According to a new research report by Global Market Insights Inc., the Circular Polymers Market size to reach USD 175.6 billion by 2030 owing to increased consumer awareness, a strong regulatory environment, and consumer-packaged goods (CPG) pledges.
For instance, more than 80 CPG companies have pledged to reach 15% to 50% recycled content in their packaging by 2025. Advanced plastic recycling can satisfy 4% to 8% of the total polymer demand by 2030. The industry is also involved in building new infrastructures that will aid in the production of circular polymers. Advanced sorting facilities are being built around the world to sort the plastics by type & color and to remove contaminants.
Currently, the demand for recycled polymers is majorly driven by rising regulations on the adoption of recycled polymers. For instance, under the new EU target, 55% of the total plastic packaging needs to be recycled by 2030. This directive will force companies to use recycled polymers compared to virgin polymers by 2030.
Rising consumer awareness regarding the consumption of plastic packaging and its negative impact on the environment will push consumers toward sustainable materials. In a circular economy, polymers are recycled and their impact on the environment is much less compared to virgin plastics.
Circular polymers market growth will be driven by changing consumer perception, regulatory environment, and rising adoption of recycled polymers by end-user industries. However, the product demand will be hampered by consumers adopting more sustainable (biodegradable) materials for packaging. Furthermore, virgin plastic is better in terms of quality and some amount of virgin polymers needs to be added to recycled polymers to maintain the quality.
Browse key industry insights spread across 200 pages with 174 market data tables & 26 figures & charts from the report, “Circular Polymers Market Size, By Polymer (Polyethylene Terephthalate (PET), Polyethylene, Polypropylene, Polyvinyl Chloride (PVC)), By Application (Packaging, Building & Construction, Automotive, Electrical & Electronics, Agriculture), Industry Analysis Report, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast, 2022 – 2030”, in detail along with the table of contents:
Polyethylene will remain the second-most recycled polymer by 2030
The polyethylene segment will hold more than 25% revenue share by 2030. More than 60 million tons of polyethylene are produced every year. Polyethylene has the second-highest recycling rate after PET. The increasing demand for recycled polyethylene products from end-user industries such as furniture, toys, plumbing, paneling, etc., will boost the circular polymers market share.
Building & construction will dominate the end-user industry
The building & construction segment will grow at a CAGR of over 10% through 2030. Over the years, the building & construction sector has emerged as a key end-user industry for recycled polymers. For instance, Europe’s building & construction sector has become the largest end-use sector with more than 45% demand share in 2021. Growing construction of green buildings and the increasing usage of recycled materials will push the circular polymers market growth.
A strong regulatory environment will push the European market
Europe circular polymers market will witness around 10.5% CAGR through 2030. Frameworks such as Extended Producer Responsibility transfer responsibility of plastic containers/packaging recycling and disposal cost to the manufacturers. The mandate also requires a certain percentage of the packaging of plastic products to be made from recycled polymers. A strong regulatory framework, available recycling infrastructure, and rising investments in a circular economy will push the European market.
The market is highly fragmented and no player in the market has a considerable share. As the demand for recycled polymers increases, the market will become more lucrative and large companies will enter the market. Currently, notable players in the circular polymers industry are Circular Polymers, Total Energies, KW Plastics, Advanced Circular Polymers, Quality Circular Polymers, Borealis, and Veolia.