in Dusseldorf, Germany, Veolia debuted "PlastiLoop," a new brand of recycled plastics and services. Veolia's wide network of specialists and its 37 plastic recycling facilities throughout the world enable this innovative solution. Customers of this new product have access to a wide range of ready-to-use recycled resins, including PET, PP, HDPE, PS, ABS, LDPE, and PC.

Recycled Plastic Market Segmentation

Recycled Plastic Market Source Outlook

• Bottles


• Films


• Foams


• Fibers


• Others

Recycled Plastic Market Plastic type Outlook

• Polyethylene Terephthalate (PET)


• Polyethylene (PE)


• Polypropylene (PP)


• Polyvinyl Chloride (PVC)


• Polystyrene (PS)


• Others

Recycled Plastic Market Process Outlook

• Mechanical


• Chemical

Recycled Plastic Market Type Outlook

• Post-Consumer Recyclate


• Industrial Recyclate

Recycled Plastic Market End-use Industry Outlook

• Packaging


• Building & Construction


• Textiles


• Automotive


• Electrical & Electronics


• Others

Recycled Plastic Market Regional Outlook

• North America
  
  
  
  • U.S.
  
  
  • Canada
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • Middle East
  
  
  • Africa
  
  
  • Latin America