North America Recycled PET Market 2024–2033

Reports Description

As per the current market research conducted by CMI Team, the North America Recycled PET Market size is expected to record a CAGR of 3.7% from 2023 to 2032. In 2022, the market size is projected to reach a valuation of USD 2.03 Billion. By 2032, the valuation is anticipated to reach USD 2.94 Billion.

The growth of the North America Recycled PET market is driven by changing consumer behavior regarding sustainability. In addition, a ban on landfills introduced in several advanced countries in North America and is likely to increase the demand during the forecast period.

The major factor boosting the demand for Recycled Polyethylene Terephthalate (rPET) in these region is its broad application scope in various crucial industries, similar as FMCG, apparel & cloth, consumer goods, and automotive.

North America Recycled PET Market – Significant Growth Factors

Rise investment in R&D: Rising awareness among enterprises about environmental pollution has resulted in increase in the demand for eco-friendly and sustainable packaging solutions including recycled plastic. Packaging manufacturers are focusing on developing sustainable and eco friendly packaging products which can be reclaimed and reused later. These companies are investing in R&D conditioning and technologies to develop sustainable packaging results which are eco-friendly, cost-effective, and don’t compromise on the protection position offered to the packed product.

Broad application scope in several key application industries: The wide range of applications in fast-moving consumer goods (FMCG), consumer goods, clothing & textile, and automotive industries makes recycled polyethylene terephthalate (rPET) highly sought after in the region. The demand for rPET is primarily driven by government initiatives promoting plastic recycling and substantial investments, contributing to the development of a thriving rPET industry in the region.

Increase in packaging sustainability: R-PET is one of the most commonly utilized plastics worldwide due to its recyclable characteristics. R-PET can be used in many applications such as fiber for carpets, clothing, upholstery, knitwear, fiber-fill for pillows and sleeping bags, sheets and films, and automotive components. However, food packaging and bottles and containers made of food-grade materials are one of the main and fastest-growing R-PET uses. The performance of R-PET is comparable to that of virgin PET, which supports its demand.

Technological Advancements: Technological advancements in recycling processes of plastic products have improved the quality and efficiency of recycled PET production. Advanced sorting methods, including optical sorting and automated systems, enable effective separation and recycling of PET bottles. Technical Innovations in processing and purification techniques have also enhanced the quality and usability of recycled PET, expanding its market potential.

Overall, these growth opportunities are expected to fuel the expansion of the North America Recycled PET Market in the coming years.

North America Recycled PET Market – Mergers and Acquisitions

The North America Recycled PET Market has seen several mergers and acquisitions in recent years. Some notable examples include:

DAK Americas Acquisition of Perpetual Recycling Solutions: In 2019, DAK Americas, a subsidiary of Alpek S.A.B. de C.V., completed the acquisition of Perpetual Recycling Solutions, a PET recycling company based in Indiana, United States. This acquisition aimed to expand DAK Americas’ recycling capabilities and enhance its position in the recycled PET market.

Plastipak Packaging Acquisition of Clean Tech Incorporated: In 2018, Plastipak Packaging, a global packaging company, acquired Clean Tech Incorporated, a PET recycling company based in California, United States. This acquisition allowed Plastipak Packaging to strengthen its recycling capabilities and expand its presence in the recycled PET market.

Indorama Ventures Acquisition of Custom Polymers PET: Indorama Ventures, a global chemical company, acquired Custom Polymers PET, a PET recycling and processing company based in Alabama, United States, in 2018. This acquisition supported Indorama Ventures’ strategy to become a leading player in the recycling industry and increase its recycled PET production capacity.

Loop Industries Partnering with Indorama Ventures: Loop Industries, a technology company focused on sustainable plastics, entered into a strategic partnership with Indorama Ventures in 2018. The partnership aimed to commercialize Loop Industries’ depolymerization technology for the production of high-purity PET resin from waste PET plastic. This collaboration demonstrated the interest of major industry players in innovative recycling technologies.

