Recycled Polyethylene Terephthalate Market: Information by Type (Clear, and Colored), Application (Fiber, Sheet & Film, Strapping, Food Grade Bottles & Containers, Non-Food Grade – Bottles & Containers, and Others), and Region (North America, Europe, Asia-Pacific, Latin America and Middle East & Africa) - Forecast till 2030

Recycled Polyethylene Terephthalate Market Overview

The Recycled Polyethylene Terephthalate Market is projected to register a CAGR of over 7.6% to reach USD 14,925.26 million by the end of 2030.

PET (polyethylene terephthalate) is a grade of polyester that is extremely recyclable. It is a polymer made from modified ethylene glycol and purified terephthalic acid. RPET stands for recycled polyethylene terephthalate, and it is the most widely recycled plastic on the planet. At material recovery centers, recyclable materials like PET can be separated from other recyclables and baled for transport to a PET recycling facility. To avoid product contamination, focus on safe bale handling and storage techniques, just as you would with other discarded materials. Recycled PET (rPET) can be used to make a variety of new products, such as polyester staple fiber or filament for various industrial end-use, as well as new PET packaging and containers for both food and non-food products. Based on the objective, it is usually blended in a virgin-to-recycled ratio.

The Recycled Polyethylene Terephthalate Market is primarily driven by the surging use of RPET fibers across the globe. The rPET finds application in food and non-food product packaging, sheets and films, and strapping, among others. The use of rPET in producing polyester fibers is increasing as the raw materials required for fiber production are inexpensive, which makes the process economical. Moreover, the properties associated with rPET fibers, such as high strength, functional versatility, and lower environmental impact as compared to traditional polyester,arealso leading to its increased adoption. The non-biodegradability and complete recyclability of polyester fibers is an advantage as they can be recycled again and again to form new textiles with no degradation in quality. Thus, it is expected that the recycling of polyester fibers will become a closed loop in the coming years.

PET has proven to be an excellent replacement for conventional materials such as wood and metal, especially in packaging. This can be attributed to the superior properties of PET, such as moisture barrier properties, lightweight, and chemical resistance. All these properties combined offer an increased shelf life of the packaged food & beverage products, which may result in the higher adoption of PET in packaging solutions. The surging demand for rPETin the packaging industry is expected to boost the growth of the recycled polyethylene terephthalate industry during the years to come. Moreover, government initiatives promoting environmental protection are driving the growth of the Recycled Polyethylene Terephthalate Market. These initiatives include funding for waste collection and awareness campaigns, among others.

The recycling of PET, while an important factor in the protection of the environment, presents numerous challenges. Poor and inconsistent bale quality, fluctuating bale prices, and low margins are just a few of the challenges faced by PET recycling companies that may hamper the growth of the Recycled Polyethylene Terephthalate Market. Nevertheless, plastic roads are a new concept presenting manufacturers of RPET with opportunities for growth. Plastic roads claim to require less building time and are expected to be three times more durable than conventional roads. Therefore, such technology is expected to bolster the new avenues over the forthcoming timeframe.

Covid Impact Analysis

The outbreak of COVID-19 has had a negative impact on the production of recycled polyethylene terephthalate due to the disruption in the supply chain across the globe. Enterprises in various countries faced more difficulties in epidemic prevention, resumption of work, orders, and recycled polyethylene terephthalate markets, both the upstream and downstream industries of recycled polyethylene terephthalate are facing a crisis. However, the outbreak of COVID-19 also prompts changes in the recycled polyethylene terephthalate marketing channels and consumption patterns. Many companies combine the Internet and new technologies to innovate and develop, transform and upgrade to adapt to market changes, fighting the economic crisis brought about by the epidemic.

The supply scenario faces a few issues due to the restrictions on travel and the lockdown of cities; however, the sourcing teams are working closely with the suppliers to proactively manage raw materials. Companies are closely monitoring and managing the extent and duration of any local requirements impacting their physical locations. The companies are working remotely and supporting their customers, maintaining a strong relationship with their end users. Furthermore, with the ease of lockdown in various regions, manufacturers are now coping up and are managing to fulfill customers' requirements at a similar level as the pre-COVID period.

