Scrap Metal Recycling Market Size (2024 - 2029)

The scrap metal recycling market is experiencing a recovery and growth trajectory, driven by increasing demand from industries such as automotive, construction, and packaging. Despite the initial negative impact of Covid-19, the market is benefiting from a resurgence in metal demand and heightened environmental awareness, which are contributing to its expansion. However, challenges such as inadequate infrastructure and collection systems in developing regions may hinder growth. The focus on E-waste recycling and sustainable materials, along with the emphasis on a circular economy, presents new opportunities for market expansion. North America is anticipated to lead the market, supported by stringent environmental regulations and a robust recycling infrastructure.

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Market Size of Scrap Metal Recycling Industry

Scrap Metal Recycling Market Summary
Study Period 2019 - 2029
Base Year For Estimation 2023
CAGR 4.00 %
Fastest Growing Market Asia Pacific
Largest Market North America
Market Concentration High

Major Players

Scrap Metal Recycling Market Major Players

*Disclaimer: Major Players sorted in no particular order

Scrap Metal Recycling Market Analysis

The scrap metal recycling market is estimated to reach 947.39 million tons by the end of this year and is projected to reach 1,164.33 million tons in the next five years, registering a CAGR of 4% during the forecast period.

Covid-19 negatively impacted the demand for metals. The disruption in supply chains and decline in industrial production such as automotive, construction, and manufacturing experienced a significant decline in production, leading to reduced scrap metal generation. However, since restrictions were removed, the industry has been recovering. A rise in demand for automobiles is restoring the market's growth trajectory.

  • A major factor driving the market studied is the growing demand for metals from various industries such as automotive, construction, and packaging. Additionally, environmental awareness and sustainability will likely favor the market's growth.
  • On the flip side, the lack of infrastructure and collection systems in many developing countries will negatively affect the growth of the scrap metal recycling market during the forecast period.
  • The growing focus on E-waste recycling, increasing demand for sustainable materials, and focus on circular economy will likely provide new growth opportunities for the market.
  • North American region is expected to dominate the market during the forecast period. Stringent environmental regulations, strong infrastructure development, and a well-established recycling ecosystem drive this growth.

Scrap Metal Recycling Industry Segmentation

Scrap metal recycling refers to the process of collecting, sorting, processing, and reusing discarded metal materials to extract their valuable components for manufacturing new products. It involves recovering and recycling various metals, such as iron, steel, aluminum, copper, and brass, to conserve natural resources, reduce environmental impacts, and meet the growing demand for sustainable materials. By diverting scrap metal from landfills and reintroducing it into the production cycle, scrap metal recycling plays a vital role in the circular economy and promotes resource conservation and energy efficiency.

The scrap metal recycling market is segmented by metal type, industry, and geography. By metal type, the market is segmented into ferrous and non-ferrous. Ferrous is further segmented into iron and steel, and Non-ferrous is segmented into copper, aluminum, lead, and others. By industry, the market is segmented into automotive, aerospace and defense, construction, electrical and electronics, manufacturing and industrial sectors, consumer appliances, and other end-user industries. The report also covers the market size and forecasts for the scrap metal recycling market in 15 countries across major regions. The market sizing and forecasts have been done for each segment based on volume (Million Tons).

Metal Type
Ferrous
Iron
Steel
Non-ferrous
Copper
Aluminum
Lead
Others
Industry
Automotive
Aerospace and Defense
Construction
Electrical and Electronics
Manufacturing and Industrial Sectors
Consumer Appliances
Others
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Scrap Metal Recycling Market Size Summary

The scrap metal recycling market is poised for significant growth, driven by increasing demand from industries such as automotive, construction, and packaging. The market is recovering from the setbacks caused by the COVID-19 pandemic, which had disrupted supply chains and reduced industrial production, leading to a decline in scrap metal generation. However, the removal of restrictions and a resurgence in automobile demand have set the market back on a growth trajectory. Environmental awareness and sustainability efforts are further propelling the market, although challenges such as inadequate infrastructure in developing regions may hinder growth. The focus on e-waste recycling and the circular economy presents new opportunities for market expansion, with North America expected to lead due to its robust recycling ecosystem and stringent environmental regulations.

Recycled metals, particularly steel and aluminum, play a crucial role in various sectors, including automotive, construction, and aerospace, contributing to sustainability and reducing environmental impact. The automotive industry, in particular, benefits from recycled metals in vehicle production, with recycled aluminum and steel being used extensively in vehicle components. The global increase in vehicle production, especially in North America and Asia, is expected to boost the scrap metal recycling market. Additionally, the aerospace sector's growth and the rising demand for housing in the United States further support market expansion. The market is consolidated, with major players like Aurubis AG and ArcelorMittal actively investing in expanding their processing capacities, indicating a positive outlook for the industry.

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Scrap Metal Recycling Market Size - Table of Contents

  1. 1. MARKET DYNAMICS

    1. 1.1 Drivers

      1. 1.1.1 Environmental Awareness and Sustainability

      2. 1.1.2 Metal Recycling Leading to Energy Saving

      3. 1.1.3 Growing Demand from Various End-user Industries

    2. 1.2 Restraints

      1. 1.2.1 Lack of Infrastructure and Collection Systems in Many Countries

      2. 1.2.2 Quality and Contamination Issues

    3. 1.3 Industry Value-Chain Analysis

    4. 1.4 Porter's Five Forces Analysis

      1. 1.4.1 Bargaining Power of Suppliers

      2. 1.4.2 Bargaining Power of Buyers

      3. 1.4.3 Threat of New Entrants

      4. 1.4.4 Threat of Substitute Products and Services

      5. 1.4.5 Degree of Competition

  2. 2. MARKET SEGMENTATION (Market Size in Volume)

    1. 2.1 Metal Type

      1. 2.1.1 Ferrous

        1. 2.1.1.1 Iron

        2. 2.1.1.2 Steel

      2. 2.1.2 Non-ferrous

        1. 2.1.2.1 Copper

        2. 2.1.2.2 Aluminum

        3. 2.1.2.3 Lead

        4. 2.1.2.4 Others

    2. 2.2 Industry

      1. 2.2.1 Automotive

      2. 2.2.2 Aerospace and Defense

      3. 2.2.3 Construction

      4. 2.2.4 Electrical and Electronics

      5. 2.2.5 Manufacturing and Industrial Sectors

      6. 2.2.6 Consumer Appliances

      7. 2.2.7 Others

Scrap Metal Recycling Market Size FAQs

The Scrap Metal Recycling Market is projected to register a CAGR of greater than 4% during the forecast period (2024-2029)

Aurubis AG, COHEN, The David J. Joseph Company, Sims Limited and ArcelorMittal are the major companies operating in the Scrap Metal Recycling Market.

Scrap Metal Recycling Market Report Snapshots

Scrap Metal Recycling Market Size & Share Analysis - Growth, Trends, and Forecasts (2024 - 2029)