Global Recycled Plastic Granules Market Overview:
As per MRFR analysis, the Recycled Plastic Granules Market Size was estimated at 20.64 (USD Billion) in 2022. The Recycled Plastic Granules Market Industry is expected to grow from 22.46(USD Billion) in 2023 to 48.2 (USD Billion) by 2032. The Recycled Plastic Granules Market CAGR (growth rate) is expected to be around 8.85% during the forecast period (2024 - 2032).
Key Recycled Plastic Granules Market Trends Highlighted
The increase in the recycled plastic granules market can be attributed to reasons such as rising awareness and concern towards the environment by both consumers and manufacturers and the enactment of laws seeking to cut down the utilization of plastic. Also, the growth in the market is driven by the increasing usage of replaceable and economical materials in several industries, including the automotive, construction, and packaging industries.
An opportunity to be explored is the emergence of more advanced recycling technologies that would improve the attributes of the recycled plastic granules. Moreover, it would be possible to develop closed-loop recycling systems through partnerships among manufacturers, recyclers, and end-users that will further help grow the market.
Trends currently exist in the recycled plastic granules market despite markets shifting towards importing bioplastics and plastic products made of bullet 14% of the total, biodegradable plastics anchor more than half of materials to be plastic fillers. These materials are good substitutes for conventional plastics, and thus, demand for the market increases. In addition, there has been an increase in the implementation of artificial intelligence and machine learning to separate processes involved in recycling for the efficient recovery of materials and quality improvement of recycled plastic granules.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Recycled Plastic Granules Market Drivers
Increasing Demand for Sustainable Packaging
The growing consciousness about environmental protection and sustainability is driving the demand for recycled plastic granules in the packaging industry. Consumers are becoming more environmentally conscious and are demanding sustainable packaging solutions. Recycled plastic granules offer an eco-friendly alternative to traditional plastic packaging, as they are made from post-consumer or post-industrial plastic waste. This trend is expected to continue in the coming years as more and more companies adopt sustainable practices to reduce their environmental footprint.The Recycled Plastic Granules Market Industry is expected to witness significant growth due to the rising demand for sustainable packaging solutions.
Government Regulations and Policies
Governments worldwide are implementing regulations and policies to promote the use of recycled materials and reduce plastic waste. These regulations include bans on single-use plastics, extended producer responsibility schemes, and targets for recycled content in products. Such regulations create a favorable environment for the recycled plastic granules market, as they increase the demand for recycled materials and provide incentives for businesses to use them.The Recycled Plastic Granules Market Industry is anticipated to benefit from supportive government policies that encourage the adoption of sustainable practices.
Technological Advancements
Advancements in technology have improved the quality and performance of recycled plastic granules. New technologies have made it possible to produce recycled plastic granules with properties that are comparable to virgin plastic, making them a viable alternative for a wider range of applications. Ongoing research and development in recycling technologies are expected to further enhance the quality and cost-effectiveness of recycled plastic granules, driving their adoption in various industries.The Recycled Plastic Granules Market Industry is poised to witness continued growth as technological advancements drive innovation and improve the quality of recycled materials.
Recycled Plastic Granules Market Segment Insights:
Recycled Plastic Granules Market Resin Type Insights
The resin type segment of the recycled plastic granules market is classified into polyethylene terephthalate, high-density polyethylene, low-density polyethylene, polypropylene, and others. It is to be noted that PET is likely to become the leading segment by 2023 since it is widely utilized in the packaging sector – namely for the creation of beverage and food containers. Next, HDPE is forecast to be the most rapidly growing segment throughout the analyzed period: both the building sector and the automotive industry are increasingly demanding this type of plastic.The LDPE segment is likely to record stable growth since the component is regularly utilized in the creation of plastic bags, films, and toys, among other consumer goods. The last substantial segment that is expected to gain wider recognition is PP: as the material is lightweight and sturdy, it is most frequently applied in automotive and appliance manufacturing as well as for the creation of industrial packaging. Finally, the other type consists of such specialty recycled plastic granules as PS, PVC, PA, and others that generally address niche needs.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Recycled Plastic Granules Market Application Insights
The Recycled Plastic Granules Market is segmented by Application into Automotive, Packaging, Construction, Consumer Products, and Others. Among these segments, Packaging is expected to hold the largest market share in 2023, accounting for over 40% of the Recycled Plastic Granules Market revenue. This is due to the increasing demand for sustainable packaging solutions from various industries, such as food and beverage, personal care, and pharmaceuticals. The Automotive segment is also expected to witness significant growth in the coming years, driven by the rising demand for lightweight and durable materials in the automotive industry.The Construction segment is expected to show steady growth, as recycled plastic granules are increasingly used in applications such as roofing, flooring, and insulation. The Consumer Products segment is also expected to see growth, as consumers become more aware of the environmental benefits of using recycled plastic products.
