Published: October 2019 | Report Code: CM11743 | Available Format: PDF | Pages: 168
The plastic recycling market revenue stood at $41,238.8 million in 2018, and it is expected to cross $64,139.7 million by 2024, demonstrating a CAGR of 8.6% during 2019–2024.
Europe is expected to record the fastest growth in the market for recycled plastic till 2024. This can be credited to the initiatives of European governments that aim to develop domestic recycling facilities and revive local manufacturing. Additionally, the environmental sustainability targets related to the integration of recycled products in the packaging supply chain will drive plastic recycling activities in the region.
Governments across the world are imposing bans on the import of different kinds of waste materials. For instance, in December 2017, the government of China imposed a blanket ban on the import of 24 kinds of waste. This ban covers non-industrial plastic waste that was imported and processed in highest volumes in China till then. The blanket ban has impacted around 5.1 million metric tonnes of plastic waste. This law by China, aimed at addressing the waste volume, has disturbed the dynamics of trade in the global market.
A global surge in commercialization and industrialization has amplified the consumption of plastics, which has resulted in a high-volume production of plastic waste. Large quantities of plastic waste lead to land, air, and marine pollution, which plays a vital role in fueling the plastic recycling market growth globally. The alarming levels of pollution have encouraged stakeholders, including manufacturers, consumers, and governments, to change their plastic consumption patterns, overhaul conventional production lines to generate low amounts of plastic waste, recycle the waste, and develop products that can be smoothly processed after use.
This multi-level stakeholder partnership has boosted the awareness regarding recycled plastic and increased domestic recycling in North America and Europe. Market players are increasingly developing advanced recycling technologies for streamlining the plastic recycling value chain. The increasing investments in research and development (R&D) activities hint at the possible developments and high commercial potential of the plastic recycling industry. In the coming years, these investments would help in the development of new waste processing technologies, thereby widening the avenues for market players.
In 2018, the packaging category, under the source segment, held the largest market share, of nearly 78.0%, in terms of volume. This category is expected to witness a CAGR of 9.1% during 2019–2024. High volumes of packaging plastics are recycled due to their short use lifecycle and considerable waste generation. Government legislations and sustainability targets that carry the objective of integrating the recycling process into the packaging sector will boost the growth of this plastic recycling market category in the future.
During 2019–2024, the polyethylene (PE) category will demonstrate the fastest growth under the type segment. Moreover, the high-volume demand for virgin PE, which has a short lifecycle, and the relative ease with which the generated waste can be recycled led to the dominance of this category in the past, and the trend is likely to continue in the foreseeable future.
Food and beverage is the largest and the fastest-growing category within the industry segment. This industry uses a range of plastics, including polystyrene (PS), polypropylene (PP), high-density polyethylene (HDPE), polyethylene terephthalate (PET), and low-density polyethylene (LDPE), for preservation, storage, packaging, smooth transportation, and maintenance of the aesthetic appeal of processed foods and drinks, including perishable items.
Customers dispose of these plastics after use, thereby creating a high volume of waste, which serves as the fodder for recycling units. Moreover, in the coming years, players are expected to ramp up their recycling volume due to the surging number of initiatives and policies regarding plastic waste, such as the eco-modulation of packaging fees, and enhancements in the packaging design to improve recyclability.
The Asia-Pacific (APAC) plastic recycling market has observed a major transformation in recent years. The 2017 blanket ban on the import of 24 waste materials in China has diverted the waste plastics to Indonesia, India, Vietnam, Malaysia, and Thailand. This transition is being reflected in the shift of the manufacturing base of China-based companies and a considerable increase in the plastic processing capacities in these South Asian countries, as a result.
The APAC market is projected to exhibit a volume CAGR of 8.9% during 2019–2024. This can be ascribed to the establishment of a large number of small-scale processing facilities in the region. In the long run, the market will recover from the instability caused by the ban, because of the growing import of plastic waste in the South Asian countries owing to the lenient environmental regulations and presence of low-cost labor here. However, the growth of the market for recycled plastic will be moderately affected by the proposed legislations for reducing the import of plastic waste by these countries.
The plastic recycling market is characterized by the presence of a large number of low-capacity players across several locations around the world. Some of the companies operating in the market are MBA Polymers Inc., Phoenix Technologies International LLC, Vikoz Enterprises Inc., Terracycle, KW Plastics, DS Smith PLC, PETCO, CarbonLITE Industries, Waste Connections Inc., and Custom Polymers Inc.
Get a bespoke market intelligence solution
Our dedication to providing the most-accurate market information has earned us verification by Dun & Bradstreet (D&B). We strive for quality checking of the highest level to enable data-driven decision making for you
Our insights into the minutest levels of the markets, including the latest trends and competitive landscape, give you all the answers you need to take your business to new heights
With 24/7 research support, we ensure that the wheels of your business never stop turning. Don’t let time stand in your way. Get all your queries answered with a simple phone call or email, as and when required
We take a cautious approach to protecting your personal and confidential information. Trust is the strongest bond that connects us and our clients, and trust we build by complying with all international and domestic data protection and privacy laws