WASTE OIL MARKET SIZE AND SHARE ANALYSIS - GROWTH TRENDS AND FORECASTS (2025-2032)

Global Waste Oil Market Size and Forecast – 2025-2032  

The Global Waste Oil Market is estimated to be valued at USD 34.55 Bn in 2025 and is expected to reach USD 47.01 Bn by 2032, exhibiting a compound annual growth rate (CAGR) of 4.5% from 2025 to 2032.

Key Takeaways of the Waste Oil Market

• The used engine oil segment is projected to account for 36.6% of the market share in 2025, driven by the rising number of vehicles globally.
• The recycling and re-refining segment is expected to capture 35.7% of the market in 2025, driven by the rising demand for sustainable waste oil management and stricter environmental regulations.
• The landfilling segment is projected to hold 41.6% of the market share in 2025, driven by the limited availability of advanced recycling and re-refining infrastructure for waste oil.
• North America is poised to lead the global waste oil market in 2025 with a 38.7% share, driven by increasing industrialization, stringent environmental regulations, and growing awareness of sustainable waste management practices. Asia Pacific, with a 21.5% share in 2025, will be the fastest-growing region, fueled by rapid urbanization, rising industrial activities, and expanding government initiatives promoting recycling and circular economy models.

Market Overview

The waste oil market is experiencing a steady growth trend, driven by increasing environmental concerns and the need for sustainable waste management practices. Governments and industries are focusing on reducing their carbon footprint and minimizing the environmental impact of waste oil disposal. Stringent regulations and initiatives promoting the waste recycling service and reuse of waste oil are further propelling the market growth. Additionally, technological advancements in waste oil recycling processes and the growing demand for recycled oil products are expected to create new opportunities for market players in the coming years.

Current Events and Its Impact

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Segmental Insights

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Waste Oil Market Insights, By Type - Used engine oil demand is driven by the rising requirements of the automotive sector

Used engine oil segment is expected to contribute 36.6% share of the market in 2025, owing to the increasing number of vehicles worldwide. As the automotive industry continues to grow, the demand for engine oil rises, leading to a substantial generation of used engine oil. The high volume of used engine oil produced across various sectors, including transportation, construction, and mining, further bolsters its dominant position in the waste oil market.

For example, in 2023, the Society of Indian Automobile Manufacturers (SIAM) reported a significant year-on-year increase in vehicle production in India, surpassing 26 million units, which directly translates to increased engine oil consumption and subsequent waste oil generation.

Waste Oil Market Insights, By Application - Recycling and re-refining segment dominates, driven by sustainability goals and the need for resource efficiency

Recycling and re-refining segment is projected to contribute 35.7% share of the market in 2025. The increasing emphasis on sustainable practices and the growing demand for environment-friendly products have been the primary drivers behind the dominance of this segment. Recycling and re-refining waste oil not only helps in reducing the environmental impact of improper disposal but also conserves valuable resources and minimizes the need for virgin oil production.

Governments and regulatory bodies worldwide have implemented stringent regulations and initiatives to promote the recycling and re-refining of waste oil. These measures have encouraged the establishment of advanced recycling facilities and the adoption of state-of-the-art technologies to process waste oil effectively. The resulting high-quality base oils and lubricants produced from recycled waste oil have found widespread applications across various industries, including automotive, industrial, and marine sectors.

Waste Oil Market Insights, By Treatment Method – The landfilling segment dominates due to the increasing focus on recycling and sustainable practices in the waste oil market

Landfilling segment is expected to contribute 41.6% share of the market in 2025. Despite the growing emphasis on recycling and sustainable practices, landfilling remains the most commonly used method for disposing off waste oil. The lack of proper recycling infrastructure and the high costs associated with alternative treatment methods have been the primary factors contributing to the dominance of landfilling in the global waste oil market.

Regional Insights

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North America Waste Oil Market Analysis and Trends

The North America region is projected to lead the market with a 38.7% share in 2025. The region has a well-established market ecosystem, with a strong presence of major players in the waste oil collection, processing, and recycling sectors. Government policies and regulations, such as the Resource Conservation and Recovery Act (RCRA) in the U.S., have played a crucial role in promoting the proper management and recycling of waste oil. The stringent enforcement of these regulations has led to the development of a robust infrastructure for waste oil collection and processing.

Notable companies in the North America waste oil market include Safety-Kleen Systems, Inc., a subsidiary of Clean Harbors, Inc., which operates an extensive network of waste oil collection and recycling facilities across the region. Other key players include Heritage-Crystal Clean, LLC, and Vertex Energy, Inc., both of which have made significant contributions to the growth and development of the waste oil market in North America.

