April 13, 2024
Home Appliance Recycling Market

Home Appliance Recycling Market is Revolutionized by Growing Circular Economy Practices

The global home appliance recycling market is primarily driven by growing awareness about circular economy practices. Home appliances such as air conditioners, refrigerators, washing machines and other consumer electronics have a significant environmental impact over their lifecycles. Recycling of home appliances recovers various materials like metals, plastics and other resources that can then be reused in new product manufacturing. Through recycling, valuable materials are kept productive in the economy while minimizing resource consumption from virgin sources.

The Global Home Appliance Recycling Market Demand is estimated to be valued at US$ 21.27 Mn in 2024 and is expected to exhibit a CAGR of 3.9% over the forecast period 2024 to 2030. Home appliance recycling facilitates disassembly and shredding of end-of-life appliances to recover materials like steel, copper, aluminum and plastics. This helps reduce energy usage and carbon emissions compared to primary material production methods. Many developed countries have implemented standards and schemes to promote recycling of home appliances that have reached end of their useful lives. Rising awareness about benefits of recycling is propelling the demand for home appliance recycling services around the world.

Key Takeaways
Key players operating in the home appliance recycling market are Club Car, LLC, Yamaha Golf-Car Company., E-Z-GO, EverGreen Electrical Vehicles, Columbia ParCar Corp, Hitachi Chemical Co., Ltd.

The growth in the home appliance recycling market is primarily driven by rising awareness among consumers about sustainability and circular economy. Strict regulations regarding proper disposal of e-waste along with incentivizing recycling schemes are further boosting the market.

Major companies in developed regions have established reverse supply chain networks and collection centers to handle end-of-life appliances on a large scale. This is helping the global home appliance recycling market expand rapidly across countries.

Market Key Trends
One of the key trends driving growth in the home appliance recycling market is transition towards a more circular economy model. Adoption of closed-loop material flows aims to keep resources in use for longer. Home appliance manufacturers are increasingly using recycled materials in new product development. For instance, up to 30% recycled content is used by some brands in manufacturing refrigerators and air conditioners. This is helping optimize resource efficiency and minimizes waste generation through recycling. Focus on circular business models and achieving higher recycling rates of end-of-life appliances will continue shaping market trends.

Porter’s Analysis
Threat of new entrants: New entrants face high initial costs for setting up recycling facilities and obtaining necessary certifications. Bargaining power of buyers: Individual consumers have low bargaining power but bulk buyers like manufacturers have some bargaining power. Bargaining power of suppliers: A few large players dominate the supply of recycled materials. Threat of new substitutes: Alternate recycling methods like grinding and shredding pose competition but core process remains same. Competitive rivalry: Intense competition exists among established players to gain higher market share.

Geographical regions of concentration
North America accounts for the largest share of the home appliance recycling market currently, valued at around US$ 8 Bn in 2024. Stringent regulations regarding e-waste recycling and presence of major recycling players drive high volumes from the US and Canada.

Fastest growing region
Asia Pacific region is expected to record the highest CAGR during the forecast period. Significant increase in urbanization and rising disposable incomes in countries like India and China are increasing demand for home appliances. At the same time, lack of organized recycling infrastructure poses a challenge. Growth will be driven by efforts to develop modern waste management systems across emerging nations.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it