About the Report
The global scrap metal recycling market is gaining traction and is predicted to expand at around 5.5% CAGR through 2031. Growing demand from leading end-use sectors such as building & construction, automotive, and shipbuilding, to name a few, coupled with a high preference for ferrous metals is set to cater to industry growth in the near future. Demand for both, ferrous and non-ferrous scrap metal recycling is projected to increase over the coming years.
The latest report on ‘scrap metal recycling’ by Fact.MR offers a detailed analysis of the global industry, demand-supply trajectories, new trends, and growth & restraining factors during the forecast period of 2021 to 2031. As stated in the report, North America, Europe, and Latin America will remain leading regions, while the Asia Pacific will register the fastest growth throughout the forecast period.
Historical Trends Vs. Future Outlook on Scrap Metal Recycling Solutions
Requirement for scrap metal recycling grew steadily over the past years, owing to huge demand from electrical, automotive, and other key end-use segments. Though the industry declined at the onset of the COVID-19 pandemic, slow yet steady adoption of the new normal came to the rescue for stakeholders. Overall, the industry outlook for scrap metal recycling manufacturers has remained positive during the last 5 years from 2016 to 2020.
As manufacturers are bringing in new variations in their equipment and solutions, demand for scrap metal recycling shredders and other equipment is expected to grow over the coming years.
Though the second wave of the pandemic is likely to have an impact on demand from diverse end-use sectors, a slow yet steady recovery is on its way, widening the growth scope for key industry players further during the forecast period of 2021 to 2031.
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Why is Demand for Scrap Metal Recycling Rising from the Automotive Sector?
Scrap metal recycling is extensively used in the automotive sector. According to the World Auto Steel, steel and iron components make up around 65% of the average vehicle, and hence, scrap metal recycling materials, especially ferrous materials, are highly sought-after in this sector.
According to a report published by SelectUSA, the global automotive industry is at the forefront of innovation, while almost US$ 105 billion is spent globally on research & development activities in the automotive industry.
As stated in the report, the total Foreign Direct Investment (FDI) in the U.S. automotive industry reached US$ 114.6 billion in 2018 and is forecast to rise further. This will create new avenues for scrap metal recycling industry players around the globe.
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What are the Key Challenges Faced by Scrap Metal Recycling Equipment Manufacturers?
There are a few disadvantages of scrap metal recycling that often act as restraints to key players, such as-
- Expensive and time-consuming production process
- Stringent environmental policies regarding environmental impacts of metal recycling
- Requirement for costly laboratory set ups and expert’s handling
However, growing R&D activities by manufacturers to minimize these factors are expected to favor stakeholders in the foreseeable future.
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What’s Driving Demand in the United States for Scrap Metal Recycling?
The United States is the leading country in North America for scrap metal recycling, and is expected to remain dominant through 2031. Highly advanced automotive and construction sectors are boosting sales in the U.S.
According to a report titled “Automotive Spotlight- the Automotive Industry in the United States”, published by SelectUSA, the United States has one of the largest automotive industries in the world, while light vehicle sales in the U.S. reached 17.2 million units in 2018. As the related figures are forecast to grow further, scrap metal recycling players are set come across lucrative opportunities over the coming years.
How Potential is Germany for Scrap Metal Recycling?
Germany is at the forefront of Europe for scrap metal recycling, and is likely to maintain its lead during the forecast period. High demand for scrap metal recycling for construction companies coupled with advancements in electrical and automotive sectors are fueling sales in Germany.
According to a report published by the European Commission (EC), Germany is the leading contributor in the European Union (EU) construction industry, and is set to progress substantially in the near future. As stated in the report, production in Germany’s construction industry has increased steadily over the last 10 years, except a temporary decline in 2020, while it registered an overall growth rate of 10.4% during 2010-2016, and is expected to register even higher rate through 2050.
Will China Be a Lucrative Market for Scrap Metal Recycling?
China is the epicenter of the world’s fastest-growing metal recycling market – Asia Pacific, and is expected to lead over the forecast period. Backed by highly advanced manufacturing sector and expanding construction and automotive sectors, China is the hotspot for players dealing in scrap metal recycling, since use of recycled metals in the building & construction sector is high in the country.
According to a report published by the International Trade Administration, the building & construction industry is the best prospect industry of China. As stated in the report, China’s building & construction industry is forecast to expand at an annual average of 5.2% in real terms between 2021 and 2029, while revenue from this sector is predicted to rise from US$ 968 billion to US$ 1.1 trillion by the end of the decade. No doubt that manufacturers of scrap metal recycling equipment are targeting China in order to excel in this field.
What’s Fueling Demand for Scrap Metal Recycling in India?
India is in the spotlight for suppliers of scrap metal processing equipment, and is expected to remain in the position through 2031. Advanced construction sector and highly developed manufacturing units are driving sales in India.
According to a report published by the Invest India, the construction industry contributes 9% of the Gross Domestic Product (GDP) in India, while nearly 51 million people are employed in this sector. As stated in the report, India’s construction industry will grow to become the third-largest, globally, by 2031. This explains scrap metal processing players are eyeing India in order to grow their revenue.
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Which Metal is Most Common in Scrap Metal Recycling?
Presently, ferrous metals are the most common metal type in scrap metal recycling, owing to their various advantages, such as-
- Availability of a lot of variety such as stainless steel, carbon steel, mild steel, and others
- Naturally abundant
- Applicable in diverse sectors
Another key segment boosting sales in terms of metal type is non-ferrous metal.
Which Scrap Type Has the Highest Demand?
Presently, new scrap is the leading segment in terms of scrap type, and is expected to remain dominant in the near future. There are several advantages of this segment, such as-
- Higher reliability
- Lower maintenance costs
- Reduced replacement costs
Old scrap is another segment in this category that is aiding industry growth.
