U.S. Copper Scrap Market Size, Share & Trends Analysis Report By Application (Wire Rod Mills, Bar Mills, Ingot Makers, Foundries & Other Industries), By Region (Northeast, Midwest, West, South), And Segment Forecasts, 2022 - 2030

U.S. Copper Scrap Market Size, Share & Trends Analysis Report By Application (Wire Rod Mills, Bar Mills, Ingot Makers, Foundries & Other Industries), By Region (Northeast, Midwest, West, South), And Segment Forecasts, 2022 - 2030

U.S. Copper Scrap Market Growth & Trends

The U.S. copper scrap market size is expected to reach USD 900.6 million by 2030, according to a new report by Grand View Research, Inc. It is expected to expand at a CAGR of 4.2% from 2022 to 2030. Demand for recycled copper in foundries and ingot-making applications is projected to boost the market growth.

Copper scrap finds applications in foundries such as casting plants, bronze products, and gunmetal products. Copper casting parts made from copper alloys and bronze are used in construction, electrical, mining, oil & gas, general, and industrial applications. This segment is projected to grow on account of favorable properties of copper such as corrosion resistance, weathering resistance, low maintenance, recyclability, superior strength, magnetic permeability, electrical conductivity, and ease of fabrication.

With electrification increasing at a rapid pace in the automobile industry, the demand for metals necessary for the transition from ICE vehicles to electric vehicles is projected to rise over the coming years. The share of EVs sales as a proportion of total vehicles has been growing. For instance, EVs sales reached 3.6% of total EV sales, in Q2 2021, as reported by Alternative Fuels Data Center.

The irregular supply of copper scrap is one of the major challenges in the industry and thus restrains the growth of the market. Loss of copper scrap occurs as most of the scrap ends up in landfill sites. The availability of scrap is also adversely impacted by the long-life cycle of copper products. It is tied up for 10 to 20 years in the transportation sector, more than 30 years in construction and infrastructure, and between 10 to 30 years in the industrial machinery & equipment sector, before it becomes available for recycling.

Technology upgrades and investments are required to improve the recycling rate around the world. This involves more machinery & equipment for scrap processing and separation, trucks and vehicles to transport scrap, technological upgrades to handle diverse, complex, and rapidly changing material compositions, and product miniaturization. Thus, these considerable hurdles restrain the growth of the copper market, as copper scrap is not available regularly for optimized production.

Private investments in the scrap sector are growing. For instance, in the U.S. Aurubis AG has targeted investment for three actions: expanding its recycling capacity including e-waste or electronic scrap, upgrading technology to convert complex materials into high-grade scrap, and developing closed loops for customers, which can end the cycle of metal waste. Similar investments have been witnessed to be on the rise in other regions such as Europe and China.

U.S. Copper Scrap Market Report Highlights

• In terms of application, the brass mills segment is projected to remain the fastest-growing segment with a CAGR of 4.9% from 2022 to 2030. Brass mills melt and produce alloy materials to further manufacture tubes, sheets, strips, bars, rods, extrusions, forgings, and mechanical wires
• The West U.S. is projected to grow at a lucrative growth rate over the forecast period. The investments in copper recycling facilities by foreign and local players are projected to benefit the market growth
• The rising demand for electric vehicles (EVs) is projected to push the demand for copper and thus copper scrap. EVs required 3 to 4 times more copper compared to internal combustion engine vehicles