Reclaimed Rubber Market - Forecast(2024 - 2030)

Reclaimed Rubber Market Overview

The Reclaimed Rubber Market size is forecast to reach US$2.7 billion by 2030, after growing at a CAGR of 10.6% during the forecast period (2024-2030). Reclaimed rubber is a material made by recycling discarded rubber products to use in place of or alongside fresh rubber in manufacturing various rubber goods. It undergoes a process where crushed scrap rubber is treated with chemicals like sodium hydroxide or sulfuric acid, along with softeners, to break down the rubber and remove impurities. In the alkali process, scrap rubber is mixed with a sodium hydroxide solution and softeners under pressure to break down the material, remove sulfur, and make the rubber more pliable. The resulting product is then cleaned, dried, refined, and sometimes mixed with other compounds before being ready for use. The acid method involves digesting ground scrap rubber with a sulfuric acid solution to break down the material before plasticizing it with steam under pressure. Reclaimed rubber finds its way into various products like footwear, mats, belts, cables, tires, and more. It is commonly used in applications where the properties of fresh rubber are needed but at a lower cost, making it a sustainable option for many industries. Reclaimed rubber is a material made by recycling discarded rubber products to use in place of or alongside fresh rubber in manufacturing various rubber goods. It undergoes a process where crushed scrap rubber is treated with chemicals like sodium hydroxide or sulfuric acid, along with softeners, to break down the rubber and remove impurities. In the alkali process, scrap rubber is mixed with a sodium hydroxide solution and softeners under pressure to break down the material, remove sulfur, and make the rubber more pliable. The resulting product is then cleaned, dried, refined, and sometimes mixed with other compounds before being ready for use. The acid method involves digesting ground scrap rubber with a sulfuric acid solution to break down the material before plasticizing it with steam under pressure. Reclaimed rubber finds its way into various products like footwear, mats, belts, cables, tires, and more. It is commonly used in applications where the properties of fresh rubber are needed but at a lower cost, making it a sustainable option for many industries.
Governments and regulatory bodies are implementing policies and standards to promote the use of reclaimed rubber. This includes encouraging recycling initiatives, imposing stricter regulations on waste disposal, and offering incentives for the adoption of eco-friendly materials.

Ongoing research and development efforts focus on enhancing the properties and applications of reclaimed rubber. This includes exploring new recycling techniques, developing specialized formulations, and investigating novel uses in emerging industries like green building materials and renewable energy.

Market Snapshot :

Report Coverage

The report: “Reclaimed Rubber Market – Forecast (2024-2030)”, by IndustryARC covers an in-depth analysis of the following segments of the Reclaimed Rubber Industry.
By Type: Whole Tire Reclaim (WTR), Butyl Reclaim, Ethylene Propylene Diene Monomer, Drab & Colored, and others.
By Application: Tire (Inner Liner, Tire Treads & Retreads, Inner Tubes, Tire Side Walls, Tire Plies and others), Non-Tire (Conveyor Belts, Moulded Goods, Adhesives, Footwear, Matting, Profiles, Roofing, Cement, and others).
By End-Use Industry: Automotive (Passenger Cars, Light Commercial Vehicles, Heavy Commercial Vehicles), Aerospace, Footwear, Consumer Goods, Sports, Building & Construction, Medical and others.
By Geography: North America (USA, Canada, and Mexico), Europe (the UK, Germany, France, Italy, Netherlands, Spain, Russia, Belgium and the Rest of Europe), Asia-Pacific (China, Japan, India, South Korea, Australia and New Zealand, Indonesia, Taiwan, Malaysia and the Rest of Asia-Pacific), South America (Brazil, Argentina, Colombia, Chile, and the Rest of South America), the Rest of the World (the Middle East (Saudi Arabia, UAE, Israel, Rest of the Middle East), and Africa (South Africa, Nigeria and Rest of Africa)

Key Takeaways

• The Asia Pacific region is projected to hold the largest share, approximately 50.5%, of the global reclaimed rubber market. Additionally, it is anticipated to experience the highest growth rate throughout the forecast period.
• Because of manageability, lower energy consumption, and cost-effectiveness, reclaimed rubber is widely used in modern applications instead of engineered elastic.
• As part of their corporate social responsibility, industry players are attempting to discover better ways to reduce/alleviate the environmental harm caused by butyl rubber production. This is expected to support market development plans sooner.
• In compared to its synthetic alternative, this low-cost raw material is widely favored by manufacturers due to its lower power consumption rate and lower thermal plasticity levels, which make it easier to break down during processing.
• In addition, strict recycling regulations and government intervention to minimize the number of landfills and other waste that reduces the amount of available fertile farming land has led to an increase in reclamation initiatives.

For More Details on This Report - Request for Sample

Reclaimed Rubber Market Segment Analysis – By Type

The increasing demand for whole tires reclaim (WTR) is a prominent trend in the global market for reclaimed rubber, and it is expected to contribute considerably to the industry in the years to come. Whole tires reclaim (WTR) is growing at a CAGR of 10.4% during the forecast period (2024-2030). The high demand arises from its high adaptability and durability, as well as its low processing costs and low environmental impact. Ethylene propylene diene monomer (EPDM), on the other hand, is expected to gain a significant share in the future, due to technological advancements that have resulted in improved product qualities and sustainability. The ethylene propylene diene monomer (EPDM) segment is currently expanding at a rapid pace, owing to benefits such as high ozone resistance, reduced electricity consumption, and improved extrusion speed, among others. E ethylene propylene diene monomer (EPDM) is increasingly being used in automotive and aircraft tires, consumer molded goods, and even electrical cables, hoses, and conveyor belts. Butyl reclaim is also growing at a significant rate during the forecast period.

