The Recycled Plastics market also referred as Plastic Recycling Market is projected to grow at a CAGR of 5.2% to reach US$ 67.9 Bn by 2027 from US$ 47.7 Bn in 2020. The recycling of plastic involves various stages such as sorting, washing, shredding, identification, and classification of plastic, and extruding. The market is growing due to an increasing preference for recycled plastics over virgin plastics on account of environmental concerns resulting from pollution caused by the disposal of plastic waste in oceans and landfill sites. Other factors favoring the growth of this market include increasing usage of recycled plastics in applications like packaging, automotive, and the electrical & electronics industry. The government support favouring the usage of recycled plastics worldwide has also helped to propel the growth of the recycled plastics market. The increasingly improving quality of recycled plastics products has also favored the growth of the Recycled Plastics market or Plastic Recycling Market.
Governments in various countries are also encouraging recycling by enforcing landfill taxes, waste disposal taxes, deposit refund systems, recycling credit schemes, etc. to promote effective plastic waste management.
Other factors influencing the plastic recycling rate is price of recycled plastic versus virgin plastic. As majority of plastics are petroleum derivatives the higher the price of oil, the more attractive recycled plastics become. Hence, this is a major driving factor for Recycled Plastics market or the plastic recycling market. This report will analyze prices of recycled plastics versus virgin plastics and the impact of crude oil prices on the overall plastic recycling market also referred as the recycled plastics market. Plastic recycling rates vary significantly across different countries and types of plastics. However, the recycling rates of plastics are substantially lower as compared with steel, aluminum copper, and paper.
The research report analyses the ecosystem and value chain of the Recycled Plastics market or plastic recycling market and categorizes the Recycled Plastics Market to forecast the revenues and analyze the trends in each of the following below-mentioned market segments.
By Region
In terms of market by product type, the polyethylene segment is estimated to be the largest segment of the Recycled Plastics market during the forecast period
The polyethylene (PE) product segment was the biggest segment of the recycled plastics market or plastic recycling market during the forecast period. This can be attributed to the growing consumption of polyethylene as packaging material in various end-user industries such as consumer goods, food & beverage, cosmetics, and various other industries. The Polyethylene Terephthalate (PET) segment is estimated to be the fastest-growing type of recycled plastics in terms of CAGR trend.
By End Use the Fibre segment is expected to be the largest segment of the Recycled Plastics market
The Recycled Plastics market is expected to grow at a healthy CAGR. Recycled Plastics is being increasingly adopted by various organizations, owing to its flexible, smooth, scalable, and affordable characteristics. The packaging is estimated to be the fastest-growing end-use industry of the recycled plastics market in terms of CAGR trends during the forecast period.
The packaging was also the largest market segment of the recycled plastics market. Prominent packaging manufacturers are adopting stretch blow molding technology to design and manufacture a wide variety of Recycled Plastics packaging solutions, as this technology offers high output quantities and fine dimensional accuracies. Recycled plastics are increasingly being used to pack foods & beverages, electrical & electronics, and textiles.
The Asia Pacific is expected to be the largest region in the forecast period
Asia Pacific region accounted for the largest share of the Recycled Plastics market followed by Europe and North America. The North America region is also projected to witness a higher product demand in the coming years on account of increasing consumption in end-user industries. The demand in the Asia Pacific region is primarily driven on account of demand from end-user industries. The Asia Pacific region is growing on account of rising urbanization, rising disposable income, and government initiatives, and a rise in residential and commercial construction projects. The North America region is estimated to be the fastest-growing market for recycled plastics in terms of CAGR trends during the forecast period.
Major manufacturers of plastic recycling equipment and machinery are targeting South East Asia region in particular as China has banned imports for plastic waste for recycling. This has resulted in a deluge of waste in South East Asian Countries. Some of the major companies operating in the plastic recycling market in South East Asia countries include IAV Global, WESPACK, SME Recycle Sdn Bhd, Thai Plastic Recycle Group Co., Ltd. among others. Key Recycled Plastics markets in Asia- Pacific include China, India, Indonesia, Malaysia, Vietnam, and the Philippines.
Drivers:
Restraints:
Opportunities:
Challenges:
| Sr. No. | Trends | Impact |
| 1 | A recycling program has recently been launched by TerraCycle in association with Sanofi a leading pharmaceutical manufacturer of products such as Buscopan and Dulcolax. This joint initiative has been named The ‘Little Packs, Big Impact’. It encourages UK based consumers to recycle any empty prescription and over-the-counter medicine blister packets for free. The customers can drop these packs in dedicated bins which are installed in local participating pharmacies | Positive |
| 2 | Unilever has forged a partnership with Alibaba for automatic plastic recycling machine. This machine uses artificial intelligence to automatically sort plastic packaging and also accepts Unilever coupons and Alipay rewards | Positive |
| 3 | Researchers working at Tohoku and Osaka City Universities have discovered a new catalyst that can break down plastics even at lower temperatures. The new technique also enables the conversion of waste plastics to valuable chemicals such as fuels and waxes | Positive |
The unique insights provided by this report also includes the following:
Priyanka has been writing chemicals & material market research reports for the last 12 years. A post-graduate, her specialization is in the chemicals sector. Preparing end-to-end reports covering minute details for market insights, competitive intelligence and trend analysis in the CMFE sector.
Research Methodology
Log in / Register