Recycled PET (rPET) Market Size, Share, Competitive Landscape and Trend Analysis Report, by Type, by Source, by Application : Global Opportunity Analysis and Industry Forecast, 2023-2032

Recycled PET (rPET) Market Research, 2032

The global recycled pet (rpet) market was valued at $8.4 billion in 2022, and is projected to reach $16.2 billion by 2032, growing at a CAGR of 6.7% from 2023 to 2032. Growing concern about plastic pollution and the environmental impact of single-use plastics has led to increased demand for recycled PET products. Consumers, governments, and corporations are increasingly seeking sustainable alternatives, driving demand for recycled PET.

Recycled polyethylene terephthalate (rPET)refers to the process of reusing PET plastic, which is commonly used in the manufacturing of beverage bottles, food packaging, and various other products. PET is a type of thermoplastic polymer resin, and recycling it involves collecting used PET items, such as bottles, cleaning and sorting them, and then processing them into new PET products. 

Key Takeaways:

• The report provides competitive dynamics by evaluating business segments, product portfolios, target market revenue, geographical presence and key strategic developments by prominent manufacturers.
• The recycled PET (rPET) market is fragmented in nature among prominent companies such as Indorama Ventures Public Company Limited, Plastipak Holdings, Inc, Alpek SAB de CV, Clear Path Recycling, CarbonLite Industries, LLC, Evergreen Plastics, Phoenix Technologies International LLC, M&G Chemicals, Loop Industries, Inc., and Placon.
• The study contains qualitative information such as the market dynamics (drivers, restraints, challenges, and opportunities), key regulation analysis, pricing analysis, and Porter’s Five Force Analysis across North America, Europe, Asia-Pacific, LAMEA regions. Moreover, the report covers sub-segments that is studied across all the regions.
• Latest trends in global recycled PET (rPET) market such as undergoing R&D activities, regulatory guidelines, and government initiatives are analyzed across 16 countries in 4 different regions.
• More than 3,200 recycled PET-related product literatures, industry releases, annual reports, and other such documents of key industry participants along with authentic industry journals and government websites have been reviewed for generating high-value industry insights for global recycled PET (rPET) market.

Market Dynamics:

Increase in awareness about plastic pollution and its detrimental effects on ecosystems, marine life, and human health has surged the demand for sustainable solutions. According to a report published by Press Information Bureau of India in December 2022, the Indian government has implemented Technology Upgradation Fund Scheme (TUFS) to promote the establishment of plastic recycling plants in the country. Furthermore, recycled PET offers a way to mitigate environmental impact by reducing the consumption of virgin materials, minimizing waste, and decreasing carbon emissions associated with plastic production. 

Moreover, government regulations and policies play a crucial role in shaping the recycled PET market. Many countries have implemented laws mandating the use of recycled content in packaging or imposing taxes on single-use plastics. Extended Producer Responsibility (EPR) schemes hold manufacturers accountable for the end-of-life management of their products, encouraging them to invest in recycling infrastructure and use recycled materials. 

In addition, innovations in recycling technologies have improved the efficiency and quality of recycled PET, making it economically viable and competitive with virgin PET. Furthermore, advanced sorting and purification processes enable the recycling of a wider range of PET waste, including colored and contaminated materials, expanding the feedstock for recycling. 

Moreover, growing consumer preference for eco-friendly products and sustainable packaging drives the demand for recycled PET. Brands and retailers are responding to this trend by incorporating recycled content into their products and promoting recycling initiatives. Awareness campaigns and educational efforts educate consumers about the importance of recycling and encourage responsible disposal of plastic waste. 

However, one of the primary challenges in the recycled PET market is the presence of technological limitations that affect the quality and performance of recycled PET materials. Unlike virgin PET, recycled PET may undergo degradation during the recycling process, resulting in reduced mechanical properties and inferior aesthetics. In addition, the presence of contaminants, such as labels, adhesives, and other polymers, poses challenges in achieving high-purity recycled PET suitable for various applications. Improving recycling technologies, including advanced sorting, cleaning, and purification processes, is essential to enhance the quality and consistency of recycled PET and address these technological limitations. 

On the contrary, investment opportunities exist in developing and expanding recycling infrastructure, including collection systems, sorting facilities, and recycling plants. Improving infrastructure can enhance the efficiency and scale of recycled PET operations, making it economically viable and environmentally sustainable.  

Furthermore, innovation in recycling technologies, such as advanced sorting techniques, chemical recycling processes, and additive technologies, presents opportunities to improve the quality and yield of recycled PET. These advancements can address challenges related to contamination and quality consistency, opening up new markets and applications for recycled PET products.   

Segment Overview:

The recycled PET (rPET) market is segmented on the basis of type, source, application, and region. On the basis of type, the market is categorized into flakes and chips. By source, the market is divided into bottles & containers, and films & sheets. By application, the market is classified into packaging, fiber and textiles, sheets and thermoforming, construction materials, automotive parts, and others. Region-wise, the market is studied across North America, Europe, Asia-Pacific, and LAMEA.

In 2022, the flakes segment was the largest revenue generator, and is anticipated to grow at a CAGR of 6.9% during the forecast period. Several companies in both developed and developing economies are adopting sustainability goals and commitments, including increase in the use of recycled materials in their products and packaging. This is projected to drive the demand for recycled PET flakes as companies seek to meet their sustainability targets.