Reclaimed Rubber Market Segment Analysis – By Application

The tire held the largest share in the reclaimed rubbers market in 2023. Rubber recycling, in order to increase sustainability issues in the automotive tire industry, has aided the industry's expansion. As more people become aware of the cost-effective and environmentally friendly alternatives to virgin rubber, the demand for reclaimed rubber for use in long-lasting tires increases. When compared to its synthetic equivalent, such qualities make it easier to break down throughout the processing stage. In recent years, increased availability of disposed or waste tires, as well as lower reclaim rubber costs, have further aided industry expansion. Due to its resistance to ultraviolet rays and heat radiation from the sun, the rapidly developing vehicle industry is predicted to further boost demand for recycled rubber-based tires.

Reclaimed Rubber Market Segment Analysis – By End-Use Industry

The automotive and aircraft tires segment is the largest and is projected to grow by 10.3%. Aircraft tire demand is increasing due to international travel expansion. Aviation companies often retread tires to save costs, overseen by safety authorities like EASA and FAA. This trend, along with high aircraft tire prices, drives market growth. In the automotive sector, demand for heavy-duty vehicles rises with increased delivery and ride-sharing services like Uber. Regulations for energy-efficient vehicles boost reclaimed rubber demand for tire manufacturing. Footwear, ranging from sports to formal styles, utilizes various rubbers, including reclaimed rubber, known for durability. Rising consumer spending drives footwear market growth. Rubber sole manufacturers face intense competition, leading to a search for cost-effective materials like reclaimed rubber to maximize profits

Reclaimed Rubber Market Segment Analysis – By Geography

North America holds the largest share of the global reclaimed rubber market and is expected to grow at a rate of 10.3%. The region's demand for rubber tires is high, driven by industries like automotive, aviation, construction, and electronics. The rise of electric vehicles and manufacturing bases in Mexico further boosts tire demand and influences the reclaimed rubber market. In Europe, initiatives like the BlackCycle project promote reclaimed rubber usage. Landfill bans and environmental concerns push for recycled products, spurring rubber recycling efforts and market growth. Asia-Pacific, including China and India, shows significant growth potential due to booming tire production and increasing demand for footwear made from recycled tires. Collaborations between tire and footwear manufacturers, like Hankook Tire & Technology Co. and YASE, further drive reclaimed rubber industry growth. Central and South America, with thriving mining and automobile sectors, are adopting regulations for proper tire waste management. The recycling of mining tires and regulations to recycle vehicle tires contribute to the reclaimed rubber market's growth in the region.

Reclaimed Rubber Market Drivers

Favorable regulations promoting sustainable materials as substitutes for conventional virgin rubber

Governments around the world are encouraging the use of sustainable materials instead of regular rubber, which doesn't break down easily, especially when it comes to getting rid of old tires. They're pushing for tire recycling programs in regions like Europe, Asia Pacific, the Middle East, and North America. In California, for example, they set up a fund back in 1989 to help recycle tires and use the rubber again. In Europe, countries like the Netherlands, Sweden, and Germany are making tire companies responsible for what happens to their tires even after they're sold. This is helping the rubber recycling industry grow. Reclaimed rubber, which comes from recycled tires, is tougher and can handle different weather conditions better than regular rubber. That's why more industries are turning to it. This switch to reclaimed rubber is part of a bigger effort to be kinder to the environment and find greener options for making things.

Reclaimed Rubber Market Challenges

• Technological advancements, while crucial for competitiveness and product improvement, also pose challenges in terms of investment and adaptation to evolving recycling technologies. Moreover, the market landscape is characterized by shifting demands and intensifying competition, requiring companies to remain agile and responsive to changing consumer preferences and market dynamics. 
• Supply chain management emerges as a critical issue, as securing a reliable and cost-effective supply of raw materials, such as scrap tires and rubber products, involves navigating logistical complexities and regulatory constraints. Additionally, addressing perceptions and branding concerns surrounding reclaimed rubber requires concerted efforts in marketing, education, and quality assurance to build trust and credibility with customers. 

Reclaimed Rubber Market Landscape

Technology launches, acquisitions, and R&D activities are key strategies adopted by players in the Reclaimed Rubbers Market. Reclaimed Rubbers Market top companies are:

1. SABIC
2. BASF SE
3. 3M
4. Sumitomo Chemicals
5. Covestro AG
6. Mitsubishi Chemical Holdings Corp.
7. LyndollBasell Industries N.V.
8. Evonik Industries AG
9. Mapei SpA, Ashland, Inc,
10. Star Polymers Inc.

Acquisitions/Technology Launches

• In September 2022, Ecore International, a prominent rubber recycling firm headquartered in Lancaster, Pennsylvania, unveiled intentions to allocate USD 25.5 million for the establishment of a production and recycling plant in Ozark, Alabama. The facility aims to produce flooring and surfacing items utilizing reclaimed rubber sourced from recycled vehicle tires. 
• In April 2023, Ecore International, recognized as the largest recycler of reclaimed tire rubber across North America, completed the acquisition of 360 Tire Recycling Group, a leading tire recycling management enterprise in the industry. This strategic partnership bolsters Ecore's capacity to gather tires and buffings while streamlining the procurement of raw materials essential for the development of the company's innovative flooring and surfacing merchandise.

For more Chemicals and Materials Market reports, please click here