Post-consumer Recycled Plastics In Automotive Market Size, Share & Trends Analysis Report By Polymer Type (Polypropylene, Polyethylene, Acrylonitrile Butadiene Styrene, Polyethylene Terephthalate), By Application, By Region, And Segment Forecasts, 2025 - 2030

Market Size & Trends

The global post-consumer recycled plastics in automotive market size was estimated at USD 11.92 billion in 2024 and is expected to grow at a CAGR of 11.1% from 2025 to 2030. Rising environmental regulations and automakers’ sustainability commitments are driving the demand for post-consumer recycled plastics in the automotive market. In addition, the need for lightweight materials to improve fuel efficiency further boosts their adoption.

Governments and environmental bodies across major automotive manufacturing regions such as the European Union, North America, and parts of Asia Pacific are increasingly mandating the reduction of carbon emissions and promoting circular economy practices. For example, the European Commission’s End-of-Life Vehicles Directive encourages the use of recycled materials in car manufacturing, aiming for 95% recyclability and recovery of vehicles. Such regulatory pressure is pushing automakers to integrate PCR plastics into vehicle components to align with sustainability goals and reduce their environmental footprint.

In addition, the increasing consumer demand for environmentally responsible vehicles is contributing to market growth. As climate awareness grows, buyers are seeking out brands that adopt green manufacturing practices, including the use of recycled materials. Leading manufacturers such as BMW, Ford, and Volvo have started incorporating PCR plastics into various car parts such as bumpers, dashboards, door panels, and underbody shields. For instance, Ford has utilized recycled water bottles to manufacture aerodynamic underbody shields for some of its vehicle models. This not only reduces waste but also enhances brand image and customer loyalty by showcasing a commitment to sustainability.

Cost-effectiveness and resource efficiency also play a significant role in driving the use of PCR plastics. Compared to virgin plastic, PCR plastics can often offer cost savings, especially as the technology to collect, sort, and process waste materials improves. As global oil prices fluctuate, affecting the cost of raw polymer materials, automakers find PCR plastics to be a more economically viable option. In addition, by utilizing post-consumer waste, manufacturers can ensure a more secure and sustainable supply chain, less vulnerable to geopolitical disruptions or resource scarcity.

Technological advancements in material science are further enabling the wider adoption of PCR plastics in automotive applications. Innovations in compounding and material processing have improved the mechanical properties of recycled plastics, making them suitable for use in structurally demanding automotive parts. For example, advancements in polymer blending and additive technology now allow recycled polypropylene and polyethylene to meet the safety and performance standards required by automotive OEMs. As these technologies become more accessible and cost-efficient, the barrier to adopting PCR plastics continues to lower, setting the stage for even broader implementation in the years ahead.

Polymer Type Insights

The polypropylene (PP) segment recorded the largest market revenue share of 43.78% in 2024. Polypropylene (PP) is one of the most widely used post-consumer recycled plastics in automotive manufacturing due to its excellent balance of mechanical properties, chemical resistance, and cost-effectiveness. In automotive applications, recycled PP is often used for interior components such as door panels, dashboards, trim panels, and under-the-hood parts. In addition, OEMs are increasingly substituting virgin PP with PCR alternatives to meet sustainability goals and reduce overall carbon emissions, fueled by regulatory mandates and consumer demand for eco-friendly vehicles.

The polyethylene terephthalate (PET) segment is projected to grow at the fastest CAGR of 11.7% during the forecast period. Recycled PET, commonly sourced from beverage bottles and textile waste, is gaining traction in the automotive sector for applications such as seat fabrics, insulation materials, and trunk liners. It offers strength, durability, and recyclability, making it increasingly viable for use in interior and non-structural parts.

Application Insights

The interior components segment recorded the largest market share of 60.92% in 2024 and is projected to grow at the fastest CAGR of 11.9% during the forecast period. Post-consumer recycled plastics are increasingly used in interior automotive components such as dashboards, door panels, seat backs, consoles, and trim elements. These components typically utilize recycled polypropylene (rPP), polyethylene terephthalate (rPET), and acrylonitrile butadiene styrene (rABS), owing to their favorable balance of mechanical properties, aesthetics, and recyclability.

Exterior components such as bumpers, fenders, wheel arch liners, and grilles are increasingly incorporating PCR plastics. These parts typically require higher impact resistance and UV stability, making recycled polypropylene, polyethylene, and polycarbonate blends suitable candidates. Surface treatments and additives are often used to enhance durability and visual appeal for exterior applications.

Region Insights

Stringent environmental regulations, particularly in the U.S. and Canada, have pushed automakers to adopt more sustainable material practices. These regulations include recycled content mandates and extended producer responsibility laws that incentivize the integration of PCR materials. Simultaneously, major North American automakers such as Ford, GM, and Tesla have made bold sustainability commitments, with Ford pledging to use at least 20% recycled content across its vehicle lineup by 2025, and GM aiming for 50% sustainable materials in all vehicles by 2030.

