Metal Recycling Equipment Market Size, Share & Trends Analysis Report By Equipment (Baler Press, Shredders, Granulators, Shears, Separators), By Region, And Segment Forecasts, 2021 - 2028

Report Overview

The global metal recycling equipment market size was valued at USD 6.28 billion in 2020 and is expected to expand at a compound annual growth rate (CAGR) of 6.1% from 2021 to 2028. The increasing generation of construction and demolition waste and E-waste worldwide, coupled with favorable government policies, is anticipated to drive the demand for metal recycling equipment. During the COVID-19 pandemic, due to lockdowns, major end-use industries such as construction, automotive, aerospace, and electronics were shut down, which negatively affected the growth of the market as there was no generation of waste from the end-use industries. Due to the shortage of waste, the price of scrap rose from USD 30 to USD 50 per ton during the start of May 2020.

The growth of the market in the U.S. was negatively affected in 2020 due to the shortage of waste, inability to export metal waste due to border closures, shortage of workers, increasing prices of metal waste, and low demand from the end-use industries. However, from the beginning of 2021, the demand for metal recycling equipment is increasing as the world returns to normalcy as well as vaccination rollouts are increasing.

Metals exhibit high sustainability and recyclability and are used in various end-use industries, thus boosting the demand for recyclable metal and in turn metal recycling equipment. Growing government initiatives regarding waste management, rising consumer awareness regarding recycling waste, and increasing demand for recycled materials from various end-use industries are expected to boost the market demand.

Countries are removing the ban on importing metal waste while a few countries are focusing on initiatives to improve the recycling system in their respective countries. Furthermore, in October 2020, U.S. EPA’s National Recycling Strategic plan was introduced in order to foster a cost-effective, more resilient, and stronger recycling system. Government initiatives regarding making the recycling system strong are likely to benefit the market growth.

Collecting and sorting materials to recycle is time and energy-consuming as well as expensive. Few metals, especially aluminum, degrade after every reuse cycle, which means the quality of the final product can vary. The time-consuming and complex process of collection and sorting of metals for recycling is likely to limit market growth.

Equipment Insights

The baler press segment led the market and accounted for over 20.0% share of the global revenue in 2020. Due to more environmental benefits, the demand for recycling metals is rapidly increasing from multiple end-use industries as recyclable metals are used as primary raw materials in various industries such as construction, automotive, aerospace, and electronics, which is likely to be beneficial for the market.

A baler is a recycling machine used for compressing recyclable materials, such as cardboard, paper, plastic, aluminum, and non-ferrous metals, into dense bundles known as bales. The baler, also known as the baling machine, is a large steel chamber comprising a pressing plate that is used for compressing the material inside the chamber until the desired bale size is achieved.

The shredders segment is likely to expand at the fastest CAGR of 6.8% over the forecast period. The emergence of modern technologies has proved to be effective in terms of identifying different kinds of metals, especially ferrous. Increasing demand for metal scrap has compelled scrap yards to install technologically advanced and sophisticated shredding equipment, thereby complementing market growth.

Industrial shredders used for recycling applications are high volume and heavy-duty systems. These shredders are equipped with various kinds of cutting systems such as horizontal shaft design, vertical shaft design, single shaft, 2-shaft, 3-shaft, and 4-shaft cutting systems. Multiple factors such as the volume of throughput, assortment of items to be recycled, and requirements of residual buyers are considered while investing in the shredding equipment.

Regional Insights

The Asia Pacific led the market and accounted for over 40.0% share of the global revenue in 2020. The Asia Pacific is the world's most resource-intensive region, both in terms of domestic metal use and metal footprint. A substantial increase in mergers & acquisitions, integration activities, and site relocations has boosted industrial development in the region, thereby complementing the market growth.

In January 2021, the Chinese government made changes in its import restrictions for aluminum and copper, which is expected to generate a tailwind for the market. To curb greenhouse gas emissions, the government has been looking to restrict crude steel production capacity to electric arc furnaces, which are scrap intensive and environmentally friendly. This is expected to generate high demand for metal recycling equipment over the forecast period.

The Middle East and Africa market is likely to expand at a CAGR of 6.5% over the forecast period. Increasing construction activities in the Middle East, coupled with new oil and gas projects, are anticipated to boost the growth of the construction sector. Furthermore, increasing investments in aircraft manufacturing, textile machines, and fabricated metal goods are expected to boost the growth of the manufacturing industry in the region.

Saudi Arabia’s construction and infrastructure industries are driven by dynamic approaches to the construction industry, technology adoption, and the implementation of new operating standards. The construction and demolition industry has been a major contributor to metal scrap, which would complement the growth of the market.

Key Companies & Market Share Insights

The market is highly competitive owing to the presence of both multinational and local manufacturers. Metal recycling equipment manufacturers adopt several strategies including acquisition, collaboration, new technology development, and geographical expansion to enhance their market penetration and meet the dynamic technological demands from the end-use industries such as aerospace, automotive, and construction.

For instance, in October 2021, Metso Outotec launched an Index online tool for metal recycling machines. This tool enables sifting through data, collecting, and evaluating data to monitor and analyze metal recycling machines. Furthermore, in October 2021, U.S.-based SA Recycling LLC acquired PSC Metals LLC for USD 290 million. This acquisition enabled SA recycling to gain access to the scrap metal processing facilities of PSC Metals in North America. Some prominent players in the global metal recycling equipment market include:

• Kiverco

• General Kinematics Corporation

• Marathon Equipment

• American Baler Company

• Danieli Centro Recycling

• Forrec Srl Recycling Systems

• BHS Sonthofen

• Metso Corporation

• JMC Recycling Ltd.

• LEFORT

• CP Manufacturing, Inc.

• Recycling Equipment Manufacturing

• Eldan Recycling A/S

• MHM Recycling Equipment

• Ceco Equipment Ltd.

Metal Recycling Equipment Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2017 to 2028. For the purpose of this study, Grand View Research has segmented the global metal recycling equipment market report on the basis of equipment and region:

• Equipment Outlook (Revenue, USD Million, 2017 - 2028)

  • Baler Press

  • Shredders

  • Granulators

  • Shears

  • Separators

  • Others

• Regional Outlook (Revenue, USD Million, 2017 - 2028)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • France

    • Italy

    • Spain

    • U.K.

  • Asia Pacific

    • China

    • Japan

    • India

    • South Korea

    • Australia

  • Central & South America

    • Brazil

    • Argentina

  • Middle East & Africa

    • Saudi Arabia

    • UAE