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Global Automotive Recycling Market Is Valued At USD 75766 Million In 2018
Wednesday, 06 May, 2020
The automobile is already one of the most effectively recovered and recycled consumer products, with its parts being used again in vehicles or for other purposes. The metals used in its manufacture are routinely recovered, reused and recycled to high levels.

A major benefit of car recycling is that the steel from their parts can be reused for other purposes. This means that new ore doesn’t have to be mined and less energy is needed for the manufacture of recycled steel. This results in less air pollution, less water pollution and less mining waste, all a plus for the environment.

Proper recycling of cars also safely disposes of hazardous materials from the vehicle, such as oil, coolant, brake fluid and air conditioning gases that are harmful to environment and humans.

The primary goals of the automotive recycling industry are to harvest automobile components for reuse and to recycle the remaining valuable materials into specification-grade commodities that can be used in the manufacture of new basic materials such as steel, aluminum, plastic, copper, and brass.

Auto recyclers remove parts such as engines, transmissions, doors and bumpers for reuse in other vehicles. Other parts that can also be remanufactured include starters, alternators and water pumps. Batteries, catalytic converters, tires and some plastics are removed and their materials are recycled into new products. Fluids such as engine oil, coolant, and gasoline are carefully managed to prevent releases by storing them in double-walled tanks and/or secondary containment prior to being reused or recycled.

Once dismantled, the vehicle is sent to a shredding facility. These capital intensive plants are complex material separation operations. The shredder pulverizes the vehicle into fist-sized pieces of materials, which are then sent by conveyors to sophisticated separation technologies, including magnetic separation, eddy current, laser and infrared systems. The metal recovered by these plants becomes raw material feedstock for steel mills, electric arc furnaces, aluminum and other nonferrous metal smelters to manufacture a variety of products, including new vehicles.

The Global Automotive Recycling market is valued at USD 75766 million in 2018 and is expected to reach USD 202795 million by the end of 2024, growing at a CAGR of 18.04% between 2019 and 2024.

North America is the largest auto recyclers and hold over 46.7% of total auto recycling in the world. Europe is following with USD 18511 million in 2018 occupying market share about 24.4%. In addition, Asia-Pacific, especially China and India will witness the fastest growth on the global front. Automotive volume growth and increasing disposable income are the major drivers of these markets.

The market is competitive and fragmented with a few of large global firm, and thousands of smaller local companies, the concentration of this market is very low. Some key players are Scholz, Schnitzer Steel Industries, LKQ, Toyota, ECOBAT Technologie, Sims Metal Management, etc.