|
Forecast
Period
|
2024-2028
|
|
Market
Size, By Volume (2022)
|
41.84
Million Tonnes
|
|
CAGR
(2023-2028)
|
5.60%
|
|
Fastest
Growing Segment
|
Containerboard
|
|
Largest
Market
|
Mid-West
Region
|
Market Overview
United States Recovered Paper Market
has reached at a
volume of 41.84 Million Tonnes in 2022 and is
anticipated to project steady growth in the forecast period with a CAGR of 5.60% through 2028. United States has made significant
strides in promoting sustainability and environmental responsibility, and one
area where this progress is evident is in the recovered paper market. Recovered
paper, commonly referred to as recycled paper or paperboard, plays a crucial
role in reducing the environmental impact of the paper industry.
Recovered
paper refers to paper and paperboard products that have been used and collected
for recycling. These materials are processed and repurposed into new paper and
paperboard products. The recovered paper market is a vital component of the
larger recycling industry, contributing to the circular economy by reducing the
need for virgin pulp and conserving natural resources.
Growing
environmental awareness has driven consumers and businesses to demand more
sustainable and eco-friendly products. Recovered paper supports these
initiatives by reducing the industry's carbon footprint and conserving trees,
water, and energy. Federal
and state governments have implemented various regulations and policies to
encourage recycling and reduce landfill waste. These regulations have pushed
industries to prioritize recycling and invest in recovered paper processing
facilities.
Key Market Drivers
Environmental Awareness and
Sustainability
Increasing
environmental awareness among consumers has led to a greater demand for
eco-friendly products. People are actively seeking out products that have a
lower environmental impact. Recycled paper products, made from recovered paper,
are perceived as more environmentally responsible and sustainable alternatives
to those made from virgin materials.
Sustainability
initiatives have pushed consumers and businesses to prioritize sustainable
packaging solutions. This includes corrugated cardboard boxes, packaging
materials, and labels made from recovered paper. As e-commerce continues to
grow, the demand for sustainable packaging is on the rise, further driving the
demand for recovered paper.
The
recovered paper market directly contributes to the reduction of deforestation.
As consumers and companies seek to protect forests and preserve biodiversity,
the use of recovered paper helps reduce the need for cutting down trees for
paper production. This aligns with the goals of environmental organizations and
sustainability initiatives.
Environmental
awareness has prompted governments at various levels to introduce and enforce
regulations aimed at reducing waste and promoting recycling. These regulations
often require businesses to use recycled content in their products. As a
result, industries turn to recovered paper to meet these regulatory
requirements.
Technological Advancements
Modern
recycling facilities are equipped with state-of-the-art sorting and screening
technologies. Automated conveyor belts, optical sorters, and air classifiers
help separate different types of paper, removing contaminants like plastic,
glass, and metal. This advanced sorting reduces the contamination levels in
recovered paper, making it more valuable and suitable for reuse. Technology allows for more precise quality control in the
recycling process. Sensors and scanners can identify and eliminate low-quality
or non-recyclable materials, ensuring that the recovered paper meets industry
standards and customer requirements.
Technological
advancements have improved the processing of recovered paper into pulp, a
critical step in paper and paperboard production. High-tech pulping equipment
and systems can efficiently break down and de-ink recovered paper, resulting in
pulp with consistent quality and purity.
Sustainable technologies have made
recycling more energy efficient. Modern recycling plants are designed to minimize
energy consumption and greenhouse gas emissions, aligning with sustainability
goals. This makes recycling a more attractive option for environmentally
conscious companies. Technology enables recycling facilities
to collect and analyze data on their processes. This data-driven approach helps
identify areas for improvement, optimize operations, and reduce costs. It also
assists in meeting sustainability goals by minimizing waste and resource
consumption. Technology provides supply chain
visibility, allowing businesses to track the journey of their recycled
materials. This transparency helps ensure the authenticity of recycled content,
which is crucial for companies aiming to meet sustainability targets and
provide verifiable eco-friendly products. Technological
advancements in communication and outreach tools allow recycling programs and
environmental organizations to engage with consumers effectively. Apps,
websites, and social media platforms are used to educate the public about
proper recycling practices, encouraging participation and reducing
contamination.
E-Commerce and Packaging
Industry
E-commerce
relies heavily on packaging materials to protect products during shipping and
delivery. The growing popularity of online shopping has led to a substantial
increase in packaging demand. Corrugated cardboard boxes, one of the primary
products made from recovered paper, are widely used for shipping goods
purchased online. This surge in demand directly boosts the consumption of
recovered paper. Both consumers and e-commerce businesses are becoming more
environmentally conscious. Sustainable packaging is a key trend, and recovered
paper is seen as an eco-friendly choice. E-commerce companies are increasingly
opting for recycled and recyclable packaging materials, which includes boxes,
inserts, and wrapping made from recovered paper.
