Global recycled copper market is estimated to be valued at USD 45.65 Bn in 2024 and is expected to reach USD 91.23 Bn by 2031, exhibiting a compound annual growth rate (CAGR) of 10.4% from 2024 to 2031.
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Recycled copper helps reduce environmental impact as it requires significantly lower energy usage as compared to primary copper production. It also eases pressure on demand for mined copper reserves as recycling recovers copper units already in use. This is mainly attributed to rising environmental concerns across the globe. Growing emphasis on sustainable production practices and reducing carbon footprint can boost demand for recycled copper. Depletion of high-grade copper resources encourages growth in copper recycling activities to ensure steady supply of the metal.
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Insights By Source- Industrial Scrap Segment Dominates with Rising Industrialization
In terms of source, industrial scrap segment is estimated to contribute the highest market share of 60.3% in 2024, owing to increased industrialization and manufacturing activities. Industrial scrap leads the market due to increasing industrialization and manufacturing. Widely used in industries like construction, power, and automotive for applications such as wiring and piping, copper demand has surged with rising industrial and infrastructure development across major economies.
Insights By Application- Building & Construction Segment Leads the Adoption of Recycled Copper for Infrastructure and Plumbing
In terms of application, building & construction segment is estimated to contribute the highest market share of 28.4% in 2024, due to extensive copper usage in wiring, piping and sheeting applications. Building and construction sector is the largest consumer of recycled copper due to its use in wiring, piping, roofing, and cladding. Copper's electrical conductivity makes it essential for power infrastructure, while its corrosion resistance makes it ideal for plumbing in residential, commercial, and industrial buildings.
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Dominating Region- Asia Pacific
Asia Pacific is expected to dominate the global recycled copper market in 2024 with an estimated market share of 48.7%. The regional market growth is driven by robust government recycling policies such as the National Development and Reform Commission (NDRC), rapid industrialization, and large-scale infrastructure projects. The region's surging copper demand can boost the adoption of recycled copper.
Fastest-Growing Region- North America
North America region exhibits the fastest growth with major industrial hubs in the U.S. and Canada. North America boasts a sizable presence across sectors such as construction, electronics, and power generation - key end users of recycled copper. Major companies in the region have also significantly invested in recycling facilities and operations over the years.
Recycled Copper Market Outlook for Key Countries
Advanced Recycling Technologies Drive Growth in the U.S. Recycled Copper Market
The U.S. market is dominated by large recyclers leveraging advanced sorting and processing technologies. The U.S. has a well-established recycling infrastructure, with recycled copper playing a crucial role in industries such as construction, automotive, and electronics. The emphasis on sustainability and circular economy practices drives the market growth. In 2022, the U.S. exported approximately 864,237 metric tons of copper scrap, reflecting a 2.5% increase from 2021.
China's Expanding Copper Recycling- Meeting Domestic Demand and Global Ambitions
China's market exhibits high potential due to the country's enormous postwar rebuilding programs and manufacturing sector. Chinese firms are also strengthening their global copper recycling footprint. As the world's largest consumer of copper, China has been intensifying its recycling efforts to meet domestic demand and reduce environmental impact. In November 2024, China's recycled copper volume is projected to rise from 2.5 million tons to 2.7 million tons, with expectations to reach 3.5 million tons by 2030.
Canada's Growing Recycled Copper Market Due to Sustainability and Policy-Driven Expansion
Canada's recycled copper market is experiencing significant growth, bolstered by governmental policies that promote recycling and environmental conservation. The country's robust mining sector ensures a steady supply of scrap copper for recycling, and Canadian manufacturers are increasingly incorporating recycled copper into their products to meet sustainability goals. For instance, in 2022, Canada exported US$ 892 million worth of scrap copper, making it the 11th largest exporter globally. The primary destinations for these exports were the U.S. (US$ 395 million), China (US$ 309 million), Germany (US$ 54.5 million), and India (US$ 24.5 million).
Japan's Leadership in Copper Recycling- Innovation and Resource Efficiency in a High-Tech Economy
Japanese companies have made significant investments in innovative copper scrap recycling methods to enhance resource security for their high-tech economy. Japan’s advanced technological sector, coupled with stringent environmental regulations, has fueled the market growth. The nation places a strong emphasis on efficient resource utilization and has developed highly sophisticated recycling systems. Key industries such as Mitsubishi Materials Corporation and Pan Pacific Copper Co., Ltd., including electronics and automotive, serve as major consumers of recycled copper, driving the demand in the region.