Recycled Plastic Granules Market End-Use Sector Insights
The end-use sector segmentation of the Recycled Plastic Granules Market provides insights into the diverse applications of recycled plastic granules across various industries. The industrial sector dominates the market, accounting for over 40% of the Recycled Plastic Granules Market revenue in 2023. This dominance is attributed to the increasing adoption of recycled plastic granules in manufacturing processes, particularly in the automotive, construction, and packaging industries. The consumer sector follows closely, driven by the growing demand for sustainable and cost-effective packaging solutions.The construction sector is also witnessing significant growth due to the increasing use of recycled plastic granules in infrastructure projects, such as road construction and building materials. The electronics sector is another key end-use sector, where recycled plastic granules are used in the production of electronic devices and components. The remaining share of the market is attributed to other end-use sectors, including agriculture, healthcare, and furniture.
Recycled Plastic Granules Market Processing Type Insights
Mechanical Recycling dominated the recycled plastic granules market in 2023, accounting for 65.8% of the market revenue. Mechanical recycling involves physically breaking down plastic waste into smaller pieces, which are then cleaned and reprocessed into new plastic products. This process is relatively low-cost and energy-efficient, making it a popular choice for recycling a wide range of plastics. Chemical Recycling, on the other hand, is a more complex process that involves breaking down plastic waste into its chemical components, which can then be used to create new plastic products or other chemicals.This process is more expensive and energy-intensive than mechanical recycling, but it allows for the recycling of a wider range of plastics, including those that are not easily recycled mechanically. Other Advanced Technologies, such as solvent-based recycling and microwave-assisted recycling, are also gaining traction in the recycled plastic granules market. These technologies offer advantages over mechanical and chemical recycling, such as higher yields and the ability to recycle a wider range of plastics. As these technologies continue to develop and become more cost-effective, they are expected to play an increasingly significant role in the recycled plastic granules market.The increasing demand for recycled plastic granules is being driven by a number of factors, including rising awareness of environmental issues, government regulations, and the growing adoption of sustainable practices by businesses and consumers. The market is expected to continue to grow in the coming years, with the Recycled Plastic Granules Market revenue projected to reach USD 28.46 billion by 2024, exhibiting a CAGR of 9.2% during the forecast period.
Recycled Plastic Granules Market Regional Insights
The Recycled Plastic Granules Market is segmented into North America, Europe, APAC, South America, and MEA. In 2024, North America is projected to account for the largest market share, followed by Europe. APAC is expected to be the fastest-growing regional market over the forecast period. The growth in the APAC region is attributed to the increasing demand for recycled plastic granules from various industries, such as automotive, packaging, and construction. Government initiatives and regulations promoting sustainability and waste reduction are also driving the growth of the Recycled Plastic Granules Market in this region.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Recycled Plastic Granules Market Key Players And Competitive Insights:
Major players in the Recycled Plastic Granules Market industry are constantly striving to gain a competitive edge by investing heavily in research and development. Leading Recycled Plastic Granules Market players are collaborating with various stakeholders, such as research institutes and universities, to develop innovative products and solutions. They are also expanding their production capacities to cater to the growing demand for recycled plastic granules. The Recycled Plastic Granules Market is characterized by intense competition, with several key players dominating the market share. These leading players are focusing on product innovation, strategic partnerships, and geographical expansion to maintain their competitive advantage.One of the leading companies in the Recycled Plastic Granules Market is LyondellBasell Industries. The company is headquartered in the Netherlands and has a presence. LyondellBasell is a leading producer of polyolefins, including polyethylene (PE) and polypropylene (PP). The company offers a wide range of recycled plastic granules, including PET, HDPE, and LDPE. LyondellBasell is committed to sustainability and has invested heavily in recycling technologies. The company has also partnered with several organizations to promote the use of recycled plastic granules.A major competitor in the Recycled Plastic Granules Market is SABIC. The company is headquartered in Saudi Arabia and is one of the largest petrochemical companies in the world. SABIC offers a wide range of recycled plastic granules, including PET, HDPE, and LDPE. The company is focused on innovation and has developed several new technologies for recycling plastic waste. SABIC is also committed to sustainability and has set a target of recycling 1 million tons of plastic waste by 2025.
Key Companies in the Recycled Plastic Granules Market Include:
- Icelandic Plastic Recycling
- EcoPro
- PACCOR
- Plastic Recycling Inc.
- NexCycle
- Envision
- Blue Box Partners
- EVP Polymers
- PLASTIX
- Interzero
- Plastic Granules
- Agilyx
- Recycla
- Renewi
- Veolia
Recycled Plastic Granules Market Industry Developments
The Recycled Plastic Granules Market is projected to reach USD 48.2 billion by 2032, exhibiting a CAGR of 8.85% during the forecast period. Increasing environmental concerns and stringent government regulations on plastic waste management are driving the demand for recycled plastic granules. Moreover, rising awareness about sustainability and the growing adoption of circular economy models are further augmenting market growth.Recent news developments in the market include the launch of new products and technologies by key players. For instance, in 2023, SABIC introduced a new range of certified circular polyolefins, including polyethylene (PE) and polypropylene (PP) grades, made from post-consumer recycled plastic waste. Additionally, partnerships and collaborations between industry participants are gaining traction to enhance production capacity and expand market reach.