E-commerce
businesses often require customized packaging solutions to accommodate various
product shapes and sizes. Recovered paper is versatile and can be easily molded
into different forms, making it suitable for creating custom packaging
solutions tailored to the needs of online retailers. Recovered paper is cost-effective
compared to some other packaging materials. E-commerce companies, especially
smaller businesses, find it economically advantageous to use recycled paper
products for their packaging needs. This cost efficiency is a significant
driver for the adoption of recovered paper in the packaging industry. Consumers increasingly expect their
online purchases to arrive in sustainable and recyclable packaging. Brands that
meet these expectations by using recovered paper packaging can enhance their
reputation and appeal to environmentally-conscious customers.
Circular Economy Initiatives
Circular
economy initiatives emphasize the importance of recycling as a means to reduce
waste and conserve resources. Recovered paper is a prime example of a material
that can be recycled multiple times without significant loss of quality. As
such, circular economy principles encourage the recycling of paper products,
boosting the demand for recovered paper. Circular economy initiatives aim to
minimize the consumption of virgin resources, such as trees for paper
production. By using recovered paper as a feedstock, the paper industry reduces
its reliance on virgin pulp, contributing to resource conservation.
Circular
economy principles advocate for designing products and packaging with recycling
in mind. Manufacturers are encouraged to use materials that are easily
recyclable, which includes paper products made from recovered paper. This
drives the demand for such products and encourages their incorporation into the
supply chain. Circular
economy initiatives promote closed-loop systems where materials are continually
recycled and reused. Recovered paper is a prime candidate for closed-loop
recycling because it can be collected, processed, and transformed into new
paper products repeatedly. This closed-loop approach reduces the need for raw
materials and minimizes waste. Circular
economy initiatives encourage collaboration across industries, including
packaging, manufacturing, and recycling. Businesses are encouraged to work
together to find innovative ways to incorporate recovered paper into their
processes, fostering a more sustainable and interconnected economy.
Download Free Sample Report
Key Market Challenges
Contamination Issues
Contaminants
in recovered paper reduce the quality of recycled paper products. For instance,
food residue can stain and degrade paper fibers, making them less suitable for
high-quality paper and packaging products. Higher contamination levels can lead to an increased
proportion of lower-grade paper in the recycling stream. This results in
recycled paper with reduced strength, printability, and appearance, which may
not meet the quality standards required by manufacturers. Removing contaminants from recovered
paper requires additional processing steps and equipment. Recycling facilities
must invest in sorting and screening technologies to separate paper from
non-paper materials effectively. The
extra effort and resources required to reduce contamination increase the
operational costs of recycling facilities. These costs can be a significant
burden for recyclers, affecting their profitability and economic viability.
Contaminants can damage recycling
equipment and machinery, leading to increased maintenance and downtime. The
presence of non-paper materials can cause jamming, wear and tear, and the need
for more frequent equipment repairs.
Availability of Alternative
Treatments
China
was historically one of the largest importers of recovered paper from the
United States. However, in recent years, China has implemented stricter import
policies, such as the "National Sword" policy and the "Blue
Sky" policy, which set stringent contamination limits and banned certain
types of recovered paper imports. These
policies have significantly reduced the volume of recovered paper that can be
exported to China, leading to a surplus of recovered paper within the United
States. The shift in
China's import policies has not only affected exports to China but also caused
disruptions in other global recycling markets. Many countries have followed
China's lead and imposed similar restrictions on recovered paper imports.
The shifting global recycling
markets have led to increased volatility in the recovered paper market. Prices
and demand for recovered paper can fluctuate significantly due to changes in
export regulations, tariffs, and shifting trade patterns.
Key Market Trends
Increased Sustainability
Awareness
One
of the most significant trends in the US recovered paper market is the surge in
sustainability awareness. Consumers, businesses, and governments are
increasingly recognizing the environmental benefits of using recycled paper
products. This trend is driven by concerns about deforestation, climate change,
and a desire to reduce the carbon footprint of paper production. High-profile environmental events and
crises, such as natural disasters, wildfires, and extreme weather events, have
brought the reality of climate change and environmental degradation to the
forefront of public consciousness. These events serve as stark reminders of the
need for sustainability. Scientific findings, including reports from
organizations like the Intergovernmental Panel on Climate Change (IPCC), have
provided irrefutable evidence of the negative impacts of human activities on
the planet. This scientific consensus has helped raise awareness. Extensive media coverage, documentaries,
and social media have played a crucial role in disseminating information about
environmental issues. High-profile activists and advocates have amplified the
message of sustainability to a global audience.
E-commerce Boom and Packaging
Demand
One
of the most prominent developments in the US recovered paper market has been
the exponential growth of e-commerce. The COVID-19 pandemic accelerated the
shift to online shopping, leading to an unprecedented demand for packaging
materials, particularly corrugated cardboard made from recovered paper. As
e-commerce continues to flourish, the need for sustainable packaging solutions
is driving the demand for recovered paper in the US. The e-commerce industry has experienced
explosive growth in recent years, especially accelerated by the COVID-19
pandemic. As more consumers turn to online shopping for convenience and safety,
there has been a surge in the volume of packages being shipped across the
country. Each online purchase typically requires packaging materials such as
corrugated cardboard boxes, bubble wrap, packing peanuts, and paper-based
fillers. This increased volume of e-commerce orders has directly translated
into higher demand for packaging materials, including recovered paper products.
