by Automotive oil recycling involves collection, transportation, storage, refinement, and disposal of used oil, which generates energy resources and prevents oil contamination. Used oil recycling plays an important role in automobile service sectors and aids in conserving natural crude oil resources.
The global Automotive Oil Recycling Market is estimated to be valued at US$ 48.42 Bn in 2023 and is expected to exhibit a CAGR of 5.4% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the major trends in the automotive oil recycling market is increasing policy and regulatory pressure on proper oil disposal. Many countries and states have implemented regulations such as the US Resource Conservation and Recovery Act to promote the collection and re-refinement of used oil. The increasing vehicular fleet across the globe is leading to higher consumption of engine oil, which drives the demand for oil recycling. Moreover, recycled oil finds applications as fuel for industrial furnaces, which provides opportunities for market players. However, the complexity of collection infrastructure and operations poses a major challenge for the market.
SWOT Analysis
Strength: The automotive oil recycling market has strong government support and regulations to promote environment protection. Strict norms encourage used oil collection and recycling.
Weakness: Collection infrastructure is still not fully developed in rural and remote areas. Improper handling and disposal of used oil remains a challenge.
Opportunity: Growing awareness about benefits of oil recycling present an opportunity for companies to educate people and encourage used oil collection. Technologies to upgrade recycled oil into higher value products are being researched.
Threats: Presence of unorganized players conducting improper recycling can harm the environment and industry reputation. Substitute products like synthetic lubricants pose competition.
Key Takeaways
The global Automotive Oil Recycling Market Demand is expected to witness high growth, exhibiting CAGR of 5.4% over the forecast period, due to increasing environmental concerns about improper oil disposal. Governments across regions have implemented regulations to tackle oil pollution in land and water bodies.
Regional analysis: North America dominates currently due to stringent regulatory framework and sophisticated recycling infrastructure in the US and Canada. Asia Pacific is expected to grow at a high pace, led by China and India due to rising vehicle ownership and pollution control measures. Countries are focusing on building oil collection centers and recycling facilities to handle growing waste volumes.
Key players operating in the automotive oil recycling market are Safety-Kleen Systems, Inc., Valvoline, Heritage-Crystal Clean, LLC, Veolia Environnement, Clean Harbors, NexLube, Recytech, Universal Lubricants, Vertex Energy, Inc., Advanced Lubrication Specialties, Delta-Energy Group, LLC, GFL Environmental Inc., HCC Eagle Environmental Services, Inc., MidStates Oil Refining Co. LLC, PetroChoice, Sage Oil Vac, Inc., Solventis Ltd., Southern Oil Refining Pty Ltd, Suncor Energy Inc., Texas Used Oil Collection Program. These companies have extensive service networks and high recycling capacities. Major players are investing in R&D to develop new recycling technologies. Partnerships with collection entities arehelping boost used oil availability.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
