Global Tyre Derived Fuel (TDF) Market Report 2021: Industry Analysis 2017-2020 & Growth Trends and Market Forecast 2021-2025 - ResearchAndMarkets.com

DUBLIN--(BUSINESS WIRE)--The "Tyre Derived Fuel (TDF) Market - Global Industry Analysis (2017 - 2020), Growth Trends and Market Forecast (2021 - 2025)" report has been added to ResearchAndMarkets.com's offering.

The global tyre-derived fuel (TDF) market is expected to reach a valuation of US$430.3 Mn by the end of 2025.

The amount of waste generated is directly proportional to the development of a country. The monumental improvement of economic conditions in developing countries has therefore resulted in the generation of tyre scraps. Needless to say, even developed parts of the world are adding to the piles of tire scraps. Report indicates that a billion tyre scraps generated annually.

Soaring Fuel Prices to Up Usage of Tyre-derived Fuel

Tyre-derived fuel is often used as a supplemental fuel at cement and paper & pulp facilities. In recent years its demand is seen a steady rise as TDF improves boiler efficiency, reduces carbon emissions, and cuts down fuel costs. As end-use industries regain momentum in the post-COVID-19 economy, analysts anticipate that they will stoke the usage of TDF as well. As of 2019, the cement industry held a 50% share in the global tyre-derived fuel market. The publisher predicts the trend will continue as construction activities make a comeback in full swing.

North America and Asia Pacific Stand Out as Players See High Value Proposition

North America is currently an extremely prominent market for tyre derived fuel, primarily owing to the abundant supply of end-of-life tires. The US Tire Manufacturers Association is one of the many bodies working toward maximizing and capitalizing on scrap tire value, while also reducing the debilitating impact of the automotive industry on the environment. This, supported by the rising popularity of electric vehicles, creates a lucrative scenario for TDF facilities and players.

Asia Pacific also serves as a profitable market for tyre derived fuel thanks to the ever-growing presence of leading automobile companies and ongoing expansions of their manufacturing plants in the region. The cement manufacturing industry is perhaps the largest consumer of tyre derived fuel in Asia Pacific, with companies using whole tires as well as TDF as a supplemental fuel in cement kilns. Renelux is one of the major TDF players that caters to the Indian cement market.

In April 2017, the company signed an agreement with The India Cements to source solid fuels. Renelux continues to strengthen its relationship with India, and in 2019, discussed new opportunities within the domestic cement industry.

Key Players to Expand Capacities to Beat New Players

With the increasing fleet of personal vehicles on roads, the soaring prices of traditional fuel, and growing awareness about the benefits of TDF, the prospects of tyre-derived fuel as a market seem increasingly lucrative and attractive to players. While more and more companies are looking to venture into this market, existing players are focusing on expanding their capacities to compete with the onslaught of new entrants.

For instance, the leading provider of tire recycling services in North America Liberty Tire Recycling acquired California-based Lakin Tire in March 2020 to continue its commitment to sustainability and offer environment-friendly tire recycling services. Prior to this acquisition, Liberty Tire Recycling collected and recycled over 140 million tires each year, which rose to 180 million since partnering with Lakin Tire.

Key Highlights of Global Tyre-derived Fuel Market:

• Tyre-derived fuel holds high potential to bring down the overall fuel cost of cement industry by 50%
• Usage of TDF to allow cement plant operators to trade 'carbon credit certificates' thereby generating new revenue pocket
• Higher calorific value than coal of 25-50% and 100-200% higher than wood and municipal waste makes TDF ideal fuel option for end users
• Demand for TDF to benefit from strict bans imposed on landfilling of scrap tyres in the U.S. and Europe.
• Overflowing Landfills to Push Tyre-derived Market to find Quick Solutions

Companies Mentioned

• Emanuel Tyre, LLC
• L & S Tyre Company
• Liberty Tyre Recycling
• Ragn-Sells Group
• Reliable Tyre Disposal
• Renelux Group
• ResourceCo Pty Ltd.
• Scandinavian Enviro Systems AB

For more information about this report visit https://www.researchandmarkets.com/r/a43bwj