Segmental Insights
Grade Insights
In the United
States, the market for recovered paper is divided into various grades, each
with its own characteristics and recycling applications. These grades help
facilitate the recycling process and ensure that the recovered paper is used in
the most appropriate and efficient manner. Here are more detailed descriptions
of some common grades of recovered paper in the US market. OCC is the most
widely recycled paper grade in the US. It primarily includes used corrugated
cardboard boxes used for shipping and packaging. It is a valuable source of
fiber for producing new corrugated boxes and other paper products. Mixed paper
is a category that includes various types of paper and paperboard. It often contains
a mix of magazines, newspapers, office paper, junk mail, and other paper
products. Hard mixed paper includes a mix of paper and paperboard materials.
Type Insights
US recovered
paper market is a dynamic and multifaceted industry that plays a crucial role
in recycling and supplying raw materials to the paper and packaging sectors.
Within this market, two prominent and essential segments are containerboard and
tissue paper. Containerboard forms the basis for corrugated boxes and packaging
materials, while tissue paper encompasses a range of products from facial
tissue to toilet paper. Containerboard, also known as corrugated paperboard, is
a heavyweight paper primarily used in the production of corrugated boxes and
packaging materials. It is the backbone of the packaging industry, providing
the structural integrity needed to protect and transport a wide range of goods.
The recovered paper market in the US supplies a significant portion of the
fiber required for containerboard production. Old Corrugated Containers (OCC)
are the primary source of recovered fiber for this segment. As e-commerce
continues to thrive and the demand for sustainable packaging materials rises,
the importance of OCC and containerboard production grows.
Download Free Sample Report
Regional Insights
United States
recovered paper market is a complex and diverse industry with regional
variations influenced by factors such as population density, industrial
activity, recycling infrastructure, and economic conditions. The Mid-West region has a robust
recycling culture and infrastructure. High population density and a strong
focus on sustainability drive demand for recovered paper. The proximity to
major ports facilitates the export of recovered paper to overseas markets,
particularly in Asia.
The Mid-west region,
which includes states like Illinois, Ohio, and Michigan, has a significant
manufacturing presence, contributing to the demand for recovered paper for
packaging and industrial applications. The region's paper mills rely on
recovered paper as a key raw material for containerboard production. The Great
Lakes region provides access to water transport, making it convenient for
shipping recovered paper. The Northeast, comprising states like New York and
Pennsylvania, has a mix of urban and rural areas, leading to varying recycling
practices. Cities with high population density often have well-established
recycling programs, while rural areas may have limited access to recycling
facilities.
Recent Developments
- In its quarterly
report in July 2023, the Bureau of International Recycling (BIR), headquartered
in Brussels, evaluated the current state of the recovered paper industry.
Despite the considerable challenges faced in the United States, the global
situation doesn't seem to be any more favorable. According to Francisco Donoso,
the President of BIR's Paper Division and associated with Spain-based Dolaf
Services Verdes S.L., the predominant issue affecting the recovered paper
market worldwide is a pervasive lack of demand. This issue is particularly
pronounced due to reduced consumption of finished goods, resulting in
diminished demand for packaging materials.
Key Market Players
- International Paper
- Westrock Co
- Pratt Industries, Inc.
- Sonoco Products Company
- Cascades Inc
- Packaging Corp Of America
- Koch Industries
|
By
Grade
|
By
Type
|
By
End user Industry
|
By
Region
|
- Low
Grade
- High
Grade
- Brown
Paper
- Others
|
- Printing
& Writing Paper
- News
Print
- Tissue
- Containerboard
|
- Food
& Beverages
- Electrical
& Electronics
- Automotive
- Pharmaceuticals
- Others
|
- North-east
- Mid-west
- West
- South
|
Report
Scope:In
this report, the United States Recovered Paper Market has been segmented into the
following categories, in addition to the industry trends which have also been
detailed below:
- United States Recovered Paper
Market, By Grade:
o Low Grade Paper
o High Grade Paper
o Brown Paper
o Others
- United States Recovered Paper
Market, By Type:
o Printing & Writing Paper
o Newsprint
o Tissue
o Containerboard
- United States Recovered Paper
Market, By End
User Industry:
o Food & Beverage
o Electrical & Electronics
o Automotive
o Pharmaceuticals
o Others
- United States Recovered Paper Market,
By Region:
o
Northeast
Region
o
Midwest
Region
o
West
Region
o
South
Region
Competitive
Landscape
Company
Profiles: Detailed
analysis of the major companies present in the United States Recovered Paper
Market.
Available
Customizations:
United
States Recovered Paper Market report with the given market data, TechSci Research offers customizations according to a company's specific needs. The
following customization options are available for the report:
Company
Information
- Detailed analysis and profiling of
additional market players (up to five).
United States Recovered
Paper Market is an upcoming report to be released soon. If you wish an early
delivery of this report or want to confirm the date of release, please contact
us at [email protected]