Recyclable Epoxy Resin Market - Forecast(2024 - 2030)
Overview
The recyclable epoxy resin market size is forecast to reach USD 4,500
million by 2029, after growing at a CAGR of 13.8% during 2024-2029. Growing environmental concerns, stricter laws governing
traditional epoxy resins, and an increased inclination for sustainable
materials in a variety of industries have all contributed to the market's
steady growth. The growing emphasis on sustainability and environmental
responsibility by corporations, governments, and consumers is fueling the need
for recyclable materials like epoxy resin. All throughout the world,
governments are putting laws and policies into place to lessen their influence
on the environment and encourage the use of recyclable materials. Recyclable
epoxy resin is one of the eco-friendly options that these requirements
frequently push industry to use.
The European Union (EU)
tightened restrictions on the use of dangerous chemicals in consumer goods in
response to growing environmental concerns. The EU placed limits on the sale of
products made with epoxy resin that contained dangerous materials as part of
this program. As a result, in order to address consumer demand for safer and
more environmentally friendly options as well as regulatory requirements,
producers in the region are turning to recyclable epoxy resin formulations. A
$20 million fundraising round has been launched by investment firm Green
Ventures to assist firms creating sustainable materials, such as recyclable
epoxy resin solutions. The investment is intended to promote market expansion
in important areas like electronics, automotive, and construction while
expediting the commercialization of novel solutions. Benefiting from this
investment are startups such as EcoResin, which is devoted to creating epoxy
resins that are recyclable and bio-based.
Report Coverage
The report “Recyclable epoxy
resin Market– Forecast (2024-2029)”, by IndustryARC, covers an in-depth
analysis of the following segments of the recyclable epoxy resin market.
By Type of Resin:
Water-based Epoxy
Resin, Vitrimer Epoxy Resin, Solvent-based Epoxy Resin, Thermoset Epoxy Resin
(TER), Recyclamine
By Recycling
Method: Mechanical,
Pyrolysis, Thermal
By End-User
Industry: Automotive, Construction, Electrical and
Electronics, Aerospace, Marine, Packaging
By Geography: North America, South
America, Europe, Asia-Pacific, RoW
Key Takeaways
·
In response to the European Union's Circular
Economy Action Plan, corporations such as BASF and Huntsman Corporation have
increased their efforts to create recyclable epoxy resin technology. BASF's
collaboration with recycling firm Circulate Capital aims to create closed-loop
solutions for epoxy resin products, in line with EU legislation and consumer
demand for sustainable materials.
·
Consumer electronics companies such as Sony and
Panasonic are pioneering the use of recyclable epoxy resin-based components.
Sony's Xperia smartphones have circuit boards composed of recyclable epoxy
resin, demonstrating the company's commitment to sustainability and meeting
consumer demand for environmentally friendly electronics in the Asia-Pacific
area.
·
Dow and 3M are working together in North America
with recycling organizations and research institutes to promote recyclable
epoxy resin technologies. Their collaboration aims to create cost-effective
epoxy resin recycling technologies, while also encouraging innovation and
promoting market growth for recyclable epoxy resin goods in the region and
beyond.
By Type of Resin - Segment
Analysis
Water-based Epoxy Resin (WBER) dominated the recyclable epoxy resin
market in 2023. WBER is preferred because it has a lower environmental impact
than solvent-based epoxy resins. It contains fewer volatile organic compounds
(VOCs), which makes it safer for human health and the environment. With strict
laws aimed at lowering VOC emissions and supporting sustainable practices,
companies are increasingly using water-based epoxy resins to meet environmental
criteria. WBER is a popular choice for coatings, adhesives, and composites
since it is easy to apply and clean up afterward.
