SAUDI ARABIA SCRAP METAL RECYCLING MARKET

Major Saudi Arabia Scrap Metal Recycling Market Drivers

The Saudi Arabia scrap metal recycling market is expected to rise due to an advancement in the automotive industry, growing demand for metals and steel in different applications, and increased industrialization and urbanization. In addition, increased government, rise in construction activities in Saudi and customer investment in housing and infrastructure, driven by rising urbanization trends, further foster market growth. Therefore, recycling metals not only contributes to employment growth within the sector but also provides a boost to the national economy. Saudi Arabia is projected to invest over USD 175 billion yearly based on industrial and mega projects from 2025 to 2028, signaling a significant construction boom in the kingdom. With nearly USD 1.3 trillion allocated for foremost projects such as the Red Sea resorts with the west coast and the futuristic city of Neom, investing is anticipated to peak at nearly USD 180 billion during 2026-2027. 

According to Euromonitor International, the Saudi Arabian market for recycling metal waste and scrap witnessed an 18% decline over the forecast period. However, in 2012, the market’s value increased by 9%, propelled by high steel demand within the country. Trade margins constituted 35% of the market size in 2012, although this share declined by 26% points over the forecast duration. The value of domestic recycling of scrap and metal waste services in Saudi Arabia declined by 39%, reaching SR554 million in 2012. Points also saw a decrease of 41% in this period, amounting to SR413 million in 2014, while profitability contracted by 3% points to 75%. The value of local services offered to foreign ventures fell by 51% in the forecast period, comprising 65% of product output in 2012. In addition, the industry is relatively concentrated, with the 5 largest players registering for more than half of overall production during 2010.

Furthermore, as per the Gulf Organization for Industrial Consulting, demand for steel and iron products in the world’s largest oil exporting region, where over USD 1 trillion worth of infrastructure projects are in progress, could increase by 3% to reach 19.7 million tonnes by 2008.

The Saudi Arabia metal recycling market is witnessing expansion propelled by end-use industries including manufacturing, automotive, and construction, which are significantly using metal. Recycled metal is on par with virgin metal in terms of quality, environmental, and cost impact, promoting a shift in end-use industries from virgin metal to recycled metal.

Segments covered in the Report:

The Saudi Arabia Scrap Metal Recycling Market has been segmented on the basis of Type, Industry and Others. Based on the Type, the market is segmented into Metal Type, The Metal Type segment is further segmented into Ferrous and Non-ferrous. Based on the Industry, the market is segmented into Automotive, Construction, Manufacturing and Industrial Sectors, Consumer Appliances, Others,

Market Segmentation

Saudi Arabia Scrap Metal Recycling Market by Type

• • Metal Type
    • Ferrous
      • Iron
      • Steel
    • Non-ferrous
      • Copper
      • Aluminum
      • Lead
      • Others

Saudi Arabia Scrap Metal Recycling Market by  Industry

• • Automotive
  • Construction
  • Manufacturing and Industrial Sectors
  • Consumer Appliances
  • Others

Saudi Arabia Scrap Metal Recycling Market by  others