Metal Recycling Market

Market Definition

The market involves the collection, processing, and converion of metal waste into reusable raw materials. It encompasses both ferrous metals (steel and iron) and non-ferrous metals (aluminum, copper, and zinc). 

Metal recycling reduces the need for virgin ore extraction, conserves natural resources, minimizes energy consumption, and lowers greenhouse gas emissions. The report offers a thorough assessment of the main factors driving market expansion, along with detailed regional analysis and the competitive landscape influencing industry dynamics.

Metal Recycling Market Overview

The global metal recycling market size was valued at USD 560.21 billion in 2024 and is projected to grow from USD 591.47 billion in 2025 to USD 903.18 billion by 2032, exhibiting a CAGR of 6.23% during the forecast period. 

This growth is attributed to the rising emphasis on sustainable resource utilization and the increasing adoption of recycled metals in key end-use industries such as automotive, construction, electronics, and manufacturing. Growing environmental concerns, coupled with stringent government regulations promoting circular economy practices and waste reduction, are creating a strong demand for metal recycling.

Major companies operating in the metal recycling industry are Nucor Corporation, Aurubis AG, European Metal Recycling Ltd., Sims Limited, Radius Recycling, Inc., CMC, Ferrous Processing & Trading, SA Recycling LLC, OmniSource, LLC, Alter Trading, DOWA HOLDINGS CO., LTD., American Iron & Metal Inc., COHEN, Gerdau S/A, and ArcelorMittal.

Advancements in recycling technologies that enhance the efficiency and quality of metal recovery are fueling market growth. Additionally, rising raw material costs and the need to reduce energy consumption and greenhouse gas emissions are prompting a shift toward secondary metal sources. 

Increasing investments and strategic partnerships among key players are fostering innovation and capacity expansion across the metal recycling sector.

• In June 2024, Mitsui & Co., Ltd. invested in MTC Business Private Ltd., a major Indian metal recycling company. MTC, now an equity-method affiliate of Mitsui, operates over 30 recycling facilities specializing in ferrous and non-ferrous scrap metals, demolition, and metal trading.

Key Highlights

1. The metal recycling market size was valued at USD 560.21 billion in 2024.
2. The market is projected to grow at a CAGR of 6.23% from 2025 to 2032.
3. Asia-Pacific held a market share of 36.75% in 2024, with a valuation of USD 205.88 billion.
4. The ferrous segment garnered USD 304.31 billion in revenue in 2024.
5. The shredding segment is expected to reach USD 342.66 billion by 2032.
6. The automotive segment is anticipated to witness the fastest CAGR of 7.23% over the forecast period
7. North America is anticipated to grow at a CAGR of 6.65% through the projection period.

Market Driver

Rising Environmental Awareness and Sustainability Goals

The growth of the market is propelled by rising environmental awareness and a global shift toward sustainability. Growing concerns over climate change, natural resource depletion, and the environmental impact of traditional metal production are prompting industries and governments to adopt sustainable practices. 

Metal recycling significantly reduces energy consumption and greenhouse gas emissions compared to primary metal extraction, making it a vital component of environmentally responsible manufacturing.

An increasing number of companies are adopting recycled metals as part of their sustainability strategies to meet regulatory requirements, corporate ESG objectives, and consumer demand for eco-conscious products. 

This shift is further supported by the emphasis on a circular economy, where materials are reused and repurposed to minimize waste. As environmental responsibility emerges as a strategic priority for businesses and policymakers, the integration of recycled metals into industrial supply chains is expected to increase, accelerating market growth.

• In May 2025, AMCS Group showcased its Performance Sustainability Suite at ReMA 2025 in San Diego. Designed for metal recyclers, the suite offers end-to-end automation, real-time trading insights, compliance support, and sustainability tracking to improve operational efficiency, profitability, and environmental performance.

Market Challenge

Lack of Standardized Collection and Sorting Infrastructure

The absence of standardized collection and sorting infrastructure presents a significant challenge to the growth of the metal recycling market, particularly in emerging and underdeveloped regions. Inconsistent and fragmented scrap collection systems result in lower recovery rates, poor material quality, and operational inefficiencies across the recycling chain. 

A large portion of recyclable metal is either improperly disposed of or contaminated due to inadequate segregation practices and limited access to organized recycling channels. Informal collection networks, often operating without modern equipment and regulatory oversight, further hinder the process by relying on manual and outdated processing methods that compromise safety and sustainability.