In keeping with global efforts to minimize environmental pollution,
governments are rewarding the use of water-based epoxy resins through grants,
subsidies, and regulatory support. For example, the United States Environmental
Protection Agency (EPA) recently announced funding programs to promote the use
of ecologically friendly coatings, such as water-based epoxy resins, in
infrastructure projects. This program seeks to foster market expansion for WBER
while also promoting sustainable development goals. This recent development
emphasizes the growing acknowledgment of water-based epoxy resins as a
sustainable alternative, as well as the importance that government initiatives
play in encouraging their adoption across industries.
By Recycling Method -
Segment Analysis
Mechanical Recycling dominated the recyclable epoxy resin market in
2023. In light of recent advancements, mechanical recycling has taken the lead
in the recyclable epoxy resin market share since it is more affordable and has
a less environmental effect than alternative processes. Products made of epoxy
resin are mechanically broken down into tiny pieces or ground into a powder so
that it can be melted and reformed into new materials. This technique is increasingly
being utilized to epoxy resins and is commonly used for recovering
thermoplastics.
The world leader in high-performance materials, Covestro, revealed a
mechanical recycling technology breakthrough for epoxy resins in 2023. Their
unique method makes it possible to separate and purify waste epoxy resin
quickly and effectively, producing high-grade recycled materials that can be
used in a variety of ways. This development supports the company's
environmental objectives and represents a major advancement in mechanical
recycling techniques for epoxy resins. Recently, the Japanese government implemented
subsidies and incentives to promote the use of epoxy resins and other
mechanical recycling methods in the plastics industry. In order to decrease
plastic waste and expedite the shift to a circular economy, the government is
sponsoring research and development in this area and offering financial
support.
By End User - Segment
Analysis
Strict guidelines, including the European Union's Restriction of
Hazardous Substances (RoHS) directive, govern the use of hazardous materials in
goods for the electrical and electronics industries. The industry is using
recyclable epoxy resin compositions because they provide a sustainable and
compliant substitute for conventional epoxy resins. There is an increasing
market for electrical items made with eco-friendly materials as a result of
consumers' growing environmental consciousness. Electronics producers are
progressively utilizing recyclable epoxy resin-based components in order to
satisfy consumer demands for environmentally friendly goods.
In order to integrate environmentally friendly components into their
newest range of consumer electronics, Samsung Electronics stated in 2023 that
they had formed a strategic alliance with a top provider of recyclable epoxy
resin materials. This relationship is in line with Samsung's commitment to
sustainability and attempts to lessen the environmental impact of the company's
goods. Samsung wants to satisfy consumer demand for eco-friendly products while
preserving its competitive advantage in the electronics industry by utilizing
recyclable epoxy resin technology.
By Geography - Segment
Analysis
Because of its strict environmental laws and the increasing emphasis
that various businesses are placing on sustainability, Europe is at the
forefront of the development of recyclable epoxy resin technologies. Europe's
businesses are leading the way in creating and executing novel approaches for
recyclable epoxy resin, motivated by the need to comply with regulations and
meet consumer demand for environmentally friendly goods. A group of businesses
in Europe, comprising DSM and BASF, announced the creation of a revolutionary
recyclable epoxy resin formulation. With the help of the European Union's
Horizon 2020 program, this innovative technology seeks to create a circular
economy for epoxy resin products, propelling regional market expansion and
environmental sustainability. With this initiative, Europe has further cemented
its leadership in sustainable materials and innovation, and it will continue to
dominate the recyclable epoxy resin market.
Drivers – Recyclable epoxy resin Market
· Stringent Environmental Regulations
Recyclable epoxy resin is becoming more and more
popular due to Europe's tough environmental laws, such as the REACH
(Registration, Evaluation, Authorization, and Restriction of Chemicals) rules
and the Circular Economy Action Plan. By restricting the use of dangerous
chemicals and promoting the use of sustainable materials, these policies
encourage industries to switch to recyclable alternatives. The Circular Economy
Action Plan of the European Union, which was unveiled in 2023, has set high
goals for raising recycling rates and cutting waste. The EU enacted laws as
part of this strategy to encourage the use of recyclable materials, such as
epoxy resins. In order to comply with these rules, businesses like Arkema, a
world leader in specialty chemicals, are spending money on research and
development. As an example of the industry's response to regulatory challenges
and commitment to sustainability, Arkema recently unveiled a new range of
recyclable epoxy resins that meet with EU requirements.
