by The global Recycled Plastics Market is estimated to be valued at US$ 69.4 Bn in 2023 and is expected to exhibit a CAGR of 8.1% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Recycled plastics are plastic materials that have been reprocessed from post-consumer or post-industrial waste for conversion into new materials or products. Recycled plastics are used across a variety of industries such as textiles, automotive, packaging, and construction. When plastic waste is recycled, it reduces the demand for virgin plastics produced from crude oil. This helps reduce dependence on fossil fuels and curb greenhouse gas emissions. Recycled plastics also help tackle the global plastic waste crisis as they reduce plastic from entering landfills and oceans.
Market key trends:
One of the key trends in the recycled plastics market is increasing regulations around plastic waste recycling and management. Various governments worldwide have imposed regulations mandating minimum recycled content in plastic products to boost plastic recycling rates. For instance, the European Union has set a recycling target of 50% for plastic packaging waste by 2025 under its Waste Framework Directive. Stringent waste management regulations are encouraging players across the plastics value chain to increase their focus on recycling. Furthermore, rising sustainability awareness among consumers and private companies is also driving the demand for recycled plastic materials and recycled plastic products. An increasing number of consumer brands have announced commitments to use recycled plastics in their products and packaging to meet sustainability goals.
Porter’s Analysis:
Threat of new entrants: Recycled Plastics Market requires significant capital investments for setting up recycling facilities. Requirements for meeting regulatory standards for processing and manufacturing also pose challenges for new players.
Bargaining power of buyers: Buyers have moderate bargaining power due to availability of substitutes. However, increasing focus on sustainability works in favor of recycled plastics products.
Bargaining power of suppliers: Major suppliers include waste management firms and aggregators. Large players have advantage of economies of scale.
Threat of new substitutes: Alternatives like bioplastics and paper packaging pose threats. However, recyclability and cost benefits support recycled plastics over long term.
Competitive rivalry: Intense competition exists among key players to gain larger market shares. Focus on quality, product innovation and expanding geographical presence.
Key Takeaways:
The global recycled plastics market is expected to witness high growth, exhibiting CAGR of 8.1% over the forecast period, due to increasing focus on circular economy and sustainable packaging solutions.
Regional analysis: Asia Pacific dominates the global recycled plastics market, with China being the leading producer and consumer. North America and Europe also capture significant shares supported by strict regulations encouraging plastics recycling.
Key players operating in the recycled plastics market are Alpek (Mexico), Biffa (UK), Cabka (Germany), Far Eastern New Century Corporation (Taiwan), Indorama Ventures (Thailand), Jayplas (UK), Loop Industries, Inc. (Canada), MBA Polymers Inc. (US), Plastipak Holdings, Inc. (US), Republic Services (US), Stericycle (US). Key players are focusing on expanding production capacities and diversifying product portfolios to cater to growing demand.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