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Top Strategies Followed by Global Recycled Copper Market Players
Emerging Startups in the Global Recycled Copper Market
Some startups create advanced technologies. Trace amounts has developed smart sensors that detect microscopic copper levels in soils, aiding mineral exploration. While CopperBot uses AI to automate scrap sorting, improving recycling facility throughput by 30%. Such innovations could transform copper mining processes and recycling operations over the long run.
Sustainability focused startups also emerge. Green Copper manufactures roofing sheets entirely from recycled urban copper piping waste. TheirZero Waste initiative aims to establish a circular copper supply chain within cities. If successful, it could encourage local copper recycling adoption and emissions reduction from transporting raw materials.
Some startups fill specific niches. ReCopper targets do-it-yourself hobbyists, offering small customizable copper ingots produced from recycled electrical cables. They work with hardware stores to promote educational usage of recycled copper for arts and crafts. Collaboration helps drive niche application development benefiting the broader industry.
Key Takeaways from Analyst
This market growth is driven by rising copper scrap availability due to growth in end-use industries and increasing environmental concerns regarding sustainable raw material procurement. Copper scrap has also gained significance as its recycling process significantly reduces mining of virgin ore. However, fluctuating copper prices and oversupply in the market remains a long-term challenge.
Asia Pacific currently dominates recycled copper consumption due to high industrial activity and presence of mature recycling infrastructure. Meanwhile, North America is likely to emerge as the fastest growing regional market, due to growing importance of sustainable development and recycling initiatives being taken by U.S. and Canada and other developing nations in the region.
In terms of application, construction segment is expected to continue leading copper consumption from recycling amid increase in infrastructure development and construction activities globally. Transportation will also showcase noteworthy demand due to increased vehicle production. Other key application areas include industrial machinery and equipment manufacturing.
Recycled Copper Market Report Coverage
Report Coverage | Details | ||
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Base Year: | 2023 | Market Size in 2024: | US$ 45.65 Bn |
Historical Data for: | 2019 to 2023 | Forecast Period: | 2024 to 2031 |
Forecast Period 2024 to 2031 CAGR: | 10.4% | 2031 Value Projection: | US$ 91.23 Bn |
Geographies covered: |
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Segments covered: |
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Companies covered: |
Sims Metal Management, Nucor Corporation, Commercial Metals Company (CMC), European Metal Recycling Ltd., Schnitzer Steel Industries, Inc., David J. Joseph Company (DJJ), Recycling Group, OmniSource Corporation, Ferrous Processing & Trading, Metalico, Inc., KWS Environmental, SA Recycling, LLC, BHS (Babcock & Wilcox), Recycled Metal Solutions, Inc., and J.P. Morgan Chase & Co. (Copper trading division) |
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Growth Drivers: |
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Restraints & Challenges: |
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Market Driver- Increasing demand for copper in electrical and electronic applications
The demand for copper is surging in the global market on account of its widespread applications across diverse industries, especially in electrical and electronic sectors. Copper plays a pivotal role as it is highly conductive and corrosion resistant, making it an indispensable metal in wires, cables, circuit boards and other components used in various appliances, gadgets, automobiles and infrastructure projects around the world. For instance, the International Energy Agency (IEA) in its 2023 report mentioned that the global electric car stock is expected to increase to over 250 million vehicles by 2030, compared to approximately 13 million in 2021.
Market Challenge- Price volatility of copper affecting recycling profitability
Price of copper in the market is very volatile and subject to fluctuations, depending on macroeconomic conditions and supply and demand forces. As the global economy goes through periods of boom and bust, it has a significant impact on copper prices in both directions. For recyclers, this poses major challenges in maintaining a consistent profit margin. When copper prices are low, the revenue from selling recycled copper scrap is also low, affecting profitability.
Market Opportunity- Technological advancements in recycling processes
There have been significant technological advancements in copper recycling processes and methodologies over the last few years. New automation solutions like robotics and AI are enabling more efficient sorting of complex waste mixtures. Advanced sensor-based systems can detect tiny amounts of copper in e-waste much faster. Hydrometallurgical processes are becoming more sophisticated allowing recovery of higher purity copper even from dilute sources. Microwave, plasma and other thermal processes are helping break down component bonds more effectively.
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About Author
Yash Doshi is a Senior Management Consultant. He has 12+ years of experience in conducting research and handling consulting projects across verticals in APAC, EMEA, and the Americas.
He brings strong acumen in helping chemical companies navigate complex challenges and identify growth opportunities. He has deep expertise across the chemicals value chain, including commodity, specialty and fine chemicals, plastics and polymers, and petrochemicals. Yash is a sought-after speaker at industry conferences and contributes to various publications on topics related commodity, specialty and fine chemicals, plastics and polymers, and petrochemicals.
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