·
Growing
Emphasis on Sustainability Across Industries
In Europe, business sustainability objectives,
investor expectations, and consumer demand are driving an increasing emphasis
on sustainability across industries. In an effort to lessen their impact on the
environment and improve the reputation of their brands, businesses are
progressively implementing sustainable processes and materials across their
supply chains. European automakers are using more and more recyclable epoxy
resin-based parts in their cars in response to consumers' increased desire for
environmentally friendly products. For example, BMW declared that it will
produce its electric automobiles using recyclable epoxy resin composites. BMW
and Huntsman Corporation, a top producer of specialized chemicals, are working
together to create sustainable and lightweight materials for use in automotive
applications. This collaboration is a testament to the industry's dedication to
sustainability and its understanding of recyclable epoxy resin as a crucial
component of environmentally responsible automobile design.
Challenges – Recyclable epoxy resin Market
· Technological Challenges in Recycling Processes
The creation of
effective recycling procedures is one of the main issues facing the industry
for recyclable epoxy resin. Thermosetting polymers used in traditional epoxy
resins make it difficult to break down and reuse the material. For the epoxy
resins business, developing scalable and affordable recycling methods is still
a major challenge. A notable real-time development in Europe is the partnership
between a research consortium and Evonik Industries to promote epoxy resin
chemical recycling technologies. The specialty chemicals manufacturer Evonik is
collaborating with academic institutions to create a revolutionary chemical
recycling method that effectively disassembles epoxy resin compounds into their
component parts. By working together, we hope to solve the technological
obstacles in the way of recycling epoxy resin and open the door to more
environmentally friendly material cycles in Europe.
·
Market Fragmentation and
Lack of Standardization
To streamline the recyclable epoxy resin
business and encourage broad use, standardization of recycling procedures and
material requirements is crucial. The establishment of industry-wide standards,
harmonization of legislation, and stakeholder participation are essential
measures in tackling this issue and building a more unified and effective
recycling ecosystem.
A recent European Chemicals Agency (ECHA)
project seeks to resolve market fragmentation and encourage standardization in
epoxy resin recycling. ECHA is creating recommendations for the recycling and reuse
of epoxy resin materials in partnership with industry stakeholders. In order to
facilitate market harmonization and hasten the adoption of recyclable epoxy
resin products in Europe, these guidelines seek to create universal standards
and best practices for epoxy resin recycling.
Market Landscape
Technology launches, acquisitions, and R&D activities are key
strategies adopted by players in the recyclable epoxy resin market. Major
players in the recyclable epoxy resin market are Covestro AG, BASF SE, Huntsman
Corporation, Dow Inc., Hexion Inc., Aditya Birla Chemicals, Araldite (Huntsman
Advanced Materials), Olin Corporation, Sika AG, DIC Corporation among others.
Developments:
Ø In December 2023, Covestro announced a strategic partnership with a leading
recycling company to advance the development of chemical recycling technologies
for epoxy resins. This collaboration aims to address the challenges associated
with epoxy resin recycling and accelerate the transition towards a circular
economy for epoxy resin products.
Ø In September 2023, BASF unveiled a new line of recyclable epoxy
resin formulations designed to meet the growing demand for sustainable
materials. This product launch aligns with BASF's commitment to sustainability
and its efforts to offer innovative solutions that support circularity and
resource efficiency.
Ø In June 2023, Huntsman Corporation announced the acquisition of a
leading recycling technology company specializing in epoxy resin recycling.
This strategic acquisition enhances Huntsman's capabilities in sustainable
materials and positions the company as a leader in the development of
recyclable epoxy resin technologies.