London, United Kingdom -- May 10, 2017 -- Analysts from research firm Technavio predict that the global scrap metal recycling market will grow to 997.9 million metric tons by 2021, with a combined annual growth rate (CAGR) of more than 3 percent.
The research study by Technavio on the global scrap metal recycling market for 2017-2021 provides a detailed industry analysis based on the scrap type (ferrous scrap metal and non-ferrous scrap metal) and geography.
Technavio analysts highlight the following three factors that are contributing to the growth of the global scrap metal recycling market:
- Growing demand for commodities in developing countries
- Benefits of scrap metal recycling
- Transition in the automobile sector
Globally, there has been a continuous increase in the demand for automobiles and consumer electronics, which has increased the amount of scrap metal that is generated due to stamping, clippings, borings and tunings, commonly termed as prime scraps.
“The automotive sector is shifting towards manufacturing cars that are cleaner, safer, and lighter to reduce the carbon emissions from the sector. The compliance to environmentally friendly manufacturing procedures is driving the adoption of scrap metal recycling in the industry,” says Thanikachalam Chandrasekaran, Lead Analyst at Technavio.
The growing popularity of electric vehicles and rising adoption of light-weight vehicles are two important factors that are positively impacting the adoption of scrap metal recycling in the automobile sector, according to the report from Technavio.
For more information, please visit technavio.com.