Increased investments help drive recycled asphalt market growth

The cost of recycled asphalt could be reduced by 35 percent, according to market intelligence firm Stratis Research.

The global recycled asphalt market size was valued at $8.1 billion in 2021 and is expected to reach $13.7 billion by 2030, growing at a CAGR of 6.2 percent.

While recycled asphalt has been available in current aggregate markets, many regions have been reluctant to adopt it, leading to an underdevelopment in recycled asphalt technology. However, the product is gaining widespread acceptance across some regions, particularly among governments, because of growing recognition of its economic and environmental benefits.

This can be attributed to lower infrastructure development costs, which reduce taxpayers’ financial burden. As a result of increasing investments in developing technologies that use recycled asphalt, Stratis Research says opportunities are expected to emerge.

North America is the highest revenue contributor, growing at a CAGR of 6.6 percent during the forecast period. Because of the region’s early advancements in the market, North America holds a dominant position in the market. Several large corporations actively involved in recycling activities for asphalt is another factor that significantly contributes to the region’s expansion in the market for recycled asphalt.

Asia-Pacific is the second-largest contributor to the market and is estimated to grow at a CAGR of 6.7 percent during the forecast period. The economies that make up the Asia-Pacific region can be broken down into three categories: developed, developing and underdeveloped.

The presence of two significant developing economies in the region, namely China and India, is a major driving force behind the growth of the recycled asphalt market. This is because the number of emerging economies is increasing. Continual investments are being made by these economies in the development and reconstruction of various types of infrastructure. In addition, it is anticipated that the region will grow at the highest CAGR during the period covered by the forecast.

Key players in the global recycled asphalt market are Bodean Co., CertainTeed, Cherry Companies, Downer Group, GAF Materials, Lone Star Paving, Owens Corning, Pavement Recycling System Inc., The Kraemer Co. and Wirtgen Group.