According to the Business Research Company’s Construction and Demolition Waste Management Global Market report, the C&D waste management market is projected to grow from $193.02 billion in 2023 to $206.4 billion in 2024, at a compound annual growth rate (CAGR) of 6.9 percent. Furthermore, the industry is expected to continue to grow to $271.68 billion in 2028 at a CAGR of 7.1 percent. Today, concrete, metal, wood and asphalt are among the most recycled C&D materials, thanks to established recycling processes and a strong market demand for these recycled building components as the expansion of the construction industry is expected in the coming years.
Daniel Anderson, chief executive officer of GoRubbishGo, a firm focused on waste management and sustainability systems and practices, said the C&D recycling market faces several significant challenges, prominently the variation in waste material composition.
“This diversity requires different technological approaches for recycling materials like concrete, wood, metal or plastic, complicating the recovery process,” Anderson said. “Regulatory frameworks also present a hurdle; the lack of standardization across jurisdictions can create confusion and inefficiency, hampering the effectiveness of recycling efforts.”
Furthermore, he pointed out that the economics of recycling are not always favorable. For some materials, the costs of recycling exceed the value of the recovered materials, making them economically unviable without government incentives or technological advancements. In addition, the adoption of sustainable practices across the wider construction industry remains limited.
“Enhancing education and fostering collaboration among competitors is crucial for boosting recycling rates and sustainability,” Anderson said.
Terry Weaver, owner of USA Gypsum Drywall Recycling in Denver, Pennsylvania said that they recycle gypsum drywall waste generated from the manufacturing, distribution and installation of wallboard products. Weaver also serves on the CDRA Gypsum Recycling committee, which represents all the stakeholders in the supply chain and leads the way in providing best management practices for the beneficial use of gypsum reclaimed from drywall waste. Using proprietary methods, the wallboard scrap is recycled in a closed loop or “up-cycled” into gypsum products that are used for lawns, gardens, industrial and agricultural purposes.
“Aggregates represent the most recycled materials, primarily due to favorable economic conditions,” Weaver said. “Regulatory frameworks and waste bans at the state and local levels vary, along with resources allocated for enforcement.”
Weaver said that in the realm of gypsum drywall recycling, improvements in end markets for recycled material have arisen due to decreased production of synthetic gypsum (FGD) from coal-fired power plants. Nationally, the primary hurdles facing the gypsum recycling marketplace revolve around inadequate infrastructure for acquiring and processing drywall. In the Northeast, the challenge lies in the quantity of drywall separated from the waste stream.
Continuous Evolution
How has the C&D recycling industry evolved in the last few years that may add to these challenges? “The trend of consolidation among C&D waste processors through mergers and acquisitions appears to have diverted attention away from recycling endeavors,” Weaver said.
In addition to industry consolidation, in recent years the C&D recycling industry has evolved, facing both new challenges and opportunities. As Anderson pointed out, technological advancements have improved the efficiency of recycling processes, but the increasing complexity of construction materials and changes in waste composition have added to the recycling challenge.
“As buildings become more advanced, the materials used are often more difficult to recycle, requiring new technologies and methods,” Anderson says. “Additionally, the industry’s evolution is shaped by shifting regulatory landscapes and growing environmental awareness, which demands more rigorous recycling practices but also provides a push toward innovation.”
And as Weaver explained, while advancements in waste separation technology for mixed C&D materials have been noted, there have been no significant breakthroughs in separating drywall waste from commingled C&D.
“The separation of drywall waste necessitates source segregation or positive sorting on the tip floor,” Weaver said.
That said, several technological innovations, such as robotics and AI-driven systems, have positively impacted the C&D recycling industry by enhancing the accuracy of material separation, improving the quality and efficiency of recycling.
“Innovative C&D recycling technologies that can handle a wider range of materials or more complex waste streams are emerging,” Anderson said. “Thus making it possible to recycle previously unrecyclable materials. These innovations help increase recycling rates and the economic viability of recycling certain materials.”
Anderson expects the C&D recycling market to evolve with a stronger emphasis on sustainability and circular economy principles. He said that this evolution will likely be driven by further technological advancements, more stringent regulations, and a growing demand for sustainable construction materials.
As noted, one of the biggest concerns surrounding the C&D recycling market include dissimilar regulations by jurisdiction. In addition, high contamination rates, landfill emissions generated due to improper processing at the end of the material lifecycle, the lack of any infrastructure or regulations to support reusing salvaged construction materials, and the large amount of carbon associated with the extraction, transport, and processing of raw materials, are also challenges the C&D industry is facing.
And with fewer construction and demolition material recycling facilities available – due to industry consolidation and lack of overall development – each commodity being recycled has to have its own open top container to help prevent cross contamination and improve separation. This significantly raises the hauling costs that recycling companies have to face. And the low value of some of the C&D materials being collected also results in the challenge of finding buyers of the commodities that need to be recycled.
“Collaborative efforts across the industry and with governmental bodies could lead to more unified regulations and incentives for recycling,” Anderson said. “Additionally, education and outreach are essential to foster a cultural shift towards more sustainable construction practices, ultimately aiming for a future where recycling and sustainability are integral to the construction industry.”
The good news is that as certain states are adapting their C&D recycling and reuse ordinances, the amount of C&D materials to be recycled escalates. For example, the County of Los Angeles Construction and Demolition (C&D) Debris Recycling Ordinance, adopted January 4, 2005, originally required 50 percent of all debris generated from construction, demolition, and/or grading projects in unincorporated areas of the County to be recycled or reused. That number was increased to 65 percent in 2016, and the newest proposed revision will increase the minimum C&D recycling rate to 70 percent, and will require certification for C&D debris recycling facilities.
Nashville, Tennessee city officials also have proposed a new ordinance to C&D recycling as the city estimates the C&D waste stream has nearly doubled in the last decade, with the vast majority ending up in landfills.
“While the technology for recycling most C&D materials exists, the heavy weight and relatively low value of recycled C&D wastes often limit markets to regional scopes,” Weaver said. “Nevertheless, successful recycling of materials such as drywall, shingles, and wood has been observed in select regions where collaborative efforts between regulators, recyclers, and manufacturers have integrated recycled materials into new construction materials. These successful models hold potential for replication under favorable economic conditions.”