To overcome these barriers, governments and industry players are investing in the development of efficient, standardized recycling infrastructure. This includes deploying automated sorting technologies, expanding scrap collection programs, and establishing clear guidelines for metal classification and processing. 

Public-private partnerships, digital tracking systems, and awareness initiatives are also being introduced to improve scrap recovery and ensure regulatory compliance.

Market Trend

Technological Advancements in Recycling Processes

Advancements in recycling technologies are reshaping the market by enabling more precise, efficient, and environmentally sustainable processing methods. 

Modern sensor-based sorting systems, including infrared, x-ray fluorescence (XRF), and laser-induced breakdown spectroscopy (LIBS), allow recyclers to accurately identify and separate different metal types with minimal contamination, enhancing material recovery and purity. 

Artificial intelligence (AI), machine learning, and robotics are being integrated into recycling lines to optimize sorting speed, reduce manual labor, and improve operational efficiency. These technologies also support real-time monitoring and predictive maintenance, ensuring consistent process performance and minimizing downtime.

Additionally, innovations in smelting and refining technologies are enabling the recovery of metals from complex materials, such as electronic waste and multi-metal alloys, expanding the scope of recyclability. Moreover, the integration of digital platforms and blockchain solutions is enhancing traceability, regulatory compliance, and supply chain transparency.

• In February 2025, BMW i Ventures, along with Zero Infinity Partners and Third Prime, invested in GreenSpark Software, a developer of advanced software solutions for the metal recycling industry. The funding aims to accelerate GreenSpark’s product innovation, support expansion into larger enterprise segments , and modernize the industry's outdated technologies.

Metal Recycling Market Report Snapshot

Segmentation	Details
By Metal Type	Ferrous, and Non-Ferrous
By Method	Shredding, Baling, Shearing, Melting, and Others
By End Use Industry	Construction & Infrastructure, Automotive, Shipbuilding, Packaging, and Others
By Region	North America: U.S., Canada, Mexico
	Europe: France, UK, Spain, Germany, Italy, Russia, Rest of Europe
	Asia-Pacific: China, Japan, India, Australia, ASEAN, South Korea, Rest of Asia-Pacific
	Middle East & Africa: Turkey, U.A.E., Saudi Arabia, South Africa, Rest of Middle East & Africa
	South America: Brazil, Argentina, Rest of South America

Market Segmentation

• By Metal Type (Ferrous and Non-Ferrous): The ferrous segment earned USD 304.31 billion in 2024 due to its extensive use in construction and automotive industries, along with strong demand for sustainable steel production.
• By Method (Shredding, Baling, Shearing, Melting, and Others): The shredding segment held a share of 35.45% in 2024, attributed to its efficiency in reducing large metal pieces for streamlined sorting and processing.
• By End Use Industry (Construction & Infrastructure, Automotive, Shipbuilding, Packaging, and Others): The construction & infrastructure segment is projected to reach USD 322.01 billion by 2032, owing to rapid urbanization, increased infrastructure development, and growing demand for sustainable building materials.

Metal Recycling Market Regional Analysis

Based on region, the global market is classified into North America, Europe, Asia Pacific, Middle East & Africa, and South America.

The Asia-Pacific metal recycling market share stood at around 36.75% in 2024, valued at USD 205.88 billion. This dominance is reinforced by rapid industrial growth, expanding manufacturing activities, and stringent environmental regulations promoting sustainable practices. 

Additionally, increased investments in advanced recycling infrastructure and government initiatives supporting circular economy models are accelerating metal recycling efforts. Growing demand for recycled metals in key sectors such as automotive and construction further supports regional market expansion. 

Moreover, rising urbanization and increased consumer awareness of environmental sustainability are leading to the widespread adoption of metal recycling technologies.

• In May 2025, the Press Information Bureau (PIB), Government of India, launched the Non-Ferrous Metal Recycling Website and Stakeholders' Portal to strengthen India’s non-ferrous metal recycling ecosystem. The platform enhances transparency and sustainability by connecting key stakeholders and improving access to data.

The North America metal recycling industry is estimated to register a robust CAGR of 6.65% over the forecast period. This growth is attributed to stringent environmental regulations, increasing demand for sustainable resource management, and rising adoption of advanced recycling technologies across industries. 

