Global Recycled Asphalt Market – Industry Trends and Forecast to 2029

Market Analysis and Size

Over the last few years, there has been immense growth in the construction industry. Additionally, recycled asphalt has gained immense popularity across the end-use industries for road construction, and other uses of recycled asphalt include waterproofing products such as flat roof sealing and roofing production. With the constant surge in its utilization for road construction and paving as well as the roofing, the market is estimated to grow lucratively over the forecasted period.

Global Recycled Asphalt Market was valued at USD 7.84 billion in 2021 and is expected to reach USD 11.68 billion by 2029, registering a CAGR of 5.10% during the forecast period of 2022-2029. In addition to the market insights such as market value, growth rate, market segments, geographical coverage, market players, and market scenario, the market report curated by the Data Bridge Market Research team also includes in-depth expert analysis, import/export analysis, pricing analysis, production consumption analysis, and climate chain scenario.

Report Scope and Market Segmentation

Market Definition

Recycled asphalt or reclaimed asphalt is processed pavement containing asphalt and aggregates. Production of virgin asphalt propels CO2 emissions as it requires the burning of fossil fuels, but recycled production of asphalt magnifies environmental pollution and endangers frugal nature of natural resources in the process. Therefore recycled asphalt is the effective method to reduce the overall production of toxins.

Recycled Asphalt Market Dynamics

This section deals with understanding the market drivers, advantages, opportunities, restraints and challenges. All of this is discussed in detail as below:

Drivers

• High Usage for Roofing Applications

The recycled asphalt is primarily used for waterproofing in roofing applications. As a result, demand for recycled asphalt is expected to rise as they are highly adopted for the roofing applications across the globe.

• Surging Inclination towards the Environmentally-Friendly Asphalts

Globally, increased global warming and energy consumption have prompted the use of recycled asphalt. Recycling asphalt for road reconstruction, patching, and small pathway construction is sustainable. As a result of these various environmentally friendly factors, the recycled asphalt demand is increasing, largely favoring the market.

Furthermore, the factors such as the increasing need for industrial modernization, rapid urbanization and the increasing adoption of emulsified asphalt as well as polymer-modified asphalt are also contributing to the market's positive outlook. Furthermore, asphalt is a more cost-effective and long-lasting alternative to concrete, which is commonly used in the construction industry.

Opportunities

• Developments and Initiatives by Government

Furthermore, the market players are developing custom-made solutions and modern plant technologies to offer high-quality asphalt using recycling processes, extend profitable opportunities to the market players in the forecast period of 2022 to 2029. Additionally, the government's emphasis on recycling initiatives and investments in recycled asphalt (RAP) can be used to reconstruct worn highway surfaces and repair damaged roads will further expand the future growth of the recycled asphalt market.

Restraints/Challenges

• Asphalt Price and Supply Volatility

The prices of asphalt are highly volatile because it is a petrochemical, and fluctuations in the price of petroleum are reflected in the price of asphalt. As asphalt is a primary raw material used in the construction of road pavements, fluctuating petrochemical prices result in an inconsistent supply, affecting construction projects undertaken by governments and road contractors. As a result, there is a growing preference for the use of substitutes for road pavements, such as concrete, gypsum, and bio asphalt. The recycled asphalt market is inextricably linked with the asphalt market. Therefore, volatility in asphalt prices and supply has an impact on the global recycled asphalt market over the forecast period.

• Dearth of Awareness

There is a lack of awareness among road builders and contractors in several emerging economies about the use and benefits of recycled asphalt. The advantages of using recycled asphalt in the construction of road pavements outweigh the costs. However, contractors and road builders in emerging economies do not consider these factors because they are concerned with lowering the cost of materials and construction. This factor is estimated to challenge the market growth.

This recycled asphalt market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the recycled asphalt market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

COVID-19 Impact on Recycled Asphalt Market

The recent outbreak of coronavirus had a negative impact on the recycled asphalt market as the pandemic disrupted supply chains and delayed construction projects all over the world. To halt the spread of the coronavirus, most countries imposed strict lockdowns and curfews. This resulted in an economic downturn, with construction being one of the most severely impacted sectors due to a lack of raw materials, labor, and government regulations putting ongoing projects on hold. Over the forecast period, the aforementioned determinants will weigh the market's revenue trajectory over the forecast period.

On the brighter side, many local governments took initiatives in the third quarter of 2020 to resume construction work on roads, highways, and buildings. Since April 2020, Germany's Federal Ministry of Transport and Digital Infrastructure (BMVI) has resumed building and road construction. Countries such as Romania and India have resumed highway and road construction since the second half of 2020. Moreover, the market has recovered as a result of the resumption of production and manufacturing activities following the lockdowns. The market quickly recovered to its pre-COVID-19 state and began to grow by the end of 2020. This rapid growth is expected to continue throughout the forecast period.

Recent Development

• In February 2021, MnDOT's Twin Ports Interchange Project in Duluth has been accelerated by Ames-Kraemer Company LLC (Minnesota Department of Transportation). This project will improve safety by eliminating blind merges and left exits, replacing ageing infrastructure, and better-accommodating freight movements near the Clure Public Terminal.

Global Recycled Asphalt Market Scope

The recycled asphalt market is segmented on the basis of application, product type, end-use and type. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

Application

• Path Material
• Hot-mix Asphalt
• Temporary Driveways and Roads
• Road Aggregate for Unpaved Roadways
• Interlocking Bricks
• New Asphalt Shingles
• Energy Recovery

Product Type

• Hot Recycling
• Cold Recycling

End-Use

• Commercial
• Industry
• Municipal

Type

• Black
• White
• Brown
• Gray
• White

Recycled Asphalt Market Regional Analysis/Insights

The recycled asphalt market is analyzed and market size insights and trends are provided by country, application, product type, end-use and type as referenced above.

The countries covered in the recycled asphalt market report are U.S., Canada and Mexico in North America, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC) in the Asia-Pacific (APAC), Saudi Arabia, U.A.E, Israel, Egypt, South Africa, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA), Brazil, Argentina and Rest of South America as part of South America.

North America dominates the recycled asphalt market in terms of market share and market revenue and will continue to flourish its dominance during the forecast period of 2022-2029. The market growth over this region is attributed to the fact that recycled asphalt in paving mixes is permitted in several states in the United States, including Minnesota, Missouri, North Carolina, Ohio, Oregon, Texas, and Georgia.

On the other hand, Asia-Pacific is estimated to show lucrative growth over the forecast period of 2022-2029, due to the rising demand for sustainable construction materials and the growing infrastructural developments in the emerging economies in the region.

The country section of the report also provides individual market impacting factors and changes in market regulation that impact the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.   

Competitive Landscape and Recycled Asphalt Market Share Analysis

The recycled asphalt market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to recycled asphalt market.

Some of the major players operating in the recycled asphalt market are

• BASF SE (Germany)
• Dupont (U.S.)
• SOLVAY (Belgium)
• 3M (U.S.)
• Honeywell International Inc. (U.S.)
• Corporate.Evonik (Germany)
• Huntsman International LLC (U.S.)
• GCP Applied Technologies Inc. (U.S.)
• RPM International (U.S.)
• Fosroc Inc., (U.K.)
• Dow (U.S.)
• Saint-Gobain (France)
• Arkem S.A. (France)
• Ashland Inc (U.S.)
• Mapei S.p.A (Italy),
• MUHU (China)
• Construction Materials Co., Ltd., (China)
• Holcim (Switzerland)
• Nouryon (Netherlands)
• KRATON CORPORATION. (U.S.)
• Ingevity (U.S.)

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