Car Recycling Market Size, Share, Growth, and Industry Analysis, By Type (Steel, Non-ferrous Metal, Plastic, Rubber, and Others), By Application (Materials Recycling and Reusable Parts) and Regional Forecast to 2032

Updated On: 04 November 2024

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CAR RECYCLING MARKET REPORT OVERVIEW

The Car Recycling Market Size is Projected to be worth US$ 65420 Million in 2023. The Market is likely to Surpass US$ 272349 Million by 2032 at a CAGR of 15.3% During the Forecast period [2024-2032].

This demonstrates how strongly governments all throughout the world support the circular economy. End-of-life vehicle material and part extraction, recovery, and reuse are the methodical processes that make up car recycling. Recycling and reusing saves the environment from deteriorating. Reusing spare parts from disassembled cars is known as automotive recycling. This factor has augmented the car recycling market growth. The usual vehicle is made of metals (steel and iron), according to the World Steel Association (AISBL).

This special technique has created a lot of opportunities for this particular product market. The market is growing because of programs aimed at promoting sustainability, growing public awareness, and rising costs for fuel and raw materials.

COVID-19 Impact: Market Growth Obstructed by Pandemic due to Lockdown

The global COVID-19 pandemic has been unprecedented and staggering, with the market experiencing higher-than-anticipated demand across all regions compared to pre-pandemic levels. The sudden market growth reflected by the rise in CAGR is attributable to market’s growth and demand returning to pre-pandemic levels.

This has affected the overall supply and demand chains of the particular market. The market's development trajectory is being restored by an increase in demand for autos. Reduced scrap metal creation resulted from supply chain instability and a sharp fall in industrial production, particularly in the manufacturing, construction, and automotive industries. This particular factor drastically affected the market growth. Therefore, a small influence from COVID-19 is anticipated on the car recycling market share.

LATEST TRENDS

"Augmented Mertal Deamand to Drive Market Growth"

Growing metal demand across a range of industries, including packaging, construction, and automobiles, is a key driver of the car recycling market under study. Furthermore, sustainable practices and environmental awareness will probably support market expansion.

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CAR RECYCLING MARKET SEGMENTATION

By Type

Based on type the global market can be categorized into Steel, Non-ferrous Metal, Plastic, Rubber, and Others amongst which the leading segment is the Steel.

• Steel: It is nothing but an alloy of carbon and iron that has higher strength and fracture resistance.

• Non-ferrous Metal: It is basically those that lack a significant magnetic field or iron content.

• Plastic: It is nothing but a vast array of synthetic and semi-synthetic materials known as plastics.

• Rubber: It is basically known as rubber, latex, Amazonian rubber, caucho, or caoutchouc in India extracted from trees.

By Application

Based on application the global market can be categorized into Materials Recycling and Reusable Parts amongst which the leading segment is the Materials Recycling.

• Materials Recycling: It is just an application where it is used in materials recycling industries.

• Reusable Parts: It is nothing but an application where it is used by reusable parts industry.

DRIVING FACTORS

"Recycling Metals to Boost the Market"

This is the major factor attributing the growth of this particular market. Recycled steel is frequently used to make chassis and undercarriage parts. Recycled steel is frequently used to make a large number of suspension parts and safety elements, like seat frames and safety beams. These factors are anticipated to drive the market growth during the forecast period.

"Battery Recycling to Expand the Market"

This is the second major factor attributing the growth of this particular market and has resulted in the hike of revenue numbers so much so that they are touching the skies. Clients benefit from it. The automotive and renewable energy sectors have seen a surge in the use of lithium-ion battery technology. Technology demand was boosted by favorable chemistry and low prices. After its three to four-year lifespan, a lithium battery can be recycled and replaced with a new one. This augmented new age recycling techniques are extremely helpful for the environment. These factors are anticipated to drive the market growth in the present times and also during the forecast period.

RESTRAINING FACTOR

"High Cost to Impede Market Growth"

The development of the scrap metal recycling market would be adversely impacted throughout the forecast period by the deficiency of infrastructure and collection systems in several developing nations. In the upcoming years, growing expenses, a weak supply chain, and low battery recycling yield are anticipated to impede car recycling market expansion.

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CAR RECYCLING MARKET REGIONAL INSIGHTS

The market is primarily segmented into Europe, Latin America, Asia Pacific, North America, and Middle East & Africa.

"North America Dominating the Market due to Advanced Technology"

North America is expected to be the leading region of this particular product market and is anticipated to to grow over the forecasted period. North America's largest aviation market as well as one of the biggest fleet sizes worldwide are found in the United States. North America is the dominating region for this particular product industry. The need for aerospace materials is predicted to rise as a result of the aerospace industry's expansion, which will also have an impact on the nation's scrap metal recycling business.

KEY INDUSTRY PLAYERS

"Leading Players adopt Acquisition Strategies to Stay Competitive"

Several players in the market are using acquisition strategies to build their business portfolio and strengthen their market position. In addition, partnerships and collaborations are among the common strategies adopted by companies. Key market players are making R&D investments to bring advanced technologies and solutions to the market.

LIST OF MARKET PLAYERS PROFILED

• LKQ (U.S.)
• Scholz (Germany)
• Schnitzer Steel Industries (U.S.)
• European Metal Recycling (U.K.)
• ECOBAT Technologies (U.S.)

INDUSTRIAL DEVELOPMENT

December 2023: This particular company has attributed the market growth in terms of revenue and shares system. Greenwave Technology Solutions, Inc. made investments in its facilities for processing scrap metal. This should increase the company's profitability and double its capacity to process scrap metal. It is anticipated that the company's downstream processing system and second car shredder will be operational by the first quarter. This development has proved that the company will continue to proliferate this particular product market growth.

REPORT COVERAGE

This research profiles a report with extensive studies that take into description the firms that exist in the market affecting the forecasting period. With detailed studies done, it also offers a comprehensive analysis by inspecting the factors like segmentation, opportunities, industrial developments, trends, growth, size, share, and restraints. This analysis is subject to alteration if the key players and probable analysis of market dynamics change.