Asia Pacific Waste Oil Market Analysis and Trends

The Asia Pacific region is expected to exhibit the fastest growth in the market contributing 21.5% share in 2025. The rapid industrialization, growing automotive sector, and increasing awareness about the environmental benefits of waste oil recycling are the primary drivers behind this growth. Countries, such as China, India, and Southeast Asian nations, are experiencing a surge in industrial activities, leading to a higher generation of waste oil.

The Asia Pacific region is also witnessing the emergence of local players in the waste oil market, alongside the expansion of international companies. Nippon Oil Corporation, based in Japan, is a notable player in the region, with a strong focus on waste oil recycling and the production of high-quality base oils. Other companies, such as China Petrochemical Corporation (Sinopec) and Indian Oil Corporation Limited, are also actively involved in the waste oil market, contributing to its growth and development.

Global Waste Oil Market Outlook for Key Countries

U.S. Waste Oil Market Trends

The U.S. market for waste oil is characterized by a mature and well-regulated industry. The country has a robust infrastructure for waste oil collection and recycling, supported by stringent environmental regulations. Major players like Safety-Kleen Systems, Inc. and Heritage-Crystal Clean, LLC have a strong presence in the U.S. waste oil market, offering comprehensive waste oil management services. The market is driven by the large automotive sector, industrial activities, and a growing emphasis on sustainability and circular economy principles.

For instance, in March 2023, an oil spill was discovered in a stormwater pond in New Berlin, Wisconsin. Authorities responded promptly, and the city assured residents there were no known health or environmental risks. However, residents were advised to avoid the area as the city worked with the do-not-resuscitate order (DNR) to contain and clean up the spill.

China Waste Oil Market Trends

China waste oil market is experiencing significant growth, driven by the country's rapid industrialization and increasing focus on environmental protection. The government's policies, such as the National Sword Policy, have prompted the development of the waste oil recycling industry. China Petrochemical Corporation (Sinopec) is a key player in the market, actively involved in waste oil collection, processing, and recycling.

For instance, in April 2025, China's used cooking oil (UCO) exports to the U.S., its largest buyer, are plummeting as steep tariffs (125% import duty) take effect. Exports, valued at USD 1.1 billion last year, are now being diverted to Europe and other markets. The last U.S.-bound shipments left China in late March and early April in 2025.

Germany Waste Oil Market Trends

Germany is a leading market for waste oil in Europe, with a strong emphasis on environmental sustainability and circular economy practices. The country has a well-established network of waste oil collection and recycling facilities, supported by stringent regulations and government initiatives. Companies like Remondis SE & Co. KG and AVISTA OIL AG are prominent players in the Germany waste oil market, known for their advanced waste oil recycling technologies and commitment to sustainable practices. The country's automotive industry and industrial sector are major contributors to the waste oil market.

India Waste Oil Market Trends

India waste oil market is witnessing significant growth, driven by the country's rapid industrialization, growing automotive sector, and increasing awareness about the environmental benefits of waste oil recycling. The government's initiatives, such as the National Oil Recycling Program, aim to establish a network of waste oil collection and recycling centers across the country. Indian Oil Corporation Limited is a key player in the market, actively involved in waste oil collection and recycling.

New Plant Expansions or Partnerships Announced in the Waste Oil Market

• In Europe, OMV has initiated the next-scale expansion of its proprietary ReOil technology at the Schwechat refinery near Vienna. This facility is designed to process up to 16,000 metric tons of hard-to-recycle mixed plastic waste annually, converting it into synthetic crude oil, which can then be refined into fuels and chemicals.
• In March 2025, TotalEnergies partnered with Cao Gia Quy Environment Company in Vietnam to establish a used engine oil recycling facility. This collaboration aims to align with Extended Producer Responsibility (EPR) regulations and contribute to climate change mitigation efforts by recycling used engine oils into high-quality base oils.

Market Players, Key Development, and Competitive Intelligence

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Key Developments

• In January 2023, Neste acquired the used cooking oil (UCO) collection and aggregation business, along with associated assets, of Crimson Renewable Energy Holdings, LLC, on the U.S. West Coast. The acquisition strengthens Neste’s presence in UCO collection, logistics, and storage operations across California, Oregon, and Washington in the U.S.
• In September 2022, BASF SE entered into a framework agreement with ARCUS Greencycling Technologies GmbH, a Germany-based technology company, for the supply of pyrolysis oil derived from mixed plastic waste. Through this partnership, the companies aim to leverage their respective expertise to reintroduce non-mechanically recycled plastic waste into the value chain, supporting circular economy goals and reducing CO2 emissions. Under the agreement, ARCUS will supply BASF with pyrolysis oil and gradually expand its capacity, enabling BASF to utilize the oil as a raw material in the production of cycled products.
• In June 2022, Shell launched a used oil management service in India, aimed at improving waste oil disposal systems and enhancing re-refining rates. This initiative supports Shell’s broader ambition to achieve net-zero emissions by 2050, while advancing circular economy objectives by minimizing waste. As part of this programme, Shell has partnered with used oil re-refiners across India to facilitate the collection and re-refining of waste oil, fostering a circular economy in the lubricants sector.