These mergers and acquisitions have allowed companies to expand their product offerings, reach new markets, and strengthen their positions in the North America Recycled PET Market.

COMPARATIVE ANALYSIS OF THE RELATED MARKET

North America Recycled PET Market	Recycled PET Market	Southeast Asia Recycled PVC Market
CAGR 3.7 (Approx)	CAGR 5.8% (Approx)	CAGR 5.3% (Approx)
USD 2.94 Billion by 2032	USD 12.25 Billion by 2030	USD 563.15 Million by 2030

North America Recycled PET Market – Significant Threats

The North America Recycled PET Market faces several significant threats that could impact its growth and profitability. Some of these threats include:

• Fluctuating Raw Material Prices: The cost and availability of raw materials, such as post-consumer PET bottles, can significantly impact the profitability of the recycled PET market. Fluctuations in raw material prices, driven by factors like changes in oil prices, can pose a threat to the market’s stability.
• Quality Concerns: Consistent quality and purity of recycled PET can be a challenge. Contamination or impurities in the recycling process can lead to lower-quality recycled PET, which may limit its applications or require additional processing steps. If quality concerns persist or increase, it can affect the market’s reputation and customer confidence.

• Lack of Collection Infrastructure: Adequate collection infrastructure and recycling facilities are essential for the growth of the recycled PET market. Insufficient collection systems or recycling facilities can limit the availability of post-consumer PET bottles for recycling. Without a steady supply of raw materials, the market’s growth potential may be hindered.

• Legislative and Regulatory Changes: Changes in legislation and regulations can have a significant impact on the recycled PET market. Policies related to waste management, recycling targets, or import/export restrictions can directly affect the market dynamics. Uncertainty or unfavourable regulatory environments can create challenges for the industry and hinder its growth.

• Consumer Perception and Awareness: Consumer perception and awareness of the environmental benefits of recycled PET play a crucial role in driving demand for recycled PET products. Lack of awareness or misconceptions about recycled materials may limit consumer preference and willingness to choose products made from recycled PET.

Overall, these threats pose significant challenges for the North America Recycled PET Market and require companies to be vigilant in addressing them to ensure sustainable growth and profitability.

Report Scope

Feature of the Report	Details
Market Size in 2023	USD 2.12 Billion
Projected Market Size in 2032	USD 2.94 Billion
Market Size in 2022	USD 2.03 Billion
CAGR Growth Rate	3.7 % CAGR
Base Year	2023
Forecast Period	2024-2033
Key Segment	By Product Type, Service Type and Region
Report Coverage	Revenue Estimation and Forecast, Company Profile, Competitive Landscape, Growth Factors and Recent Trends
Regional Scope	North America, Europe, Asia Pacific, Middle East & Africa, and South & Central America
Buying Options	Request tailored purchasing options to fulfil your requirements for research.

Category-Wise Insights

By Product Type:

Recycled PET Flakes: Recycled PET flakes are small pieces of PET obtained by shredding and grinding post-consumer PET bottles. These flakes undergo a cleaning process to remove impurities and contaminants, resulting in a material suitable for further processing or applications.

Recycled PET Pellets: Recycled PET pellets are produced by melting and extruding recycled PET flakes. The flakes are melted, filtered, and then pelletized into small granules. These pellets can be used in various manufacturing processes, such as injection molding, blow molding, and extrusion, to produce a wide range of products.

Recycled PET Fibers: Recycled PET fibers are produced by melting and spinning recycled PET pellets into fine filaments. These fibers can be used in the textile industry to manufacture fabrics, carpets, apparel, and other textile products. Recycled PET fibers are known for their durability and sustainability.

Recycled PET Sheets: Recycled PET sheets are made by processing recycled PET flakes or pellets into flat sheets of varying thicknesses. These sheets are commonly used in applications like packaging, signage, and construction. Recycled PET sheets offer good strength, transparency, and recyclability.

