Recycling of waste plastics in China is expected to reach 17 mln tons in 2008, rising from 15 mln tons recorded in 2007, as per a report by BCC Research.
The report forecasts that recycling of waste plastic is expected to grow at a compound annual growth rate of 10% and will reach 27.4 mln tons in 2013. Reclaimed rubber and recycled tyres is the smallest segment covered in the report but the fastest growing. BCC said 1.9 mln tons was recycled in 2007 and estimated 2.2 mln tons will be recycled in 2008. This should grow to 4.2 mln tons in 2013 at an annual growth rate of 14%.
China's GDP grew at an annual average rate of more than 8% in the 2003-2007 period. This creates many opportunities to international recycling enterprises seeking to expand their business abroad. Double-digit growth, insufficient self-supply ratio of various waste/scraps, and the absence of large domestic competitors are indicators of tremendous potential.
In 2007 the recycling industry in China processed a total of 142.3 mln tons of waste material of all types. This is expected to increase to 158.6 mln tons in 2008 and 244.8 mln tons in 2013, an annual growth rate of 9.1%. Metals have the largest share of the market, accounting for 76.7 mln tons, an expected 83.5 mln tons in 2008 and 123.2 million metric tons in 2013, at a growth rate of 8.1%. Recycling of waste paper accounted for 48.6 mln tons in 2007, an estimated 55.9 mln tons in 2008 and 90.0 mln tons in 2013, a growth rate of 10%.