Scrap Metal Recycling Market Report 2025

The scrap metal recycling market size has grown strongly in recent years. It will grow from $341.15 billion in 2024 to $361.36 billion in 2025 at a compound annual growth rate (CAGR) of 5.9%. The expansion in previous years can be attributed to increased urbanization and industrialization, fluctuations in metal pricing, a rise in manufacturing operations, regulatory recycling requirements, and heightened environmental consciousness.

The scrap metal recycling market size is expected to see strong growth in the next few years. It will grow to $405.6 billion in 2029 at a compound annual growth rate (CAGR) of 5.7%. Factors fueling growth in the coming years include efforts toward reducing carbon emissions, implementation of circular economy practices, rising production of electric vehicles, increasing need for eco-friendly raw materials, and modernization of infrastructure. Notable trends anticipated in the forecast period include AI-driven scrap sorting technologies, use of robotics for material recovery, advanced separation systems based on sensors, improvements in shredding machinery, and application of blockchain technology for traceability.

The rising demand for infrastructure development is expected to drive the scrap metal recycling market's expansion in the future. Infrastructure development involves constructing and enhancing essential facilities and systems such as transport, utilities, and communications to foster economic progress and elevate living standards. As urban populations increase, the demand for residential areas, roads, energy systems, and other essential services grows accordingly. Scrap metal recycling contributes to these developments by offering an environmentally friendly and economical alternative to new metal materials. This supports reduced reliance on mining, cuts production expenses, and aligns with circular economy models vital for projects like highways, bridges, trains, and city infrastructure. For instance, in July 2023, the Australian Bureau of Statistics reported that 240,813 dwellings were under construction in the March quarter of 2023, a rise from 240,065 in 2022. Among them, new houses numbered 103,778, compared to 101,240 in 2022. Hence, increasing infrastructure development is propelling the growth of the scrap metal recycling market.

Companies active in the scrap metal recycling market are concentrating on launching new screening machines to optimize metal sorting processes, boost recovery rates, and minimize processing costs and time. These machines use mechanical means to differentiate materials by size using various screen sizes or mesh surfaces. In the context of scrap metal recycling, these machines are effective in separating metal pieces from other debris, which enhances metal purity and accelerates the entire recycling workflow. For example, in October 2024, MDS International Ltd., an Irish manufacturing firm, introduced the SCRAPMASTER 400 - a mobile screening solution built specifically for the scrap metal recycling industry. The machine includes high-durability parts like a wear-resistant push feeder, a solid drum frame with screen size options between 25 mm and 150 mm, and an apron-style conveyor for oversized items. It also features a robust fines belt and an auto-reverse drum mechanism to prevent clogging and ensure smooth operations. This development addresses reliability concerns in conventional equipment and significantly improves efficiency in sorting and recovery processes.

In February 2022, ArcelorMittal S.A., a Luxembourg-based steel manufacturing company, acquired John Lawrie Metals Limited for an undisclosed amount. With this acquisition, ArcelorMittal aims to strengthen its decarbonization roadmap by expanding scrap steel use in both electric arc furnace (EAF) and blast furnace steelmaking routes, supporting the European Union’s initiatives to achieve higher metal recycling rates and net-zero ambitions. John Lawrie Metals Ltd. is a Scotland-based scrap metal recycler company that specializes in the recycling and reprocessing of scrap metals, decommissioning of industrial and oilfield infrastructure, and steel trading.

Major players in the scrap metal recycling market are ArcelorMittal S.A., Nucor Corporation, Tata Steel Limited, Gerdau S.A., Commercial Metals Company, Dowa Holdings Co. Ltd., Schnitzer Steel Industries Inc., Radius Recycling Inc., AIM Recycling Limited, SA Recycling LLC, European Metal Recycling Limited, Kuusakoski Group Oy, Sims Metal Management Limited, Upstate Shredding - Weitsman Recycling LLC, Ferrous Processing & Trading Co. Inc., Nicrometal S.A., Hindalco Industries Limited, Metallon Recycling Pte Ltd., TKC Metal Recycling Inc., and Harsco Corporation.

Asia-Pacific was the largest region in the scrap metal recycling market in 2024. North America is expected to be the fastest-growing region in the forecast period. The regions covered in scrap metal recycling report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the scrap metal recycling market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The steep increase in U.S. tariffs and the triggered trade tensions in spring 2025 are profoundly impacting the metal and minerals sector by disrupting supply chains for automakers, appliance manufacturers, and infrastructure projects. Domestic mills have raised prices in response to reduced import competition, but capacity constraints limit their ability to meet demand. Mining firms, meanwhile, grapple with retaliatory tariffs on mineral exports, particularly lithium and rare earths. Industry players are investing in scrap metal recycling, lobbying for exemptions, and forming joint ventures with overseas producers to secure stable supply.

Scrap metal recycling is the process that involves gathering, processing, and repurposing discarded metal materials to create new metal products. This recycling method contributes to the conservation of natural resources, reduces energy usage, and helps limit environmental contamination by diverting metal waste away from landfills and decreasing reliance on the extraction of virgin metals.

Scrap metal recycling includes two primary metal categories: ferrous and non-ferrous metals. Non-ferrous metals, such as aluminum and copper, are resistant to corrosion and non-magnetic. These metals are highly sought after and extensively recycled in industries like electrical, plumbing, and aerospace. The prominent types of scrap include industrial scrap, post-consumer scrap, and construction and demolition scrap. Major recycling techniques encompass shearing, shredding, and baling. This process is applied across a wide range of industries, such as the automotive industry, shipbuilding industry, construction industry, mining industry, energy and power industry, railway and transportation, aerospace and defense, oil and gas, heavy equipment industry, and various other end-use sectors.

The scrap metal recycling market research report is one of a series of new reports that provides scrap metal recycling market statistics, including the scrap metal recycling industry global market size, regional shares, competitors with the scrap metal recycling market share, detailed scrap metal recycling market segments, market trends, and opportunities, and any further data you may need to thrive in the scrap metal recycling industry. These scrap metal recycling market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The scrap metal recycling market consists of revenues earned by entities by providing services such as collection and transportation, sorting and classification, processing and shredding, refining and purification, resale and distribution, and consultation on environmental compliance. The market value includes the value of related goods sold by the service provider or included within the service offering. The scrap metal recycling market also includes sales of recycled steel, recycled iron, recycled aluminum, recycled copper, recycled brass, recycled zinc, recycled lead, and recycled nickel. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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