U.S. Post-consumer Recycled Plastics In Automotive Market Trends

The U.S. post-consumer recycled plastics in automotive market growth can be attributed to a combination of regulatory pressure, corporate sustainability commitments, and technological innovation. The robust U.S. recycling infrastructure and investment in advanced sorting and processing technologies have significantly improved the quality and consistency of PCR plastics, making them more viable for demanding automotive applications.

Asia Pacific Post-consumer Recycled Plastics In Automotive Market Trends

Asia Pacific dominated the market and accounted for the largest revenue share, 44.36%, in 2024, and is anticipated to grow at the fastest CAGR of 11.8% over the forecast period. This positive outlook is due to a combination of regulatory pressures, manufacturing prowess, and market dynamics. Countries such as China, Japan, and South Korea have implemented stringent sustainability regulations and circular economy initiatives that directly impact automotive manufacturing. Moreover, the region's dominant position in global automotive manufacturing creates natural scale advantages for plastic adoption. With major automotive production hubs in Thailand, Indonesia, India, and China, manufacturers can implement recycled content at scale while maintaining cost competitiveness.

China's post-consumer recycled plastics in automotive market growthcan be attributed to due to the country's massive automotive manufacturing sector, the world's largest since 2009, creates both substantial demand and practical applications for recycled materials. Government policies such as the 14^th Five-Year Plan have established aggressive sustainability targets specifically for the automotive sector, mandating increased use of recycled content and creating strong regulatory incentives for manufacturers.

Europe Post-consumer Recycled Plastics In Automotive Market Trends

Europe’s growth in the market is primarily due to stringent regulatory frameworks and ambitious sustainability targets set by the European Union (EU). The European Union's End-of-Life Vehicle (ELV) Directive mandates that 95% of vehicle components must be recoverable or recyclable, pushing manufacturers to incorporate recycled content. This regulatory pressure is complemented by the European Green Deal and Circular Economy Action Plan, which set aggressive targets for plastic recycling and reuse across industries. Automotive manufacturers such as BMW, Volvo, and Renault have responded by committing to significant increases in recycled content in their vehicles.

The post-consumer recycled plastics in automotive market in Germany is primarily driven by its to combination of regulatory framework, automotive manufacturing excellence, and technological innovation. The country's automotive companies, such as Mercedes-Benz, BMW, and Volkswagen, have responded by integrating substantial amounts of PCR plastics into vehicle components. BMW's i Vision Circular concept demonstrates this commitment with almost 100% recycled materials.

Key Post-consumer Recycled Plastics In Automotive Company Insights

The competitive environment of post-consumer recycled (PCR) plastics in the automotive market is intensifying as major automakers and material suppliers increasingly prioritize sustainability and circular economy goals. The market is characterized by innovation in material processing, efforts to meet stringent automotive quality standards, and regulatory pressures, especially in Europe and North America. Competitive advantage is driven by technological capability, supply chain integration, and the ability to deliver cost-effective and durable PCR solutions without compromising performance.

• In November 2024, Covestro collaborated with Chinese plastics recycling company Ausell to advance the recycling of plastics from end-of-life vehicles, focusing on transforming discarded automotive headlamps into high-quality post-consumer recycled (PCR) polycarbonates for new automotive applications. Both companies emphasize their shared commitment to accelerating the circular transformation of the automotive industry and establishing a robust market for recycled automotive plastics, particularly in China.

• In August 2024, Novares, a global automotive plastic parts manufacturer, is advancing sustainability in the automotive industry by incorporating post-consumer recycled (PCR) plastic into vehicle interior parts, specifically using Terluran ECO GP-22 MR50, a mechanically recycled PCR ABS with 50% recycled content produced by INEOS Styrolution. This material maintains the properties of virgin ABS, including good impact resistance and heat distortion resistance, making it a drop-in replacement suitable for various interior components such as door trims, dashboards, and seat parts.

Post-consumer Recycled Plastics In Automotive Market Report Scope

Global Post-consumer Recycled Plastics In Automotive Market Segmentation

This report forecasts revenue growth at a global level and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global post-consumer recycled plastics in automotive market report based on polymer type, application, and region:

• Polymer Type Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • Polypropylene (PP)

  • Polyethylene (PE)

  • Acrylonitrile Butadiene Styrene (ABS)

  • Polyethylene Terephthalate (PET)

  • Others

• Application Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • Interior Components

  • Exterior Components

  • Under-the-Hood Components

  • Electrical Components

• Region Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • France

    • UK

    • Italy

    • Spain

  • Asia Pacific

    • China

    • India

    • Japan

    • South Korea

    • Australia

  • Central & South America

    • Brazil

    • Argentina

  • Middle East & Africa

    • South Africa

    • Saudi Arabia

    • UAE