Metal Recycling Market size is expected to cross USD 143 Billion by the end of 2036, growing at a CAGR of 6% during the forecast period, i.e., 2024-2036. In the year 2023, the industry size of metal recycling was over USD 70 Billion. The market is expected to increase due to the increasing need for metals in various applications and the increasing scarcity of rare earth metals. According to calculations, in the next five years, over 70% of respondents in the automotive sector will see a shortage of metal. Conversely, the chemical and infrastructure sectors will see shortages of roughly 77% and 81%, respectively.
In addition to this, reprocessing of metal waste has been more popular over the past 20 years due to decreased greenhouse gas emissions and efficient energy management, both of which are significant factors anticipated to propel market expansion in the near future. For instance, the net greenhouse gas emissions from human activities increased by 43% between 1990 and 2020. Emissions of carbon dioxide, which account for about three-fourths of all emissions, increased by 51% during that period.
Growth Drivers
Challenges
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Base Year |
2023 |
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Forecast Year |
2024-2036 |
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CAGR |
~ 6% |
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Base Year Market Size (2023) |
~ USD 70 Billion |
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Forecast Year Market Size (2036) |
~ USD 143 Billion |
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Regional Scope |
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Product (Aluminium, Copper, Iron, Steel)
The aluminium segment in the metal recycling market is expected to hold the largest share of about 39% during the forecast period. Recycling aluminium is becoming more popular than recycling other metals since it is less harmful to the environment because it uses less energy and emits fewer greenhouse gases. Reusing aluminium helps lower greenhouse gas emissions since it uses 95% less energy than making new aluminium from raw materials. Additional recycling of aluminium is economical since it uses less energy, which lowers production costs. Furthermore, because aluminium is used in so many different industries, including packaging, transportation, and building, demand for metal is rising. Aluminium recycling makes it possible to satisfy this need without using up natural resources. As a result, there has been a notable increase in aluminium recycling in recent years due to a growing understanding of the advantages of recycling aluminium as well as economic and environmental factors.
Industry (Automotive, Construction, Electricals, Manufacturing, Consumer Goods)
Metal recycling market from the automotive segment is predicted to hold largest share of about 35% share during the forecast period. The market for recycling metal is significantly impacted by the expanding automobile sector. Many raw materials are needed in the manufacturing of modern cars, including metals like copper, aluminium, and steel. Recycling used metal scraps contributes to resource conservation by lowering the need for virgin raw materials. Because recycling waste metal uses less energy than creating new metals from raw materials, it is a cost-effective method. Because of this, the market for metal recycling is driven by the growing usage of recycled metal in the manufacture of automobiles.
Our in-depth analysis of the global market includes the following segments:
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Type |
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APAC Market Forecast
Metal recycling market in the Asia Pacific region is attributed to hold the largest share of about 32% by the end of 2036. Being one of the world's top manufacturers of steel and aluminum, the area is responsible for the market's expansion. In April 2020, China produced over 85 million metric tons of steel, and in the same month in 2021, that amount rose to about 98 million metric tons. In addition, rising government emphasis on effective waste management and the expanding demand for products are expected to support future market expansion in the region. The National Policy, which the Indian government drafted in 2019, along with the country's increasing steel demand are anticipated to boost ferrous processing domestically, hence boosting the expansion of the APAC market under focus throughout the forecast period.
European Market Statistics
Europe metal recycling market is expected to hold 25% of the revenue share during the forecast period. The growth of the market is due to strict government rules regarding energy use in the region and the growing use of recycled for the production of secondary metals. To cut waste and greenhouse gas emissions, for example, the German government keeps funding recycling and circular economy initiatives. The government started a USD 5 billion investment programme in 2021 to aid in the advancement of new recycling technologies and their transfer. Throughout the projected period, the government's and service providers' actions are probably going to encourage the German market expansion.
Commercial Metal Company
Author Credits: Mohd Shadab, Yashika Karodiwal
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