Top Strategies Followed by Global Waste Oil Market Players

• Established players in the global waste oil market are focusing on extensive research and development to innovate high-performance products. Major corporations are heavily investing in research and development to create advanced technologies for efficient waste oil processing.
  • For example, AVISTA Green focuses on environmentally friendly processes to convert waste oil into clean products without remnant waste, leaving only water as a byproduct. This approach aligns with sustainable practices and contributes to circular economy models.

• Mid-level players in the global waste oil market are employing strategies focused on delivering quality, budget-friendly products targeting price-sensitive consumers. These companies are investing in cost-effective technologies and processes to produce waste oil-derived products that offer good value for money. They are investing in cost-effective technologies and processes to produce waste oil-derived products that offer good value for money.
  • For instance, in 2022, Alterra Energy focuses on developing technologies to convert waste into sustainable oil products. The company also forms strategic partnerships to strengthen its operational capabilities and market presence.

• Small-scale players in the global waste oil market are targeting niche markets with unique features or innovative products. These companies are focusing on developing specialized solutions that cater to specific customer requirements. Moreover, small-scale players are adopting cutting-edge technologies to remain competitive in the market. They are investing in advanced processing techniques and technologies to improve the efficiency and effectiveness of their waste oil recovery and refining processes.
  • For example, Averda, a Dubai-based waste management and recycling company, launched a used cooking oil (UCO) service in the U.A.E, targeting the hotel, catering, and restaurant sectors. This service is designed to enhance local waste management and reduce carbon emissions by collecting and processing UCO for sustainable applications.

Market Report Scope

Waste Oil Market Report Coverage

Waste Oil Market Dynamics

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Waste Oil Market Driver - Increasing regulations on waste disposal

The global waste oil market is significantly influenced by the increasing regulations on waste disposal. Governments worldwide are implementing stringent policies and guidelines to ensure proper management and disposal of waste oil, driven by growing environmental concerns and the need to mitigate the negative impact of improper disposal. These regulations aim to prevent the contamination of soil, water, and air resources, as well as to promote the recycling and reuse of waste oil.

For instance, the European Union's Waste Framework Directive (2008/98/EC) and the United States' Resource Conservation and Recovery Act (RCRA) have set clear guidelines for the management and disposal of waste oils. These regulations mandate the proper collection, storage, and treatment of waste oils, ensuring that they do not contaminate the environment or pose risks to human health. According to the United Nations Environment Programme (UNEP), globally, around 24 million metric tons of waste oils are generated annually, highlighting the immense potential for the waste oil market to expand and provide sustainable solutions.

Waste Oil Market Opportunity - Advancements in Waste Oil Recycling Technologies

The advancements in waste oil recycling technologies present a significant opportunity for the global waste oil market, particularly in the area of automotive oil recycling. In recent years, there have been notable developments in the methods and technologies used to recycle and repurpose waste oil. These advancements have led to more efficient and environmentally friendly processes, enabling the recovery of valuable base oils and the removal of contaminants. For example, modern re-refining technologies, such as hydrogenation and distillation, can produce high-quality base oils that are on par with virgin oils, supporting the circular economy in the automotive sector.

For instance, the United States Environmental Protection Agency (EPA) reported that in 2021, approximately 1.3 billion gallons of used oil were recycled in the U.S., highlighting the substantial potential for waste oil recycling.

Analyst Opinion (Expert Opinion)

• Companies like Clean Harbors are at the forefront, innovating in the recycling and repurposing of waste oil into valuable products, such as biofuels and lubricants. Recent conferences, such as the Waste Management Conference (2022) and the International Conference on Waste Oil Recycling (2023), have served as vital platforms for industry experts to discuss best practices and technological advancements.
• These events underscore the critical need for collaboration among stakeholders to tackle challenges related to collection, processing, and compliance with environmental standards. As consumer awareness around sustainability grows, the waste oil market is poised for significant expansion, driven by innovation and the increasing demand for eco-friendly alternatives in various industries.

