Published Year: 2021
Plastics Market - A Global and Regional Analysis: Focus on Product Types, Molding Types and Their Ap
The global plastics market accounted for $621.9 billion in 2019 and is expected to reach...
Market Research Report
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Advanced Recycling Technologies Industry and Technology Overview
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 Technologies Market Lifecycle Stage
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.
Figure: Global Advanced Recycling Technologies Market Snapshot, $Million, 2021, 2022, and 2031
Impact
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.
Impact of COVID-19
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.
Market Segmentation:
Segmentation 1: by End User
• Food and Beverage Packaging
• Non-Food Packaging
• Consumer Electronics
• Infrastructure and Construction
• Automotive
• Others
Among different end-users, food and beverage packaging is expected to be the largest application during the forecast period (2022-2031).
Segmentation 2: by Technology
• Pyrolysis/ Cracking
• Gasification
• Depolymerization
• Microwave
• Others
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).
Segmentation 3: by Product Type
• Naphtha
• Heavy Gas Oil
• Wax Residue
• Others
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).
Segmentation 4: by Region
• North America - U.S., Canada, and Mexico
• Europe - Germany, France, Italy, Spain, and Rest-of-Europe
• China
• U.K.
• Asia-Pacific and Japan - Japan, India, South Korea, Australia, and Rest-of-Asia-Pacific and Japan
• Rest-of-the-World - South America, and Middle East and Africa
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.
Recent Developments in the Global Advanced Recycling Technologies Market
• In August 2022, Cyclyx International, a subsidiary of Agilyx, announced the opening of a new plastics testing laboratory in Portsmouth, the U.S. This strategy enabled the company to enhance its recycle process testing capacity and expand the types of waste plastic waste range to be recycled with the use of company’s recycling technology.
• In November 2022, Honeywell and Egypt's Environ Adapt for Recycling Industries signed a memorandum of understanding (MoU) to advance plastic recycling in the country. The joint efforts of the two organizations would examine the creation of Egypt's first chemical recycling facility, which would feature cutting-edge Honeywell technology and be able to recycle waste plastic into useful recycled polymer feedstock (RPF).
• In July 2022, Carbios collaborated with Salomon, On, PUMA, and Patagonia to develop solutions that improve the recyclability and circularity of their products. Carbios and the four businesses are also expected to conduct research into the recycling of products, create take-back strategies for used polyester items, including sorting and deconstruction technologies, and compile information on fiber-to-fiber recycling and circularity models.
Demand - Drivers and Limitations
The following are the demand drivers for the global advanced recycling technologies market:
• Rising Consumer Awareness about the Need for Recycling Plastic
• Implementation of Landfill Fueling Restrictions
• Increasing Demand for New Plastic Products
The market is expected to face some limitations as well due to the following challenges:
• Challenges in Collecting and Sorting Recyclable Materials
• High Price of Advanced Recycled Plastics
Analyst View
According to Sachin Singh, Lead Analyst, BIS Research, “In recent years, there has been an increased emphasis on employing recyclable, reusable, or biodegradable materials, which has given rise to advanced recycling technologies. With the growth of plastic waste, there is an increasing need for advanced recycling. For instance, according to United Nations, the amount of plastic garbage increased dramatically, from 2 million tonnes in 1950 to more than 460 million tonnes in 2021, and it is predicted that this amount will double by the year 2040. This is creating the need for stricter regulations on recycling and influencing the advanced recycling technologies market. Various companies such as Nestlé and PepsiCo have announced to replace all their packaging with recyclable materials by 2025. Therefore, the growing interest of food and beverage and consumer goods companies in employing recyclable materials is likely to supplement the market growth.”
Advanced Recycling Technologies Market - A Global and Regional Analysis
Focus on End User, Technology, Product Type, and Region - Analysis and Forecast, 2022-2031
Some Faq's
Frequently Asked Questions
Advanced recycling, also known as chemical recycling, includes several technologies that convert post-use plastic into its original building blocks, feedstock for new plastics, specialty chemicals, waxes, chemical products, and other non-fuel products. In recent years, there has been a growing acceptance of advanced recycling technologies as a complementary solution to conventional or mechanical recycling.
Various fast-moving consumer goods (FMCG) manufacturers are looking toward the usage of post-consumer recycled (PCR) plastic in packaging and different applications. In addition, governments of various countries are implementing pollution control initiatives and are restricting waste landfill fueling, which is complementing the advanced recycling technologies market growth.
Advanced recycling technologies market has seen major developments by key players operating in the market, such as business expansions, partnerships, collaborations, and joint ventures. According to BIS Research analysis, most of the companies preferred partnerships, collaborations, mergers and acquisitions, and joint ventures as a strategy to further increase their growth in the global advanced recycling technologies market. Companies such as Plastic Energy, Mura Technology Limited., and Quantafuel ASA. have majorly adopted the strategies such as partnerships, collaborations, and joint ventures.
A new entrant might concentrate on strengthening its supply chain and collaborating with key ecosystem players. The main area of focus on which startups should concentrate is the collection, sorting, and regular supply of plastic waste. Also, expanding or growing in nations with stricter landfill fuelling laws and availability of plastic waste will be ideal locations for startups.
The following can be termed as some of the USPs of the report:
· Extensive competitive benchmarking of 20 key players to offer a holistic view of the global advanced recycling technologies market landscape
· Market segregation based on technology, product type, and end user
· Investment landscape, including product adoption scenario, funding, and patent analysis
· Impact of COVID-19 on the advanced recycling technologies market
· Global plastic waste management statistics
· Comparative analysis of key technologies
The companies that produce and commercialize advanced recycling technologies, end-use sectors, research institutions, and regulatory bodies involved in the global advanced recycling technologies market should buy this report.
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