by Plastic pollution has emerged as a significant environmental challenge in the U.S. in recent years with plastic waste clogging landfills and littering oceans and landscapes. The conversion of plastic waste into renewable transportation fuels offers a viable solution to tackle the plastic waste crisis while reducing dependence on fossil fuels. The plastic-to-fuel technology employs thermal and catalytic processes to break down plastics into synthetic crude oil, naphtha, diesel and waxy fuels that can be used in vehicles or power generation with minimal modifications to existing infrastructure. This dual advantage of plastic waste management and fuel production is fueling investments in plastic-to-fuel plants across the U.S.
The global U.S. Plastic-to-Fuel Market is estimated to be valued at US$ 147.7 Bn in 2024 and is expected to exhibit a CAGR of 9.2% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
The key trend driving the U.S. Plastic-To-Fuel Market is the widespread adoption of advanced pyrolysis and gasification technologies that improve the efficiency and yields of the plastic conversion process. Earlier plastic-to-fuel plants used to generate low-quality pyrolysis oil that required further refining, however newer systems deploying catalysts and plasma gasification are capable of directly producing drop-in synthetic fuels and chemicals. As these high-performing technologies become more affordable, their commercial deployment for plastic waste recycling is expected to accelerate substantially over the next decade thereby growing the plastic-to-fuel market.
Porter’s Analysis
Threat of new entrants: The threat of new entrants in the U.S. plastic-to-fuel market is moderate as high capital investment is required to set up plastic-to-fuel production plants.
Bargaining power of buyers: The bargaining power of buyers is moderate as there are a few established players operating in the market.
Bargaining power of suppliers: The bargaining power of suppliers is low as raw materials such as plastic waste are abundantly available.
Threat of new substitutes: The threat of new substitutes is low as plastic-to-fuel has few close substitutes.
Competitive rivalry: The competitive rivalry is high due to the presence of few large players in the market.
Key Takeaways
The global U.S. plastic-to-fuel market is expected to witness high growth over the forecast period.
Regional analysis: North America is expected to hold the largest share in the global U.S. plastic-to-fuel market during the forecast period. Stringent environmental regulations and rapid industrialization are factors driving the market in the region.
Key players: Key players operating in the U.S. plastic-to-fuel market are Eli Lilly & Company, Boehringer Ingelheim GmbH, Vistin Pharma AS, Janssen Pharmaceutica NV, Sanofi, Astellas Pharma Inc., AstraZeneca plc., Merck & Co., Inc., Novartis AG., Novo Nordisk A/S, Teva Pharmaceuticals Pvt Ltd., and Sun Pharmaceutical Industries Ltd.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