With the competition getting fiercer, providers of scrap metal recycling are bringing in more advanced solutions. The idea is to achieve a sustainable scrap recycling ecosystem.
- Sims Limited recently launched its new range of Scrap Metals, Scrap Metal Recycler, Scrap Metal Yard, and others.
- Nucor Corporation launched its new range of Metal Building Systems, Steel Grating & Piling, and others, a couple of years back.
*The list is not exhaustive, and only for representational purposes. Full competitive intelligence with SWOT analysis available in the report
Historical Data Available for
USD Million for Value
Key Regions Covered
Key Countries Covered
Key Segments Covered
Key Companies Profiled
Customization & Pricing
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Market Segmentation by Category
- Ferrous Scrap Metal Recycling
- Stainless Steel Scrap Metal Recycling
- Carbon Steel Scrap Metal Recycling
- Mild Steel Scrap Metal Recycling
- Cast Iron Scrap Metal Recycling
- Non-ferrous Scrap Metal Recycling
- Aluminum Scrap Metal Recycling
- Copper Scrap Metal Recycling
- Lead Scrap Metal Recycling
- Nickel Scrap Metal Recycling
- Zinc Scrap Metal Recycling
- Brass Scrap Metal Recycling
- Tin Scrap Metal Recycling
- Gold Scrap Metal Recycling
- Ferrous Scrap Metal Recycling
- New Scrap Metal Recycling
- Old Scrap Metal Recycling
- Building & Construction Scrap Metal Recycling
- Automotive Scrap Metal Recycling
- Industrial Manufacturing Scrap Metal Recycling
- Electricals Scrap Metal Recycling
- Shipbuilding Scrap Metal Recycling
- Consumer Electronics Scrap Metal Recycling
- North America
- Latin America
- Middle East and Africa (MEA)
- East Asia
- South Asia
Scrap Metal Recycling Market - Scope Of Report
A recent study by Fact.MR on the scrap metal recycling market offers a 10-year forecast from 2021 to 2031. The study analyzes crucial trends that are currently determining market growth.
This report explicates on vital dynamics, such as the drivers, restraints, and opportunities for key market players along with key stakeholders and emerging players associated with scrap metal recycling.
The study also provides the dynamics that are responsible for influencing the future status of the market over the forecast period.
A detailed assessment of the value chain analysis, business execution, and supply chain analysis across regional markets has been covered in the report. A list of prominent companies involved in scrap metal recycling, along with their product portfolios, enhances the reliability of this comprehensive research study.
The study offers comprehensive analysis on diverse features, including demand, product development, revenue generation, and sales across regions.
A comprehensive estimate on the market has been provided through an optimistic as well as a conservative scenario, taking into account sales during the forecast period. Price point comparison by region with global average price is also considered in the study.
Key Questions Answered in Report
- Which are the most lucrative markets for scrap metal recycling?
- Which factors will impact demand for scrap metal recycling?
- How will changing trends impact the strategies of market players?
- How can market players capture the low-hanging opportunities across regions?
- Which companies are leading the scrap metal recycling market?
- What are the winning strategies of stakeholders in the scrap metal recycling landscape?
Inspected Assessment on Regional Segments
Key sections have been elaborated in the report, which has helped deliver projections on regional markets. These chapters include regional macros (political, economic, and business environment outlook), which are expected to have a momentous influence on the growth of the market during the forecast period.
Country-specific valuation on demand for scrap metal recycling has been offered for each regional market, along with market scope estimates and forecasts, price index, and impact analysis of the dynamics of prominence in regions and countries. For all regional markets, Y-o-Y growth estimates have also been incorporated in the report.
Detailed breakup in terms of value for emerging countries has also been included in the report.
In Fact.MR’s study, a unique research methodology is utilized to conduct extensive research on the growth of the scrap metal recycling market, and reach conclusions on the future growth parameters of the market.
This research methodology is a combination of primary and secondary research, which helps analysts ensure the accuracy and reliability of the drawn conclusions.
Secondary resources referred to by analysts during the preparation of the market study include statistics from governmental organizations, trade journals, white papers, and internal and external proprietary databases.
Analysts have interviewed senior managers, product portfolio managers, CEOs, VPs, marketing/product managers, and market intelligence managers, all of whom have contributed to the development of the research report as a primary resource.
- FAQs -
Some of the top companies providing scrap metal recycling solutions are DBW Metals Recycling, Nucor Corporation, OmniSource, LLC, and Sims Limited.
The United States, Germany, China, Japan, India, the United Kingdom, Canada, Italy, France, and a few others are lucrative markets for scrap metal recycling, and are expected to dominate throughout the forecast period.
Presently, ferrous metals are the most lucrative in terms of metal type, and are expected to remain dominant over the forecast period of 2021 to 2031.
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Is the market research conducted by Fact.MR?
Yes, the report has been compiled by expert analysts of Fact.MR, through a combination of primary and secondary research. To know more about how the research was conducted, you can speak to a research analyst.
What research methodology is followed by Fact.MR?
Fact.MR follows a methodology that encompasses the demand-side assessment of the market, and triangulates the same through a supply-side analysis. This methodology is based on the use of standard market structure, methods, and definitions.
What are the sources of secondary research?
Fact.MR conducts extensive secondary research through proprietary databases, paid databases, and information available in the public domain. We refer to industry associations, company press releases, annual reports, investor presentations, and research papers. More information about desk research is available upon request.
Who are the respondents for primary research?
Fact.MR speaks to stakeholders across the spectrum, including C-level executives, distributors, product manufacturers, and industry experts. For a full list of primary respondents, please reach out to us.
Is a sample of this report available for evaluation?
Yes, you can request a sample, and it will be sent to you through an email.