Recycled Metal Market New Business Opportunities and Emerging Trends and Forecasts 2030

Posted by Mrudula Anil Karmarkar on May 17th, 2024

San Francisco, 17 May 2024: The ReportRecycled Metal MarketSize, Share & Trends Analysis Report By Material (Copper, Steel, Aluminum, Others), By Region (North America, Asia Pacific, Central & South America, MEA, Europe), And Segment Forecasts, 2023 - 2030

The global recycled metal market size is anticipated to reach USD 1.66 billion by 2030, accelerating at a CAGR of 5.6% over the forecast period, according to a new report by Grand View Research, Inc. The market for recycled product is majorly driven by growing concerns regarding environment and high energy consumption in primary metal production.

Scrap metal is the key raw material used in the secondary metal production. The challenges associated with primary production are anticipated to compel manufacturers to adopt secondary production. The challenges include high energy consumption, fluctuating raw material prices, concerns over depleting non-renewable resources, and high manufacturing costs.

Government initiatives concerning the use of recycled materials and proper waste disposal are further anticipated to boost the consumption of recycled metals. For instance, the medals at the 2020 Olympics will be made from e-waste. As per the organizing committee, the authorities, in March 2023, collected 30.3 kg of gold, 4.1 kg of silver, and 2.7 kg of bronze from 78,885 tons of discarded devices including mobile phones, digital cameras, handheld games, and laptops.

Steel forms a significant part of metal recycling. Steel producers globally are adopting the Electric Arc Furnace (EAF) technology at a rapid rate owing to low-cost production and reduced carbon dioxide emissions. For instance, crude steel production by the EAF process registered a growth rate of 4.7% from 2014 to 2018. The growth rate in 2017 and 2018 was 13.7% and 10.3%, respectively, which signifies the growing adoption rate of scrap or recycled steel in crude steel production.

Key market players such as CMC, European Metal Recycling, Norsk Hydro ASA, GFG Alliance, Novelis, and Tata Steel are engaged in capacity expansions and mergers & acquisitions. For instance, in July 2018, Novelis Inc. announced the acquisition of Aleris Corporation for USD 2.6 billion to develop a diverse portfolio, expand its geographical presence, and gain competitive advantage over other players. In January 2018, Metal Trade Comax Group acquired Oetinger Aluminium Group. The acquisition helped in increasing the company’s annual production capacity from 30 thousands to 220 thousand tons.

Request sample report of Recycled Metal Market@https://www.grandviewresearch.com/industry-analysis/recycled-metal-market/request/rs1

The market growth is driven by increasing emphasis on the secondary production of metals owing to environmental concerns such as energy consumption and scrap disposal. Metal recycling is an important aspect as metals can be recycled several times without any alterations in their characteristics. As a result, scrap metal possesses major significance for use as a raw material for secondary production.

Recycled Metal Market Report Highlights

  • Steel is the most recycled metal in the world, as a result, it held a considerable market share of around 35.8% in 2022 and is expected to grow at the fastest CAGR of 7.3% during the forecast period.
  • Asia Pacific market held a volume share of 67.3% in 2022 owing to increasing concerns regarding scrap utilization in countries such as India, which, in turn, is anticipated to drive the market for recycled metal
  • Aluminum segment is anticipated to witness increasing consumption in automotive industry, which is propelling metal production
  • Acquisitions are among the major strategic initiatives adopted by most of the market players

Growing environmental concerns about depletion of non-renewable resources, increasing harmful emissions from manufacturing plants, and improper waste disposal have led to the growth of the recycling industry, of which metal recycling constitutes a major part. Factors such as regulations about mining ores and increasing raw material prices are propelling the demand for recycled metal. The product reduces the manufacturing cost significantly, this benefit is further favoring its market growth.

Governments across the world are pushing for raising metal production capacity by making positive policies and providing incentives to the recycling industry. For instance, in May 2022, the Indian government signed the Comprehensive Economic Partnership Agreement (CEPA) with the UAE government. This agreement is expected to make it easier for India to import scrap from UAE. India produces 118 million tons of steel, and the country is targeting to produce 300 million tons by 2030. Thus, recycled metal is going to play a major role in achieving the said target.

Recycled Metal Market Report Scope

Report Attribute

Details

Market size value in 2023

USD 1.14 billion

Revenue forecast in 2030

USD 1.66 billion

Growth rate

CAGR of 5.6% from 2023 to 2030

Base year for estimation

2022

Historical data

2018 - 2021

Forecast period

2023 - 2030

Owing to the surge in demand for sustainability and reduction of carbon dioxide emission, companies are adopting the usage of recycled material, which is anticipated to boost the demand for recycled metal in the coming years. For instance, in April 2022, Apple Inc announced that nearly 20% of all materials used in Apple Inc products were recycled in 2021, and 59% of all the aluminum Apple shipped in its products came from recycled sources in 2021.

List Of Key Players in the Recycled Metal Market

  • CMC
  • European Metal Recycling Ltd.
  • Norsk Hydro ASA
  • GFG Alliances
  • Novelis
  • Tata Steel

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Mrudula Anil Karmarkar

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Mrudula Anil Karmarkar
Joined: July 2nd, 2020
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