By source, the bottles and containers segment dominated the global market in 2022, and is anticipated to grow at a CAGR of 6.8% during forecast period. Growing concerns about plastic pollution and its impact on the environment, particularly oceans and wildlife, have led to increased emphasis on recycling PET bottles and containers. Recycling PET reduces the need for virgin plastic production, conserving natural resources and reducing energy consumption and greenhouse gas emissions associated with plastic production.. Furthermore, consumers are becoming more environmentally conscious and are actively seeking out products with sustainable packaging. This shift in consumer preferences has incentivized companies to prioritize the use of recycled PET in their packaging, thus driving up the demand for PET recycling from bottles and containers. 

By application, the packaging application segment dominated the market growth, in terms of revenue and is projected to grow at a CAGR of 7.3% during the forecast period. This is attributed to advances in recycling technology and infrastructure. Moreover, using recycled materials, such as recycled PET, in packaging can enhance supply chain resilience by reducing dependence on finite natural resources and mitigating risks associated with raw material shortages or price volatility. Incorporating recycled PET into packaging materials can contribute to a more sustainable and resilient supply chain. 

The Asia-Pacific recycled PET market size is projected to grow at the highest CAGR of 7.3% during the forecast period and accounted for 38.3% of recycled PET market share in 2022. The Asia-Pacific region has a rapidly expanding packaging industry driven by population growth, urbanization, and increase in consumer spending. With the rising demand for packaged goods, there is a parallel increase in demand for sustainable packaging solutions. Recycled PET offers a viable option for manufacturers looking to meet this demand while reducing their environmental footprint. Furthermore, investments in recycling infrastructure and technology are helping to expand the availability and quality of recycled PET in the Asia-Pacific region. Improved collection, sorting, and processing capabilities make it easier and more cost-effective for businesses to incorporate recycled PET into their packaging materials. 

Competitive Analysis:

The global recycled PET market profiles leading players that include Indorama Ventures Public Company Limited, Plastipak Holdings, Inc, Alpek SAB de CV, Clear Path Recycling, CarbonLite Industries, LLC, Evergreen Plastics, Phoenix Technologies International LLC, M&G Chemicals, Loop Industries, Inc., and Placon.

Other key players involved in the manufacturing of recycled PET includes Biffa, Far Eastern New Century Corporation, PolyQuest, OCTAL, SK Chemicals, Biffa Polymers, and others. The global recycled PET market report provides in-depth competitive analysis as well as profiles of these major players. 

Recent Developments in Recycled PET Industry:

• In 2023, SK Chemicals acquired Shuye’s PET recycling business for $98.4 million. This strategic acquisition has strengthened SK Chemicals PET recycling capacity and laid the groundwork for new growth. 

• In 2023, Indorama Ventures has invested around $150 million for developing three PET recycling plants in India. This strategic business expansion will enhance the recycled PET production of Indorama Ventures for Indian and export markets. 

• In 2023, Biffa Polymers acquired Esterpet’s PET recycling business. This strategic acquisition will expand PET recycling capacity of Biffa Polymers. 

Key Benefits For Stakeholders

• This report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the recycled pet (rpet) market analysis from 2022 to 2032 to identify the prevailing recycled pet (rpet) market opportunities.
• The market research is offered along with information related to key drivers, restraints, and opportunities.
• Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
• In-depth analysis of the recycled pet (rpet) market segmentation assists to determine the prevailing market opportunities.
• Major countries in each region are mapped according to their revenue contribution to the global market.
• Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players.
• The report includes the analysis of the regional as well as global recycled pet (rpet) market trends, key players, market segments, application areas, and market growth strategies.

  Recycled PET (rPET) Market Report Highlights

Aspects	Details
Market Size By 2032	USD 16.2 billion
Growth Rate	CAGR of 6.7%
Forecast period	2022 - 2032
Report Pages	610
By Application	Packaging Fiber and Textiles Sheets and Thermoforming Construction Materials Automotive Parts Others
By Type	Flakes Chips
By Source	Bottles and Containers Films and Sheets
By Region	North America  (U.S., Canada, Mexico) Europe  (Germany, UK, France, Spain, Italy, Rest of Europe) Asia-Pacific  (China, India, Japan, South Korea, Australia, Rest of Asia-Pacific) LAMEA  (Brazil, Saudi Arabia, South Africa, Rest of LAMEA)
Key Market Players	Placon, Clear Path Recycling, LLC, PLASTIPAK HOLDINGS, INC., Alpek SAB de CV, M&G Chemicals, Evergreen Plastics, Phoenix Technologies International LLC,, CarbonLite Industries, LLC, Loop Industries, Inc., Indorama Ventures Public Company Limited

Analyst Review

According to the CXOs of leading companies, the recycled PET market is shaped by a complex interplay of supply chain dynamics, demand drivers, regulatory frameworks, and consumer preferences that collectively influence industry trends, market growth, and competitiveness. Adaptation to changing market dynamics requires collaboration among stakeholders across the value chain, investment in recycling infrastructure and innovation, and alignment with sustainability goals and regulatory requirements.

Furthermore, growing consumer awareness and preferences for sustainable products drive demand for rPET-based packaging and goods. Consumer perception of environmental responsibility, brand reputation, and product transparency influence purchasing decisions and market demand for recycled PET products.

Author Name(s) : Raushan Karn | Eswara Prasad

Related Tags

• Recycled Petrpetrecycled Polyethylene Terephthalate