Recycled Plastic Granules Market Segmentation Insights
- Recycled Plastic Granules Market Resin Type Outlook
- Polyethylene Terephthalate (PET)
- High-Density Polyethylene (HDPE)
- Low-Density Polyethylene (LDPE)
- Polypropylene (PP)
- Others
- Recycled Plastic Granules Market Application Outlook
- Automotive
- Packaging
- Construction
- Consumer Products
- Others
- Recycled Plastic Granules Market End-Use Sector Outlook
- Industrial
- Consumer
- Construction
- Electronics
- Others
- Recycled Plastic Granules Market Processing Type Outlook
- Mechanical Recycling
- Chemical Recycling
- Other Advanced Technologies
- Recycled Plastic Granules Market Regional Outlook
- North America
- Europe
- South America
- Asia Pacific
- Middle East and Africa
| Report Attribute/Metric |
Details |
| Market Size 2022 |
20.64(USD Billion) |
| Market Size 2023 |
22.46(USD Billion) |
| Market Size 2032 |
48.2(USD Billion) |
| Compound Annual Growth Rate (CAGR) |
8.85% (2024 - 2032) |
| Report Coverage |
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year |
2023 |
| Market Forecast Period |
2024 - 2032 |
| Historical Data |
2019 - 2023 |
| Market Forecast Units |
USD Billion |
| Key Companies Profiled |
Icelandic Plastic Recycling, EcoPro, PACCOR, Plastic Recycling Inc., NexCycle, Envision, Blue Box Partners, EVP Polymers, PLASTIX, Interzero, Plastic Granules, Agilyx, Recycla, Renewi, Veolia |
| Segments Covered |
Resin Type, Application, End-Use Sector, Processing Type, Regional |
| Key Market Opportunities |
Automotive sector expansion Sustainable packaging Construction industry growth Medical applications Ecommerce growth |
| Key Market Dynamics |
Increasing environmental concerns, rising demand for sustainable packaging, technological advancements, government initiatives, growing consumer awareness |
| Countries Covered |
North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The recycled plastic granules market size is expected to reach USD 48.2 billion by 2032, exhibiting a CAGR of 8.85% during the forecast period. In 2023, the market size was valued at USD 22.46 billion.
The Asia-Pacific region is expected to dominate the recycled plastic granules market throughout the forecast period. This dominance is attributed to the increasing demand from end-use industries, such as automotive, construction, and packaging, in countries like China, India, and Japan.
Recycled plastic granules find application in various industries, including automotive, construction, packaging, and consumer goods. In the automotive industry, they are used to manufacture interior and exterior components, such as dashboards, door panels, and bumpers. In construction, they are utilized in pipes, fittings, and insulation materials. Recycled plastic granules are also used in packaging applications, such as bottles, containers, and films.
Some of the key competitors in the recycled plastic granules market include: Amcor plc Berry Group, Inc. Covestro AG LyondellBasell Industries Holdings B.V. Plastipak Holdings, Inc. Pretium Packaging, LLC SABIC The Dow Chemical Company Veolia Environnement, S.A.
The growth of the recycled plastic granules market is driven by several factors, including rising environmental concerns, increasing demand for sustainable materials, and supportive government regulations. Consumers are becoming more aware of the environmental impact of plastic waste, leading to a growing preference for recycled plastic products.
The recycled plastic granules market faces challenges such as the limited availability of high-quality recycled plastic, the high cost of collection and processing, and the lack of standardized quality standards. Additionally, the volatility of raw material prices and competition from virgin plastic resins can impact market growth.
Opportunities for the recycled plastic granules market include the increasing adoption of circular economy principles, technological advancements in recycling processes, and growing demand from emerging economies. Governments and organizations are also implementing initiatives to promote the use of recycled plastic, creating favorable conditions for market growth.
The COVID-19 pandemic had a mixed impact on the recycled plastic granules market. While the demand for recycled plastic declined in some sectors, such as automotive and construction, it increased in others, such as packaging and healthcare. Overall, the market is expected to recover and continue its growth trajectory as the economy stabilizes.
Key trends in the recycled plastic granules market include the increasing use of recycled plastic in high-performance applications, the development of new recycling technologies, and the growing focus on sustainability and circular economy practices. Additionally, there is a trend towards collaboration between stakeholders across the value chain to improve the collection, processing, and utilization of recycled plastic.
The future outlook for the recycled plastic granules market is positive. Growing environmental concerns, increasing demand for sustainable materials, and supportive government regulations are expected to drive market growth over the coming years. Technological advancements and the expansion of recycling infrastructure will further contribute to the market's expansion.
