Recycled Copper Market

Global Recycled Copper Market Size (2024 to 2029)

The size of the global recycled copper market was estimated at USD 252.64 billion in 2023.  The global market is expected to reach USD 355.95 billion by 2029, growing at a CAGR of 7.10% over the foreseen period of 2024 to 2029.

Copper scrap collected from various sources is used as a raw material in copper recycling. Metallic copper scrap is separated and processed several times to produce recycled copper. Metallic copper scrap is mainly obtained from scrap of automotive components, building materials, and electronic and electrical products. The global market demand for recycled metals is approximately 825.50 million tons in 2020. Recycled copper is gaining popularity due to its cost-effectiveness, as the production process uses much less energy. Electrical and wiring applications are central concerns for companies in the recycled copper market, as recycled copper retains electrical conductivity. Recycled copper has been found to help increase the energy efficiency of many electrical systems. Also, the copper recycling process consumes much less energy than primary copper production. Therefore, outside of electronics, manufacturers in the recycled copper market are exploring value recovery opportunities in the industrial machinery and equipment sector to expand their revenue streams.

MARKET DRIVERS

The growing emphasis on secondary metal production due to environmental concerns such as energy consumption and waste disposal is majorly driving the recycled copper market growth worldwide.

Copper is ubiquitous in the equipment that modern life increasingly depends on, including high-tech products, electrical installations, motors, solar systems, and smart buildings. Cabling and electrical infrastructure are key revenue-generating sectors for recycled copper, as copper is widely recycled without losing its chemical and physical properties. The high rate of urbanization and industrialization in the Asia Pacific and the Middle East is expected to boost the construction industry, which will have a greater impact on metal demand in the coming years.

Constant technological updates and increased focus on metal recycling due to strict legislation are likely to improve the metal recycling rate, helping to achieve big gains for the entire market over the course of the forecast period. Recycled copper has been found to help increase the energy efficiency of many electrical systems. The copper recycling process uses much less energy than primary copper production. Therefore, outside of electronics, manufacturers in the recycled copper market are exploring value recovery opportunities in the industrial machinery and equipment sector to expand their revenue streams. Technical advances in design with better performance have led to greater acceptance of electric vehicles. This is expected to boost the transportation segment of the Asia-Pacific recycled copper market in the near future.

MARKET RESTRAINTS

An inefficient recycling process is a major factor hampering the growth of the recycled copper market for years to come.

For example, the recycling of ferrous metals constitutes more than 40% of its total production. This is attributed to an inefficient recycling process and machines that are unable to obtain scrap from the total waste generated.

Impact Of COVID-19 On the Global Recycled Copper Market

The supply and demand for recycled copper have suffered severely during the COVID-19 pandemic. The corresponding slowdown in the global manufacturing sector has further affected the growth of the recycled copper market. As such, US-based recycling organizations are holding a series of online events to assess copper demand and supply in the coming months. With the help of virtual events, companies in the recycled copper market are gaining momentum in their ideas to continue operating in a slow-growing market. Recycling organizations have high hopes for the introduction of intermediate vaccines or antidotes to maintain business continuity and restore worker confidence in manufacturing plants. However, the demand for recycled copper has been found to be gradually collapsing in the automotive sector. As such, recycling companies maintain flexible and stable chains to avoid supply shocks in critical application industries such as electronics and wiring.

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global Recycled Copper Market Analysis By Copper

The scrap grade segment had 36.6% of the global recycled copper market in 2023 and emerged as the most dominating segment based on copper type. Scrap-grade copper is majorly sourced from post-consumer and industrial scrap materials and is recognized as the environmentally friendly alternative to virgin copper. The growth of the scrap-grade segment is primarily attributed to the availability of industrial scrap from the manufacturing and construction industries and stringent environmental regulations that promote recycling and sustainable practices.

The bright bare copper segment is anticipated to register a healthy CAGR during the forecast period. Bright bare copper is a premium grade recycled copper and mostly used in the electrical and telecommunications industries. The demand for high-quality conductive materials in the electrical and electronics industry is on the rise, which is primarily contributing to the growth of the bright bare copper segment in the global market.

Global Recycled Copper Market Analysis By Application

The building and construction segment had a significant share of the global market in 2023 and the domination of the segment is expected to continue during the forecast period. Recycled copper is used in a wide range of applications in the power generation, distribution, and transmission industry, due to its high electrical and thermal resistance.

REGIONAL ANALYSIS

Asia-Pacific dominated the recycled copper market worldwide in 2023. The lead of the Asia-Pacific region in the global market is primarily due to the rapidly growing manufacturing industry, increasing number of infrastructure development projects and rising awareness of the benefits of recycled materials. China is a key country in the manufacture of electronic products. The increasing demand for recycled copper in the global electronics market due to rapid urbanization and improved lifestyle has increased the electronics market in China. China plans to make significant investments worth USD 2.7 trillion in the transport and infrastructure sector, which in turn will have a subsequent positive impact on the demand for metals and is therefore likely to contribute significantly. China, India and Japan are the largest producers and consumers of copper worldwide.

Europe is a promising regional segment for recycled copper worldwide and is predicted to account for a substantial share of the global market during the forecast period. At the total size of the market for recycled metals on time, Europe has a vital share of the global recycled copper market. Germany accounted for a significant part of the recycled copper market in Europe in 2020. It is expected to be the largest copper-consuming country in Europe during the forecast period. The initiatives from the governments of European countries to promote recycling and increasing awareness among industries regarding the environmental benefits of using recycled copper in Europe are propelling the European market growth.

North America is anticipated to play a key role in the global market during the forecast period. The demand and usage of recycled copper in industries such as construction, electronics and automotive across the North American region is primarily boosting the regional market expansion. The rapid adoption of electric vehicles (EVs) and renewable energy technologies in North America is further promoting the growth of the North American market.

KEY PLAYERS IN THE GLOBAL RECYCLED COPPER MARKET

Companies playing a prominent role in the global recycled copper market include Aurubis AG, Commercial Metals Company, Schnitzer Steel Industries, Inc., Umicore N.V., Kuusakoski Group Oy,Sims Metal Management Ltd,OmniSource, LLC., Elgin Recycling, Pacific Metal Pty Ltd, Aaron Metals, Universal Recycling, Wilton Recycling, SA Recycling LLC, European Recycled Metal and LKM Recycling.

RECENT HAPPENINGS IN THE GLOBAL RECYCLED COPPER MARKET

• A drop of more than 60% in exports of copper and copper products in March 2019, mainly due to the closure of Sterlite's Tuticorin plant, has forced EEPC India to urge the government to adopt a copper scrap policy to prevent the importation of substandard and dangerous quality materials.
• Chinese copper scrap imports are expected to fall about 50% this year, said an official from the CMRA recycling division of the China Non-Ferrous Metals Industry Association.

DETAILED SEGMENTATION OF RECYCLED COPPER MARKET INCLUDED IN THIS REPORT

This research report on global recycled copper has been segmented and sub-segmented based on type, application, and region.

By Copper

• Scarp Grade
• Bright Bare Copper
• Number 1 Copper
• Number 2 Copper
• Number 1 Insulated Wire

By Application

• Building and Construction
• Transportation
• Industrial Machinery and Equipment  
• Electricity and Electronics

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa