The global post-consumer recycled plastics in automotive market size is anticipated to reach USD 22.32 billion by 2030 and is anticipated to expand at a CAGR of 11.1% during the forecast period, according to a new report by Grand View Research, Inc. Environmental regulations play a pivotal role in driving the adoption of post-consumer recycled (PCR) plastics in the automotive industry. The European Union's End-of-Life Vehicle (ELV) Directive requires 95% of vehicle materials to be recoverable, pushing manufacturers such as Volvo and BMW to incorporate PCR plastics in components such as seat cushions, dashboard insulation, and wheel arch liners. Similarly, California's proposed recycled content mandates are compelling North American automakers to follow suit, with Ford committing to use at least 20% recycled plastic content across its vehicle lineup by 2025.
Consumer demand for eco-friendly vehicles has become another significant driver for the market. Significant number of car buyers consider sustainability features important in purchasing decisions. This has prompted companies such as Toyota to highlight their use of PCR materials in marketing campaigns for models such as the Prius, where recycled PET bottles are transformed into sound-proofing materials and seat fabric. Mercedes-Benz has responded to this trend by developing their "Ambition 2039" sustainability roadmap, which includes increasing recycled material usage across their vehicle portfolio.
Cost considerations have evolved from a barrier to an incentive for adoption of PCR. Historically, virgin plastics were cheaper, but supply chain disruptions and petrochemical price volatility since 2021 have narrowed the price gap. Renault's "Circular Economy" program demonstrates how recycled materials can create financial resilience, as their use of PCR polypropylene in bumpers and fender liners provides cost savings compared to virgin alternatives. Advanced sorting and cleaning technologies have also improved PCR quality, addressing previous concerns about mechanical performance limitations.
Corporate sustainability goals have accelerated PCR plastic adoption as automotive companies seek to reduce their carbon footprint. Jaguar Land Rover's initiative to use ECONYL, a nylon made from recovered fishing nets and fabric scraps, in their vehicle components such floor mats and trims has resulted in a 90% reduction in CO2 emissions compared to traditional nylon production. These examples underscore how PCR plastics have become essential to automotive companies' strategies to meet increasingly ambitious sustainability targets.
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The polypropylene (PP) segment accounted for the largest share of over 43.0% of the market in 2024.
The polyethylene terephthalate (PET) segment is expected to grow at the fastest CAGR of 11.7% during the forecast period.
Based on application, the interior components segment dominated the market in 2024 by accounting for the largest revenue share of over 60.0% and is projected to grow at the fastest CAGR of 11.9% over the forecast period of 2025 to 2030.
Asia Pacific dominated the market space by registering the largest revenue market share of over 44.0% in 2024 and is anticipated to grow at the fastest CAGR of 11.8% during the forecast period.
BASF, SABIC, Evonik Industries AG, Sumitomo Chemical Co., Ltd., Arkema, LyondellBasell Industries N.V., Celanese Corporation, Eastman Chemical Company, Chevron Phillips Chemical Company, SUEZ SA, Exxon Mobil Corporation, and Covestro AG are some of the key players operating in the post-consumer recycled plastics in the automotive market.
In June 2023, Avient Corporation launched new automotive-specific grades within its reSound REC Recycled Content Thermoplastic Elastomers (TPEs) portfolio, designed for interior automotive applications such as mats, grips, and console trays. These new grades contain significant post-consumer recycled (PCR) content, ranging from 35% to 59%, including recycled food packaging and closed-loop PCR sources, supporting sustainability goals and compliance with regulations such as the European Union's End-of-Life Vehicles (ELV) Directive.
Grand View Research has segmented the post-consumer recycled plastics in the automotive market based on plastic type, application, and region:
Post-consumer Recycled Plastics in Automotive Polymer Type Outlook (Volume Kilotons; Revenue, USD Million, 2018 - 2030)
Polypropylene (PP)
Polyethylene (PE)
Acrylonitrile Butadiene Styrene (ABS)
Polyethylene Terephthalate (PET)
Others
Post-consumer Recycled Plastics in Automotive Application Outlook (Volume Kilotons; Revenue, USD Million, 2018 - 2030)
Interior Components
Exterior Components
Under-the-Hood Components
Electrical Components
Post-consumer Recycled Plastics in Automotive 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
Australia
South Korea
Central & South America
Brazil
Argentina
Middle East & Africa
South Africa
Saudi Arabia
UAE
List of Key Players in the Post-consumer Recycled Plastics In Automotive Market
BASF
SABIC
Evonik Industries AG
Sumitomo Chemical Co., Ltd.
Arkema
LyondellBasell Industries N.V.
Celanese Corporation
Eastman Chemical Company
Chevron Phillips Chemical Company
SUEZ SA
Exxon Mobil Corporation
Covestro AG
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