Tire Derived Fuel

Tire Derived Fuel

The tire-derived fuel (TDF) market is concerned with the production and use of fuel created by processing scrap tires. This fuel source is typically used in industrial facilities like cement kilns, pulp and paper mills, and utility boilers. TDF offers several advantages, including reducing reliance on fossil fuels, lessening waste tire stockpiles, and potentially lowering overall fuel due to which market is boosting itself globally.

Tire Derived Fuel expected to grow at a strong CAGR of 4.6% during the forecast period owing to the regulations aimed at reducing greenhouse gas emissions and air pollution are pushing industries to explore cleaner fuel options. TDF can be a more environmentally friendly choice compared to conventional fossil fuels, particularly when processed and used correctly. Additionally, advancements in TDF processing technologies are enhancing efficiency and reducing emissions. This makes TDF a more attractive option for environmentally conscious industries.

• Based on type, the market is segmented shredded tire and whole tire. Amongst these, the whole tire segment is forecasted to have a significant share in the tire derived fuel market because whole tires can sometimes be easier and less expensive to handle compared to shredded tires. Shredding adds a processing step that incurs additional costs. Additionally, Cement kilns operate at extremely high temperatures (around 2,500°F or 1,370°C) which allows for the complete combustion of whole tires. Shredding isn't always necessary for this application.
• Based on application, the market is segmented into pulp and paper mills, cement manufacturing, utility boiler, and others. Amongst these, the cement manufacturing segment has a significant share in the tire derived fuel market because TDF is a cheaper alternative to traditional fossil fuels like coal or coke, which are major cost components in cement production. This translates to potential cost savings for cement companies. Furthermore, materials spend a significant amount of time inside the kiln, allowing for thorough fuel breakdown and energy extraction from the TDF.
• Based on application, the market is segmented into passenger vehicles, commercial vehicles, and others. Amongst these, the commercial vehicles segment has a significant share in the tire derived fuel market because commercial vehicle tires are generally bigger and more robust compared to car tires. These larger tires contain a greater amount of rubber, which is the primary component for TDF, and more rubber means more potential fuel from each tire. Furthermore, the commercial vehicle industry has a high volume of traffic and heavy loads, leading to more frequent tire replacements compared to personal vehicles. This consistent stream of used tires feeds the TDF market.
• For a better understanding of the market adoption of the tire derived fuel industry, the market is analyzed based on its worldwide presence in countries such as North America (U.S., Canada, and the Rest of North America), Europe (Germany, UK, Netherlands, France, Italy, Spain, Rest of Europe), Asia-Pacific (China, Japan, India and Rest of Asia-Pacific), Rest of World. North America is a dominating region in tire derived fuel market because use of TDF in North America dates to the 1970s. This early adoption provided a head start in developing the infrastructure and regulations needed for efficiency. Moreover, North America, with its large and developed economies like the United States and Canada, generates a significant amount of scrap tires each year. This abundant feedstock fuels the TDF market. Furthermore, major industrial sectors in North America, particularly cement manufacturing, pulp and paper mills, and utility companies, have a high demand for reliable and cost-effective fuel sources. TDF fits the bill for many of these industries.
• Some major players operating in the market include Renelux Cyprus, LS Tire LLC., Tire Disposal & Recycling., Ragn-Sells Group, Reliable Tire Disposal, Scandinavian Enviro System, Liberty Tire Recycling, Lakin Tire West, GLOBAL TIRE RECYCLING OF SUMTER CO, and ResourceCo.