Supply Chain Analysis

The supply chain analysis enables the reader to comprehend the steps and stakeholders involved in manufacturing and distributing PET. The supply chain of the Recycled Polyethylene Terephthalate Market involves raw material suppliers, manufacturers, distribution channels, and end users.

PET bottles and used PET material is collected and sorted to remove metal and plastic caps. After sorting, the materials are washed with the help of detergents to remove any food residue that might remain on the inside surfaces of PET bottles and containers, the glue that is used to adhere labels to PET containers, and dirt that might be present. The PET material then passes through a float sink classifier and electrostatic separator to remove metallic impurities. The final product is then considered as RPET for use in manufacturing fibers, sheets, and film. Thus, the main raw materials required for manufacturing rPET are discarded PET bottles, PET materials, and detergents.

The distribution channel consists of distributors, retailers, wholesalers, and e-commerce. The distributors are the companies that are engaged in long-term sales agreements with the manufacturing companies. Furthermore, the sale of products through e-commerce channels is the new trend in the recycled polyethylene terephthalate market growth; manufacturers are using third-party online platforms to sell their products. The prevalence of e-commerce as a distribution channel is expected to increase during the forecast period with the rising use of technology and the growth of the e-commerce market.

Clean PET flakes or pellets obtained after the recycling of PET are transformed into commodity-grade raw materials, such as fibers, sheets and film, food-grade bottles and containers, strapping, and non-food-grade bottles and containers, which are finally sold to end-users to manufacture new products. The rising demand for rPET in antimicrobial films, insulating films, surface protection films, photographic films, and packaging is expected to grow at a significant annual growth rate.

Segmentation

The Recycled Polyethylene Terephthalate Market has been segmented based on Type, Application, and Region.

Based on Type, the Recycled Polyethylene Terephthalate Market is bifurcated into clear and colored. Clear rPET is relatively economical and largely preferred over colored rPET. Considering the extensive demand for colored rPET in textiles and apparel, the segment is likely to account for a larger market share in the years to come. Colored rPET products are available in a range of colors. However, they are more expensive clear rPET products as they need to be put through a de-coloration process before being processing into colored products. However, the wide choice of colors is leading to the increasing adoption of these products driven by aesthetic appeal to age groups of consumers. The segment is, therefore, expected to grow during the forecast period.

The Recycled Polyethylene Terephthalate Market has been segmented, by application, into fibers, sheets and films, strapping, food-grade bottles and containers, non-food-grade bottles and containers, and others. Owing to the high demand for rPET fibers in the textiles and apparel industry, the segment accounted for a large share in the global recycled polyethylene terephthalate market share in 2019. The rPET fiber offers properties such as high strength, functional versatility, and lower environmental impact, leading to its preference over traditional polyester fiber. Shifting dynamics in the packaging industry over the past few years has led to the use of innovative packaging solutions in the food & beverage industry. Consequently, food-grade and non-food-grade bottles and containers are gaining popularity, driving the growth of these segments.

Recycled Polyethylene Terephthalate Market Revenue, by Application, 2020 (USD Million)

Sources: MRFR Analysis

Recycled Polyethylene Terephthalate Market Share, by Region, 2020 (%)

Sources: MRFR Analysis

Regional Analysis

In 2020, Asia Pacific was the largest regional sector, accounting for over 54% of total sales. Throughout the forecast period, it is expected to maintain its lead. The regional recycled polyethylene terephthalate market is distinguished by the abundance of land and a low-cost, skilled labor force. Over the forecast period, the trend in contributed significantly to the growth toward emerging economies, especially China and India, is anticipated to boost regional market development.

Key Players

Key players operating in the Recycled Polyethylene Terephthalate Market include Placon, Clear Path Recycling, Verdeco Recycling Inc., Indorama Ventures Public Company Limited, Zhejiang AnshunPettechs Fiber Co., Ltd, Polyquest, Evergreen Plastics, Montello S.p.A, Phoenix Technologies, M&G Chemicals, and LIBOLON.

