Recycled Elastomers Market Size

Recycled Elastomers Market Size

Recycled Elastomers Market size was estimated over USD 2.5 billion in 2017 and the industry will grow by a CAGR of more than 12% up to 2025.

Population growth coupled with increase in government spending has given an up thrust to the infrastructure sector in many developing nations of the Asia Pacific region, encouraging the recycled elastomers market growth in the forecast spell. India showed the fastest growth by a rate of 7.7% in the first quarter of 2018. This is due to strong performance of the construction and infrastructure sector as highway construction in India has doubled in the last four years with 27 kilometers a day in the year 2017. With more expressway and highway projects sanctioned in Asian countries, the product usage as an asphalt binder will result in recycled elastomer market growth in near future. Structural reforms taken by government to boost agricultural productivity results in rise in income of the farmers. This will substantially bolster the recycled rubber demand as it is used for protecting crops and cattle from adverse weather conditions.

Extensive usage of recycled elastomers for the production of fuel rather than recycling will act as a key restraining factor for the entire industry. In the U.S, almost 300 million tires are scrapped on an annual basis and from these around 52% of the tires are used for making tire-derived fuel, used in various manufacturing industries. Scrap tires are potential sources of energy in the U.S. as it produces close to 1,065.6 trillion kilo joules of energy per year based on the discard rate of used tires and this is quite equivalent to 17 million barrels of crude oil. This is all due to their properties to produce less CO₂ as compared to other fuels such as petroleum coke and coal. This will discourage the recycling activities and act as a restraining factor for the recycled elastomers market in the near future.