Market Segmentation

•  Type Insights (Revenue, USD Bn, 2020 - 2032)
  • Used Engine Oil
  • Industrial Oil
  • Cooking Oil
  • Others
•  Application Insights (Revenue, USD Bn, 2020 - 2032)
  • Recycling and Re-refining
  • Fuel Production
  • Lubricants
  • Others
•  Treatment Method Insights (Revenue, USD Bn, 2020 - 2032)
  • Landfilling
  • Incineration
  • Recycling
  • Reuse
  • Others
•  End-use Industry Insights (Revenue, USD Bn, 2020 - 2032)
  • Transportation
  • Manufacturing
  • Mining
  • Construction
  • Others
• Regional Insights (Revenue, USD Bn, 2020 - 2032)
  • North America
    • U.S.
    • Canada
  • Latin America
    • Brazil
    • Argentina
    • Mexico
    • Rest of Latin America
  • Europe
    • Germany
    • U.K.
    • Spain
    • France
    • Italy
    • Russia
    • Rest of Europe
  • Asia Pacific
    • China
    • India
    • Japan
    • Australia
    • South Korea
    • ASEAN
    • Rest of Asia Pacific
  • Middle East
    • GCC Countries
    • Israel
    • Rest of Middle East
  • Africa
    • South Africa
    • North Africa
    • Central Africa
• Key Players Insights
  • Clean Harbors, Inc.
  • Veolia Environnement S.A.
  • Heritage-Crystal Clean, Inc.
  • Safety-Kleen Systems, Inc.
  • SUEZ Recycling and Recovery
  • Oil Re-Refining Company, LLC
  • Baker Hughes Company
  • Red River Environmental
  • Gershman, Brickner & Bratton, Inc.
  • Veolia
  • Greenergy International Ltd
  • Noble Oil Services
  • Aqua-Aerobic Systems, Inc.
  • TerraCycle, Inc.
  • Duke Energy Corporation
  • Bunorr Integrated Energy Limited
  • Enva

Sources

Primary Research Interviews

• Operations Director – Global Waste Oil Collection & Processing Company (insights into collection technologies and processing efficiency improvements)
• Procurement Manager – Major Automotive Lubricant Manufacturer (demand for recycled base oils in lubricant production)
• Environmental Compliance Head – Industrial Manufacturing Conglomerate (waste oil generation patterns and disposal requirements)
• Business Development Manager – Re-refining Technology Provider (market trends in waste oil processing technologies)

Stakeholders

• Waste Oil Collectors & Processors
• End-use Sectors:
• Automotive Industry (engine oils, transmission oils, hydraulic oils)
• Industrial Manufacturing (lubricants, fuel applications)
• Marine & Aviation (specialized oil applications)
• Re-refining Companies
• Regulatory & Environmental Bodies
• Service Providers: Waste oil transportation, storage facility operators, testing laboratories
• Technology Providers: Filtration equipment, distillation systems, chemical treatment solutions

Databases

• EPA Toxic Release Inventory Database
• International Energy Agency (IEA) Oil Market Database
• UN Environment Programme Waste Management Database
• Regional Environmental Protection Agency Records

Magazines

• Waste Management World – Waste oil collection and processing innovations
• Petroleum Review – Re-refining technology developments and market analysis
• Recycling Today – Waste oil recycling trends and regulatory updates
• Lubes'N'Greases – Used oil management and base oil markets
• Environmental Protection – Waste oil disposal regulations and compliance

Journals

• Waste Management – Research on waste oil treatment technologies
• Journal of Cleaner Production – Environmental impact of waste oil recycling
• Fuel Processing Technology – Advanced re-refining processes and efficiency
• Resources, Conservation and Recycling – Circular economy applications in waste oil
• Environmental Science & Technology – Waste oil contamination and remediation

Newspapers

• Financial Times – Global oil market trends and waste oil commodity prices
• The Economic Times – India's waste oil collection and biodiesel initiatives
• China Daily – Asia-Pacific waste oil processing capacity expansions
• The Guardian – Environmental regulations impact on waste oil industry
• Gulf Times – Middle East waste oil management and recycling investments

Associations

• International Association of Used Oil Processors (IAUOP)
• Petroleum Equipment Institute (PEI)
• Automotive Oil Change Association (AOCA)
• European Waste-to-Energy Association
• Asian Waste Management Association
• National Oil Recyclers Association (NORA)

Public Domain Sources

• EPA – Used oil management standards and regulations
• European Environment Agency – Waste oil directive implementation reports
• UNEP – Global waste oil generation and management guidelines
• S. Department of Energy – Waste oil energy recovery programs
• Ministry of Environment (various countries) – Waste oil collection statistics
• World Bank – Industrial waste management in developing economies

Proprietary Elements

• CMI Data Analytics Tool, Proprietary CMI Existing Repository of Information for Last 8 Years.a