The cost of recycled asphalt could be reduced by 35 percent. Recycled asphalt contains a lot of binders. Energy consumption and rising global temperatures have raised concerns about asphalt use worldwide. Recycled asphalt can be used to resurface roads, which reduces natural resource consumption, benefiting the environment. Recycled material is prone to fatigue cracking, impartial blending, and rutting, limiting the market growth.
According to Straits Research, “The global recycled asphalt market size was valued at $8,001.9 million in 2021. It is expected to reach $13,750.35 million by 2030, growing at a CAGR of 6.2 percent during the forecast period (2022–2030).” Various aggregates, binders, and fillers are combined to form asphalt. Aggregates are crushed stones, gravel, rocks, and sand ground down. These types of asphalts are necessary for road and pavement construction. The extensive nature of the asphalt production process necessitates a significant investment in water and energy. Existing asphalt on roads is chipped off, crushed, and ground into powder to make recycled asphalt. In either case, the asphalt is either crushed on-site or brought to a recycling plant, where it is reprocessed. When recycled asphalt is used, it already contains a binder and aggregates. Recycled asphalt production requires less binder and aggregate because of this. In turn, less virgin material is used, reducing the burden on the planet’s natural resources even further.
For a long time, recycled asphalt has been available in the market. Despite this, many regions were reluctant to accept the same. This was one of the factors contributing to the underdevelopment of recycled asphalt technology. Despite this, the product is gaining widespread acceptance across various regions, particularly among governments, due to the 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, lucrative opportunities are expected to emerge, particularly given the industry’s widespread availability of customized solutions.
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 held 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 emerging economies are increasing, which can be attributed to the previous sentence. Continual investments are being made by the 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. Because of its cost benefits, the use of recycled asphalt has increased in the region. This is a significant advantage for developing nations because it lightens the load on taxpayers and enables governments to reinvest the money saved in other aspects of economic growth.