Press release
Resource Circulation Equipment Market for Automotive, Construction, Electrical & Electronics, Paper, Plastic & Polymers, Metal, Oil & Gas and Other Applications | Market Trends, and Forecast 2019
The revenue generated by the global RCE market was USD 10.70 billion in 2012 which is expected to grow to USD 17.65 billion by 2019, growing at a CAGR of 7.5% from 2013 to 2019. End-use applications of RCE include, facilities such as petroleum, chemicals, tire recycling, solid waste processing, and recycled aggregate processing facilities; ash recovery plants, composting units, waste tire processing, rubber powder production, waste plastic pellets production, recycled paper production and slag recycling (cement production) facilities. RCE finds applications in solid refuse fuel and organic waste-to-energy facilities, landfills, gas recycling equipment, refined oil production facilities, and so on.
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Electrical and electronic recycling equipment used in the construction recycling accounted for the largest share of the total revenue generated by the industry in 2012. With over 20% share of the global market, electrical and electronics recycling industry was the largest application segment for the resource circulation equipment industry in 2012. Growing recycling trend in electrical and electronics industry has remained the key driving factor for the resource circulation equipment industry.
Moreover, a growing inclination towards RCE due to the scarcity of landfill sites and increasing awareness about creating energy from waste is anticipated to improve from medium to high in the next few years. However, the resource circulation equipment/facilities require substantial capital investment. The cost structure of this equipment not only includes the capital cost but also operational and maintenance costs. Only those companies with large production capacities and a strong financial position can currently afford RCE.
North America and Europe are major markets for resource circulation equipment, as these markets are governed by stringent environmental and government regulations. North America accounted was the largest market for the RCE with over 39% share of total revenue generated in 2012. RCE in North America is characterized by growing industrial and electronic waste in the region and stringent government regulations. Recycling activities have also increased in the Asia Pacific region as a result of growing environmental demands. The resource circulation equipment market witnessed significant decline in demand due to the global economic downturn during 2008 and 2009. However, the RCE market has witnessed steady rise in demand since 2010 due to the uptrend in end user industries following the revival of the global economy.
The OEMs provide the basic components required for the production of RCE. These OEMs manufacture components from basic raw materials such as aluminum, stainless steel, and magnets, sourced from metal industries such as Alcoa, Inc., AK Steel, Böhler Edelstahl and so on. RCE manufacturers procure the components from these OEMs and then assemble them at their facilities. Most RCE manufacturers have long term contracts with OEMs due to the intricate nature of the products and the design specifications required.
Kawasaki Heavy Industries Ltd., Vecoplan AG, Metso, Foster Wheeler, Wolf Material Handling Systems, ThermoSelect SA, Komptech GmBH, ECO Green Equipment, etc. are some of the leading resource circulation equipment suppliers across the world. Kawasaki Heavy Industries a leading company that provides diverse RCE solutions has registered a strong presence in downstream activities. The company offers resource recycling systems for solidified coal ash aggregate manufacturing facilities, bottle color separation systems, RPF manufacturing facilities, sludge processing systems, high efficiency waste plastic sorters, and single axis shredders. Kawasaki Heavy Industries manufactures as well as erects resource circulation facilities.
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