The expansion of key sectors such as automotive, aerospace, and electronics, combined with significant investments in state-of-the-art recycling infrastructure, is further boosting recovery and reuse.

• In March 2023, Aurubis AG and SMS group announced a USD 691 million expansion of their multimetal recycling plant in Augusta, Georgia, USA. The project will double the facility's capacity to process 180,000 tons annually, enhancing the recovery of metals such as copper and nickel.

Government policies promoting circular economy initiatives and corporate commitments to environmental, social, and governance (ESG) standards are leading to an increased focus on metal recycling. Additionally, collaboration among industry stakeholders, technology providers, and research organizations is fostering innovation and improving processing efficiency, accelerating regional market development.

Regulatory Frameworks

• In the U.S., the Resource Conservation and Recovery Act (RCRA) regulates the management and recycling of hazardous and non-hazardous waste, including scrap metals. It establishes standards for safe handling and disposal to minimize environmental impact and promote sustainable metal recycling.
• In the European Union, the Waste Framework Directive (Directive 2008/98/EC) regulates waste management, promoting waste prevention, recycling, and the reuse of materials, including metals. It aims to increase metal recycling rates and reduce landfill waste.
• In Brazil, the National Solid Waste Policy (Law No. 12,305/2010) regulates solid waste management. It supports metal recycling and the circular economy through guidelines on waste reduction, reuse, and environmentally responsible recycling.

Competitive Landscape

The metal recycling market is characterized by the presence of several key players focusing on expanding their operational capacities, technological capabilities, and geographic reach to gain a competitive edge. 

Companies are investing significantly in developing advanced recycling technologies, automation, and digital solutions to enhance material recovery rates and operational efficiency while reducing environmental impact. They are expanding their service offerings to include specialized recycling for different metal types and complex waste streams, addressing the diverse needs of industries such as automotive, construction, and electronics.

Additionally, these firms are forging partnerships with suppliers, manufacturers, and technology providers to optimize supply chains and expand their global footprint.

• In January 2025, ScrapBees, a German startup specializing in urban metal recycling, received a USD 0.85 million investment from EIT RawMaterials. This funding supports ScrapBees’ innovative, transparent, and low-carbon recycling approach, aligning with the EU’s Circular Economy and Critical Raw Materials Act goals.

List of Key Companies in Metal Recycling Market:

• Nucor Corporation
• Aurubis AG
• European Metal Recycling Ltd.
• Sims Limited
• Radius Recycling, Inc.
• CMC
• Ferrous Processing & Trading
• SA Recycling LLC
• OmniSource, LLC
• Alter Trading
• DOWA HOLDINGS CO., LTD.
• American Iron & Metal Inc.
• COHEN
• Gerdau S/A
• ArcelorMittal

Recent Developments (M&A/Partnerships/Agreements/Product Launch)

• In June 2025, Mitsubishi Corporation invested in UK-based DEScycle Ltd., a developer of energy-efficient metal recovery technology using Deep Eutectic Solvents. The partnership will support a UK-based pilot plant and commercial expansion by 2028, promoting sustainable recycling and the global circular economy.
• In April 2025, Asahi Kasei Group, along with Nobian Industrial Chemicals B.V., Furuya Metal Co., Ltd., and Mastermelt Ltd., launched a joint initiative to enhance metal recycling from used electrolyzer cells in the caustic soda industry. The project focuses on recovering valuable metals such as iridium and ruthenium and reusing them in new catalysts.
• In September 2024, Mastermelt Ltd and Hensel Recycling GmbH entered a strategic partnership to improve platinum-group metals (PGMs) recovery from end-of-life fuel cells and electrolysers. The collaboration combines dismantling and refining expertise to strengthen circular supply chain and support the hydrogen economy.
• In August 2024, Romco Group and Elemental Holding established a strategic alliance to scale metal recycling operations across Africa. The partnership merges Romco’s capabilities in aluminum and copper recovery with Elemental’s expertise in recycling spent auto-catalysts, e-waste, and lithium-ion batteries to produce ESG-compliant recycled materials from countries such as Nigeria and Ghana.
• In June 2024, Heraeus Precious Metals acquired McCol Metals, a company focused on recovering iridium from spent mixed metal oxide electrodes. This acquisition strengthens Heraeus’ recycling capabilities while aiding the continued growth of McCol Metals.