By Service Type:

Packaging: The packaging industry is a significant consumer of recycled PET. rPET is commonly used in the production of food and beverage containers, such as bottles, jars, trays, and clamshells. Recycled PET offers cost savings and environmental benefits, making it an attractive option for sustainable packaging solutions.

Textiles: The textile industry is another major sector that utilizes recycled PET. rPET can be processed into polyester fibers and yarns, which are used in the production of fabrics for apparel, home furnishings, upholstery, and carpets. Recycled PET textiles help reduce the dependence on petroleum-based materials and minimize waste.

Automotive: The automotive industry incorporates recycled PET in various applications, including interior fabrics, carpets, sound insulation materials, and non-woven components. The use of rPET in automotive manufacturing helps reduce the environmental impact and contributes to sustainable practices within the industry.

Construction: Recycled PET finds application in the construction industry as well. It is used in the production of insulation materials, geotextiles, roofing membranes, and composite materials. rPET offers advantages such as thermal insulation, moisture resistance, and improved sustainability in construction projects.

Consumer Goods: Recycled PET is utilized in the production of various consumer goods, including household items, electronics, toys, and sports equipment. Manufacturers are increasingly incorporating rPET into their products to meet sustainability goals and cater to environmentally conscious consumers.

North America Recycled PET Market – Regional Analysis

The North America Recycled PET Market can be analyzed regionally based on the geographical distribution and the market presence of key players.

United States: The United States holds the dominant position as the largest market for recycled PET in North America. The nation boasts a well-established recycling infrastructure and exhibits a high level of awareness regarding the significance of recycling.

The demand for recycled PET in the United States is primarily propelled by government regulations, consumer preferences favouring sustainable products, and the packaging industry’s emphasis on eco-friendly materials. Several states have implemented bottle deposit laws and recycling targets, further augmenting the demand for recycled PET.

Moreover, the United States possesses a substantial number of recycling facilities and a robust collection system, facilitating the growth of the recycled PET market.

Canada: Canada also possesses a mature recycling industry and has witnessed a growing market for recycled PET. The government has implemented recycling programs and initiatives to incentivize PET recycling and mitigate plastic waste.

The demand for recycled PET in Canada is driven by factors similar to those in the United States, including environmental concerns and consumer demand for sustainable packaging solutions. The Canadian government has established recycling targets and supports the development of recycling infrastructure.

Investments in recycling facilities and technologies have been made, contributing to the expansion of the recycled PET market.

Mexico: Mexico is experiencing an increasing focus on PET recycling and sustainability. The government has implemented various recycling initiatives and regulations to promote PET recycling and reduce plastic waste.

The demand for recycled PET in Mexico is driven by consumer preferences for environmentally friendly products, industry-led initiatives, and packaging regulations. The country has been investing in recycling infrastructure to enhance collection and processing capabilities.

Although the recycled PET market in Mexico is still in a developmental phase, it exhibits promising potential for future growth.

Competitive Landscape – North America Recycled PET Market

The North America Recycled PET Market is highly competitive and is dominated by several major players, including:

• Clear Path Recycling (US)
• PolyQuest Inc
• Loop Industries
• Verdeco Recycling Group,
• Plastipak Holdings, Inc.
• CarbonLITE Industries LLC
• Evergreen Plastics
• ECO Plastics
• Custom Polymers PET LLC
• Mohawk Industries
• Others

These companies compete on the basis of service quality, pricing, target market, and marketing strategies to maintain their market share and gain a competitive advantage.

The North America Recycled PET Market is segmented as follows:

By Product Type:

• Recycled PET Flakes
• Recycled PET Pellets
• Recycled PET Fibers
• Recycled PET Sheets

By Service Type:

• Packaging
• Textiles
• Automotive
• Construction
• Consumer Goods

On the basis of North America Geography

• U.S
• Canada
• Mexico