PUBLISHER: BIS Research | PRODUCT CODE: 1247350
PUBLISHER: BIS Research | PRODUCT CODE: 1247350
“Global Advanced Recycling Technologies Market to Reach $9,339.7 Million by 2031.”
The global advanced recycling technologies market is projected to reach $9,339.7 million by 2031 from $270.5 million in 2022, growing at a CAGR of 48.22% during the forecast period 2022-2031.
The demand for advanced recycling technologies is anticipated to grow owing to the implementation of stringent environmental regulations like the restriction of hazardous substances (RoHS) and policies by organizations such as Environmental Protection Agency (EPA) and registration, evaluation, authorization, and restriction of chemicals (REACH). Furthermore, mechanical recycling limitations such as weakening fiber, difficulty in recycling mixed plastic waste, and prohibition from being utilized in the food packaging sector are driving the need for advanced recycling technologies.
Advanced recycling, also known as chemical recycling, refers to a group of technologies that transform post-consumer plastic into its original building blocks, feedstock for new plastics, specialty chemicals, waxes, chemical products, and other non-fuel items. In recent years, advanced recycling technologies have gained popularity as a complementary solution to conventional or mechanical recycling. Two types of mostly recycled plastics, such as polyethylene terephthalate (PET) and high-density polyethylene, are processed mechanically. The other five categories of plastic, such as colored plastic bottles, fast food containers, and plastic eyeglass frames, cannot be processed by such technologies. Advanced recycling offers a solution for practically all these five types of plastics, while recycled plastic from advanced recycling can also be utilized for food packaging. Therefore, owing to the aforementioned factors, advanced recycling technologies are gaining traction in the market.
However, the key factor limiting the growth of the advanced recycling technologies market is a lack of collection and treatment infrastructure.
Incentives for better product and plastics design, such as improved extended producer responsibility, product stewardship, tax benefits, and deposit-refund systems, are expected to open significant sales and financing opportunities. This shift was prominently experienced in regions such as Europe and North America.
The COVID-19 pandemic had a significant impact on the global market for advanced recycling technologies. It impacted the market in both positive and negative ways. Collecting and sorting scrap or debris has become increasingly difficult during the COVID-19 pandemic. Also, the industry endured a huge halt in its production. As a result of the production deficit, the final products became exorbitantly expensive.
Governments have also made an effort to address and resolve COVID-19 issues as they tend to recover from economic and social disasters. To address the pandemic's short- and medium-term socioeconomic effects, they incorporated environment-friendly recovery techniques into their policy packages. Also, the pandemic has put more pressure on the advanced recycling sector to step up production and provide a higher proportion of "usable" recycled materials for the supply chain.
Among different end-users, food and beverage packaging is expected to be the largest application during the forecast period (2022-2031).
In 2021, pyrolysis/ cracking technology held the largest share in the global advanced recycling technologies market and is expected to dominate the market during the forecast period (2022-2031).
In 2021, naphtha held the largest share in the global advanced recycling technologies market and is expected to dominate the market during the forecast period (2022-2031).
In the global advanced recycling technologies market, Europe dominates the market due to the presence of several leading companies, such as Plastic Energy, Brightmark, Quantafuel ASA, and many more, along with strict government regulations.
The following are the demand drivers for the global advanced recycling technologies market:
The market is expected to face some limitations as well due to the following challenges:
The companies that are profiled have been selected based on inputs gathered from primary experts, analyzing company coverage, product portfolio, and market penetration.
The global advanced recycling technologies market has been segmented by different end users, among which food and beverage packaging captured around 46% of the market as of 2021. Other end users, including non-food packaging, accounted for around 27%, consumer electronics accounted for 9%, infrastructure and construction accounted for 7%, automotive accounted for 1%, and other end-use industries accounted for 10% of the total share in 2021 in terms of value.
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