Leading players in this market are Placon, Clear Path Recycling, Verdeco Recycling Inc., Indorama Ventures Public Company Limited. This is due to their large production capabilities, global revenue base, availability of raw materials (reserves of minerals), and global distribution network. The recycled polyethylene terephthalate market has not witnessed an aggressive approach towards the strategic key developments and initiatives and hence is expected to have a moderate intensity of rivalry.

Key strategic initiativessuch as capability expansion were followed by the players in the Recycled Polyethylene Terephthalate Market. For instance, in December 2020, Indorama Ventures expanded its recycling capabilities of PET bottles in Poland and France. The company is investing in recycling PET bottles that will be purchased from across Europe.Recent DevelopmentNovember 2021- YE I Machinery Factory Co. Ltd., based in Tainan City, Taiwan, says its Plastic Waste Recycling Machine line provides “three-in-one” shredding, pelletizing, and extruding functions in one device. The company says that water-cooled Plastic Waste Recycling Machines possess a three-in-one design that combines the crusher, pelletizer, and extruder into one unit that streamlines the process and saves labor and space. The firm says its machinery line can assist manufacture an extensive range of recycled-content resins, including polypropylene (PP), polyethylene terephthalate (PET), expanded polyethylene (EPE), expanded polystyrene (EPS), polycarbonate (PC), polystyrene (PS), nylon plastic (PA), expanded polypropylene (EPP), polylactic acid (PLA), polyethylene (PE), acrylonitrile butadiene styrene (ABS). The equipment line has processed other resins.November 2021- SK Chemicals Co. announced that it launched the bulk production of a polyethylene terephthalate glycol (PETG) copolyester product, ECOTRIA CR, made from the chemically recycled plastic waste first time in the world. The firm has begun mass production of ECOTRIA CR at its Ulsan plant. Copolyester means a material, which combines one or more kinds of chemicals.

Market Segmentation

Recycled Polyethylene Terephthalate Market, by Type

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  Clear

  
  


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  Colored

  
  

Recycled Polyethylene Terephthalate Market, by Application

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  Fiber

  
  


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  Sheet & Film

  
  


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  Strapping

  
  


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  Food Grade Bottle & Containers

  
  


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  Non-Food Grade - Bottle & Containers

  
  


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  Others

  
  

Recycled Polyethylene Terephthalate Market, by Region

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  North America

  
  
  
  
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    US

    
    
  
  
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    Canada

    
    
  
  
  
  


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  Europe

  
  
  
  
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    Germany

    
    
  
  
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    UK

    
    
  
  
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    Russia

    
    
  
  
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    France

    
    
  
  
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    Italy

    
    
  
  
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    Rest of Europe

    
    
  
  
  
  


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  Asia-Pacific

  
  
  
  
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    China

    
    
  
  
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    Japan

    
    
  
  
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    India

    
    
  
  
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    Indonesia

    
    
  
  
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    Rest of Asia-Pacific

    
    
  
  
  
  


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  Latin America

  
  
  
  
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    Mexico

    
    
  
  
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    Brazil

    
    
  
  
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    Rest of Latin America

    
    
  
  
  
  


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  Middle East & Africa

  
  
  
  
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    UAE

    
    
  
  
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    Saudi Arabia

    
    
  
  
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    Egypt

    
    
  
  
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    Rest of the Middle East& Africa

    
    
  
  
  
  

Available Additional Customizations

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  Customer Analysis of Major Consumers

  
  


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  Additional Company Profiles

  
  


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  Trade Data (Imports and Exports)

  
  

Intended Audience

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  Recycled polyethylene terephthalate manufacturers

  
  


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  Suppliers and traders of recycled polyethylene terephthalate and related products

  
  


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  Government, associations, and industrial associations

  
  


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  Investors and trade experts

  
  


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  Consulting in chemical experts