Plastic To Fuel Market Size, Share & Trends Analysis Report By Technology (Pyrolysis, Gasification, Depolymerization), By End-fuel (Sulfur, Hydrogen, Crude Oil), By Region, And Segment Forecasts, 2021 - 2028

Report Overview

The global plastic to fuel market size was valued at USD 231.0 million in 2020 and is expected to grow at a compound annual growth rate (CAGR) of 29.5% from 2021 to 2028. Growing demand for the generation of energy from waste on account of a clean environment has triggered the growth of the market. Increasing household and industrial waste have caused governments in different regions to generate energy from plastic. A favorable regulatory scenario combined with government support in the form of tax benefits and financial incentives should have a positive impact on the market in the coming years. Growing environmental concerns about the use of non-renewable energy sources should hinder market growth.  

The increasing demand for recycling industry in developed markets such as Japan, Netherlands, Germany, and the U.S. should impel market growth. Companies such as Chevron and BP have introduced plastic to fuel techniques to produce and to generate their own energy using plastic waste.

The global economy is anticipated to enhance post-COVID-19 pandemic, which is why energy requirements are expected to increase exponentially in the coming years. Furthermore, increasing R&D to minimize installation costs of plastic to fuel generation plants is projected to propel market growth in these regions. Technological advancements for energy generation in order to improve the efficiency of energy yielded from waste are expected to positively influence market participants.

According to the World Bank, approximately 242.0 million tons of plastic waste is generated every year. Availability of such huge plastic waste is a key factor driving the market. Moreover, numerous countries are developing solutions to tackle plastic waste disposal other than landfill. These factors are anticipated to drive the market during the forecast period.

Technology Insights

The pyrolysis technology led the market and accounted for 65.3% share of the global revenue in 2019. This technique processes mixed, unwashed, and soiled plastics more efficiently than other technologies. Moreover, numerous fuel types can be generated through this technology such as biofuel, solid residue, and synthetic gas. These factors are anticipated to drive the pyrolysis technology during the forecast period.

Gasification refers to the process of converting fossil fuel and organic materials into various gases such as carbon dioxide, carbon monoxide, and hydrogen. The different forms of gasification include fluidized bed reactors, entrained flow gasifiers, counter-current fixed bed gasifiers, co-current fixed bed gasifiers, and plasma gasifiers. This technology is on the rise due to growing demand for hydrogen around the globe.

Depolymerization is a process of converting polymers into several monomers under high temperatures. This technology is largely used to recycle plastic and generate fuel out of it. Depolymerization technology is anticipated to grow in the near future because it can convert complex plastic structures into fuel which other technologies are not able to.

End-fuel Insights

Crude oil led the market and accounted for 55.1% share of the global revenue in 2019. The wide application of crude oil produced from plastic in automobiles, boilers, ships, tractors and trucks, power generators, and construction machinery is projected to boost the market over the forecast period. The rising consumption of crude oil as a fuel in the U.S., China, Japan, India, and Brazil due to the burgeoning automotive industry in these countries is likely to propel the plastic to fuel the market over the forecast period once the COVID-19 pandemic is tackled.

The demand for clean fuel is expected to witness exponential increase every year, with rising pollution levels coupled with growing government regulations to control and curb the carbon content in fuels is expected to drive demand for hydrogen in the near future. Adoption of hydrogen-powered fuel cells has witnessed a robust growth over the past decade owing to being classified as pollution-free source of energy and is being used extensively in powering cars and buses. These factors are anticipated to drive the production of hydrogen from plastics during the forecast period.

Regional Insights

Asia Pacific dominated the market and accounted for a 35.5% share of global revenue in 2019. The major demand for plastic to fuel is expected to arise from China, India, and Japan. Increasing industrialization and urbanization in this region is expected to fuel market growth over the coming years. Favorable government policies and regulations to promote the development of renewable energy technologies are projected to propel market growth over the forecast period.

Europe is the second largest regional segment in the market. Countries such as Germany, Austria, Wales, and Switzerland which have a high plastic recycling rate are anticipated to drive the market players to develop efficient plastic to fuel technologies. Furthermore, the European Union and local policymakers are developing favorable regulatory environment for the plastic to fuel industry to grow at a significant pace in the near future.

Growing population, especially in China and India, supports this increase in energy consumption. With the increasing population, the demand for basic fuel requirements such as electricity, transportation, and fuel for cooking has been increasing. The amount of plastic waste generated from these countries is exceptionally high. The waste plastic is abundantly available which can be utilized to generate fuel. These factors are anticipated to drive the market during the forecast period.

Key Companies & Market Share Insights

Since the technology is under development, the market is fragmented with few companies providing commercial plastic to fuel technologies. The companies are now concentrating on offering shareholders long-term value in order to grow and survive in the market. The key players value developing robust and low-risk strategies that ensure a significant profit margin and a strong foundation for their shareholders. Some of the prominent players in the plastic to fuel market include:

• Vadaxx Energy

• Plastic2Oil

• RES Polyflow

• Green Envirotec Holdings LLC

• Agilyx Corporation

• JBI Inc.

• Envion

• Shangqiu Sihai Machinery Equipment Manufacturing Co., Ltd.

• Beston (Henan) Machinery Co., Ltd.

• Zhangzhou Qiyu Renewable Energy Technology Co., Ltd.

Plastic To Fuel Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2016 to 2027. For the purpose of this study, Grand View Research has segmented the global plastic to fuel market report on the basis of technology, end-fuel, and region:

• Technology Outlook (Revenue, USD Million, 2016 - 2028)

  • Pyrolysis

  • Depolymerization

  • Gasification

• End-fuel Outlook (Revenue, USD Million, 2016 - 2028)

  • Sulfur

  • Hydrogen

  • Crude Oil

  • Others

• Regional Outlook (Revenue, USD Million, 2016 - 2028)

  • North America

    • The U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • Spain

    • The U.K.

    • France

  • Asia Pacific

    • China

    • India

    • Japan

    • Australia

  • Central & South America

    • Brazil

    • Argentina

  • Middle East & Africa

    • Saudi Arabia

    • UAE