The global recycled plastics market is experiencing significant growth, with an estimated size of USD 51.70 billion in 2023. This market is projected to expand at a Compound Annual Growth Rate (CAGR) of 9.5% from 2024 to 2030.
A key driver of this growth is the increasing consumption of plastics in the production of lightweight components across various industries. These industries include building and construction, automotive, electrical and electronics, and others. The demand for lightweight and durable materials is propelling the adoption of recycled plastics.
Furthermore, the surge in online shopping for electrical and electronic products, personal care items, and personal protective equipment (PPE) like gloves and face masks has significantly increased the demand for recycled plastics in packaging. The growing e-commerce industry, particularly in consumer electronics, has further fueled the demand for recycled plastics in both the electrical and electronics sector and the packaging industry.
As consumers increasingly seek affordable consumer electronic products like laptops, mobile phones, and modems through e-commerce platforms, the demand for recycled plastics in these sectors is expected to continue its upward trajectory, contributing to the overall market growth over the forecast period.
Application Segmentation Insights
The packaging segment was the dominant force in the market in 2023, accounting for over 37.4% of the total revenue. This significant market share is driven by the robust demand for building and construction materials, consumer goods, and electrical and electronic products, particularly from major economies like China, India, and Southeast Asia. Additionally, the flexible regulatory environment in the region is expected to counteract the limitations often encountered in Western markets.
Furthermore, recycled plastic products, including composite lumber, roofing tiles, insulation, rocks, fences, and others, are increasingly utilized in the building and construction industry due to growing environmental concerns. The lower carbon footprint and cost-effectiveness of recycled plastics compared to virgin plastics further bolster their demand. Building and construction applications are projected to be a key driver of market growth.
Order a free sample PDF of the Recycled Plastics Market Intelligence Study, published by Grand View Research.