by The global Recycled Metal Market is estimated to be valued at US$ 54.48 Bn in 2023 and is expected to exhibit a CAGR of 8.5% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Recycled metal refers to scrap metal that is processed to obtain reused metal. It includes ferrous and non-ferrous metals such as iron, steel, copper, aluminum, brass, and zinc. Recycled metal reduces the usage of virgin raw materials required for metal production. It also lowers energy consumption and greenhouse gas emissions related to mining and extraction of raw materials. The availability and growth in demand for recycled metals is beneficial for both manufacturers as well as consumers looking to cut costs and promote environmental sustainability.
Market key trends:
One of the major trends in the Recycled Metal is the rapidly growing electric vehicle industry. Electric vehicles require metals like copper, aluminum and cobalt in significant quantities. This has boosted the demand for recycled non-ferrous metals from scrap. Stringent environmental regulations regarding mining and extraction of raw materials is also propelling the recycled metal market growth. Many countries have implemented policies promoting recycling and waste reduction. Furthermore, economic benefits associated with recycled metal including reduced costs and price stability compared to virgin raw materials is attracting more end-users to utilize scrap metal.
Porter’s Analysis
Threat of new entrants: Recycled metal requires high investment for processing plants and machinery which makes the barrier of entry high in this market.
Bargaining power of buyers: Large buyers like automobile and construction industries have higher bargaining power as they can negotiate better prices for recycled metals due to bulk purchases.
Bargaining power of suppliers: The market has numerous suppliers of scrap metals which makes the bargaining power of individual supplier low.
Threat of new substitutes: There are limited substitutes for recycled metals as virgin metal production has higher costs and environmental impact. This reduces threat from substitution.
Competitive rivalry: Being a global commodity market, competition is high among recycled metal producers and suppliers.
Key Takeaways
The global Recycled Metal Market Share is expected to witness high growth, exhibiting CAGR of 8.5% over the forecast period, due to increasing environmental regulations promoting recycling. The market size for 2023 is estimated to be US$ 54.48 Bn.
Regional analysis: Asia Pacific dominates the global recycled metal market currently. China is the fastest growing market in the region owing to stringent laws encouraging metal recycling in the country. Europe and North America are other major markets driven by high recycling rates mandated by regulatory bodies.
Key players: Key players operating in the recycled metal market are Sims Metal Management Ltd., Schnitzer Steel Industries, Inc., Nucor Corporation, European Metal Recycling Ltd., Kuusakoski Group, Novelis Inc., OmniSource Corporation, Ferrous Processing & Trading Co. (FTP), Metal Management Inc., ELG Haniel Group. Sims Metal Management Ltd. and Schnitzer Steel Industries Inc. have the largest market presence globally.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
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