Global Non-ferrous Scrap Recycling Market Grows Steadily at a CAGR of 3.12%

Introduction

The Global Non-ferrous Scrap Recycling Market was valued at $ 258.89 million in 2021, and is projected to reach $ 338.25 million by 2030, registering a CAGR of 3.12 % from 2022 to 2030.

Nonferrous metals are those in which iron is not the major alloying component. Nonferrous metals, often more expensive than steel and iron, are commonly used due to their advantageous properties, such as the high strength-to-weight ratio of aluminum, the high conductivity and malleability of copper, and the high corrosion resistance of nickel and zinc. Nonferrous metals such as lead, nickel, zinc, aluminum, and copper can be recycled repeatedly without losing their chemical or physical properties. This information enhances the demand for nonferrous scrap gathered from various end-use industries and processed at recycling centers. Rising environmental, economic, and energy savings consciousness regarding recycling these metals is a market growth factor. Recycling nonferrous metals begins with gathering and baling bulky nonferrous metals, such as cuttings from industrial manufacturing activities, aluminum beverage cans, and obsolete scrap, into blocks of varied sizes. Aluminum, the numerous abundant metals in the Earth's crust, is also one of the most recycled compounds.

The primary growth driver for the worldwide nonferrous metal recycling market is increased discretionary income. Nonferrous metals, including nickel, silver, copper, aluminum, and tin, can withstand an infinite number of recycling operations without losing their original properties. Utilizing already mined minerals, especially for common metals such as aluminum, is less expensive than mining from the ground up, making recycling a financially prudent option.

Market Dynamics

Rapid urbanization results in increased government and consumer spending on residential and infrastructure construction

Reprocessing metal waste into new metal products reduces greenhouse gas emissions, preserves natural resources, and manages energy use. Governments in industrialized nations such as Canada, the United States, the United Kingdom, and others have implemented efficient waste collection, separation, and sorting methods to help the metal recycling industry. For instance, the government of Canada has cooperated with provinces, territories, and enterprises to promote the reuse and recycling of metal products. This is projected to increase Canada's recycling and metal industries. An increase in urbanization, industrialization, and commodity consumption, as well as the depletion of natural resources and reuse of these resources, have created immense potential, propelling the growth of the global metal recycling market. Metal recycling market participants such as Nucor Corporation, Aurubis AG, and others utilize acquisitions and product launches as a practical approach for expanding their product portfolios. Aurubis AG acquired the Belgian-Spanish metal recycling services business Metallo Group. The objective of the investment was to develop the services offered for metal recycling.

Demand expansion for nonferrous scrap in secondary production

The increasing demand for nonferrous scrap in secondary production and end-use industries is anticipated to fuel market growth over the forecast period. In response to rising client demand, producers have boosted the production of electronics, autos, and other products. In addition, industrialization on a global scale has increased the demand for nonferrous scrap. Nonferrous metals, such as aluminum, copper, lead, nickel, and zinc can be repeatedly recycled without losing their chemical or physical properties. This capability boosts the need for nonferrous scrap gathered from various end-use industries and processed at recycling centers. Increasing social awareness of the environment, economy, and energy savings are market growth drivers for recycling these metals.

Growing consumer demand

In response to rising client demand, producers have boosted the production of electronics, autos, and other products. In addition, industrialization on a global scale has increased the demand for nonferrous scrap. As a result, increasing focus is placed on its collection and recycling. European Aluminum, for example, has announced its "Circular Aluminum Action Plan," which aims to realize aluminum's full potential for circular economizing by 2030. Nonferrous metals have a smaller volume proportion of the industry than ferrous metals but a far larger value share. The large income share is attributed to a higher market price for nonferrous materials, which provides an additional incentive to emphasize recycling to reduce manufacturing costs. These metals' high price encourages consumers to recycle. Nonferrous scrap dealers offer them a fair price for their old things, which are subsequently utilized to extract metals such as aluminum and copper.

Regional analysis of the Global Non-ferrous Scrap Recycling Market 

The Asia-Pacific region defeated the market in 2021, accounting for 45.4% of the total revenue. During the forecast period, India is anticipated to increase its recycling industry in the Asia-Pacific region significantly. The nation generates a considerable amount of nonferrous metal scrap; however, a largely unorganized market and a lack of expertise result in most of this material being delivered to landfills instead of recycling facilities. In contrast to the global average of around 45 percent, India's recycling rate is merely 25 percent. The numbers illustrate the immense development potential of the market. The automobile and energy industries were the most significant contributors to the nation's 120 kilotonnes of aluminum scrap.

In 2021, North America represented more than twenty percent of the global market's revenue. The region's share and growth are primarily attributable to the U.S. recycling industry. As per to the Institute of Scrap Recycling Industries, Inc., roughly fifty percent of the overall value of recycled materials in the United States consists of nonferrous scrap. The country is a significant importer and exporter of aluminum scrap and one of the world's foremost secondary aluminum producers. Europe had the second-largest market revenue share in 2021. The region's expansion is attributable to technological breakthroughs in scrap generation and processing. For instance, Erdwich-Zerkleinerungs-Systems GmbH created a facility to recover all valuable elements by separating nonferrous metals from heavy and light materials.

Key highlights 

• The Global Non-ferrous Scrap Recycling Market was valued at $ 258.89 million in 2021, and is projected to reach $ 338.25 million by 2030, registering a CAGR of 3.12 % from 2022 to 2030.
• In 2021, the construction segment represented a greater than 38 % market revenue share.
• Aluminium led the non-ferrous scrap recycling industry in 2021, holding over 48 % of the volume share.
• In 2021, the Asia-Pacific region dominated the market and accounted for 45.4% of the total revenue.

Competitive Players

Competitive players in the global Non-ferrous Scrap Recycling market 

The major players in the global Non-ferrous Scrap Recycling market – Sims Metal Management Inc.; OmniSource Corp.; TSR Recycling GmbH & Co. KG; Aurubis; Kuusakoski; Hindalco Industries Ltd.; Matalco Inc.; SA Recycling LLC, ArcelorMittal, Nucor Corporation, Commercial Metals Company, SIMS Metal Management Limited, Aurubis AG, European Metal Recycling Limited, Tata Steel, Dowa Holdings Co., Ltd., OmniSource Corporation, and Schnitzer Steel Industries Inc.

Recent Developments

Recent Developments by key players 

• In May 2022, thyssenkrupp Steel and TSR to test innovative process of using high-metal scrap in blast furnace.
• In June 2022, one year after the flood: Aurubis Stolberg faces the future with renewed strength.
• In June 2022, Aurubis AG starts construction of a € 300 million multimetal recycling plant in Augusta, Georgia.
• In June 2022, Maintenance shutdown at Aurubis plant in Hamburg completed successfully.

Segmentation

The Global Non-ferrous Scrap Recycling Market Segmentation 

Sector

• Construction
• Automotive
• Consumer goods
• Industrial goods

Metal

• Aluminum
• Copper
• Lead
• Others

Regional

• North America
• Europe
• Asia Pacific
• LAMEA