Tire Recycling Equipment Market Size, CAGR & Forecast, 2025-2035

Pyrolysis Plants and Mining-Tire Lines Nearly Double Equipment Spending by 2035

Spending on machines that turn scrap tires into chips, crumb, steel, oil and carbon black reaches USD 1.68 Billion in 2025, Radial Insights estimates, and the tire recycling equipment market rises to USD 1.79 Billion in 2026 and USD 3.12 Billion by 2035, a 6.40% CAGR. Growth comes from material recovery rules and from tire makers seeking recovered carbon black.

Our scope covers new capital equipment and complete process lines: primary and secondary shredders, granulators and crumb mills, cryogenic grinding systems, debeaders and bead wire removers, steel and fiber separators, tire pyrolysis reactors and plants, and devulcanization systems. We exclude recycling services, the sale of recycled materials, used equipment resale, spare parts and wear blades sold separately, and general-purpose waste shredders not configured for tires. Values are at manufacturer selling price, including engineering for turnkey plants.

The feedstock is large and steady. The WBCSD Tire Industry Project estimates about 1 billion tires reach end of life each year worldwide, roughly 25 million tonnes. The United States generates more than 230 million end-of-life tires a year, and Europe generated 3.9 million tonnes in 2024 with a 97% treatment rate, according to ETRMA. India recycles more than 3 million tonnes a year, with nearly three-quarters going to pyrolysis.

Pyrolysis systems are the fastest-growing equipment type at an estimated 9.20% CAGR, as projects such as Bolder Industries' Antwerp plant and Infiniteria's Uddevalla plant move toward production. Asia Pacific (APAC) is both the largest and fastest-growing region, with 38.50% of 2025 value and a 7.00% annual growth rate.

The supplier base mixes long-standing shredder makers, such as Eldan Recycling, CM Shredders and Granutech-Saturn Systems, with pyrolysis technology firms such as Klean Industries, Scandinavian Enviro Systems and Pyrum Innovations, and specialists in giant mining tires such as ECO Green Equipment and Fornnax.

Chemical Recycling Equipment Outgrows Mechanical Shredding Lines

The tire recycling equipment market is moving from simple size reduction toward lines that recover high-value materials. Shredders remain the entry point to every plant, but pyrolysis and devulcanization systems capture a rising share of new investment.

Pyrolysis Systems Lead Equipment Growth on Recovered Carbon Black Demand

Pyrolysis systems grow fastest at 9.20% a year because tire makers and carbon black producers want recovered carbon black and pyrolysis oil to meet recycled-content goals. Orion signed a long-term supply agreement for tire pyrolysis oil with Contec in February 2025, and Infiniteria signed an offtake deal for recovered carbon black worth about SEK 100 million in June 2025. Devulcanization systems grow at 8.10% from a small base as tire makers test returning devulcanized rubber into new compounds. Granulators and crumb mills grow at 6.10%, supported by crumb rubber for asphalt and molded goods. Primary shredders grow at 5.20%, debeaders and wire separation at 5.00%, and cryogenic grinding at 4.80%, slowed by high liquid nitrogen costs.

Mining Tires Drive the Fastest Growth by Tire Type

OTR and mining tires grow at 7.80% a year because giant tires, some weighing several tonnes, need specialized cutting and shearing equipment that commands high prices. ECO Green Equipment's ECO Shear has processed more than 100,000 mining tires across plants in Colombia, Chile, Argentina, Canada and the United States. Truck and bus tire lines grow at 6.30% as retread casings that cannot be reused enter recycling. Passenger and light truck lines grow at 5.90%, in line with the large but mature car tire waste stream.

Large Plants Capture More Investment Than Small Lines

Lines above 5 tons per hour grow at 7.20% because pyrolysis plants need steady, large feedstock volumes; Wastefront's Sunderland project is designed for 10 million tires a year. Lines from 2 to 5 tons per hour grow at 6.50%, and small lines below 2 tons per hour grow at 5.10%, serving regional recyclers and tire shops.

Carbon Black Producers Outpace Energy Recovery Buyers

Pyrolysis and carbon black producers are the fastest-growing end users at 9.00% a year. Tire manufacturers and producer responsibility schemes grow at 6.80% as they fund plants directly, as Michelin has supported the Uddevalla project. Independent recyclers grow at 5.60%. Cement and energy recovery plants grow slowest at 3.90%, since tire-derived fuel faces stricter emissions scrutiny and material recovery is preferred in Europe.

Market Trends

Pyrolysis Plants Move From Pilot to Industrial Scale

Tire pyrolysis is shifting from single-reactor pilots to multi-reactor plants. Bolder Industries secured a EUR 32 million EU Innovation Fund grant in May 2025 for an Antwerp plant with four reactors processing more than 6 million tires a year into 18,000 tonnes of recovered carbon black and 21,000 tonnes of oil. In September 2025 Bolder said its Terre Haute, Indiana expansion, with four reactors and 6.6 million tires a year, was due for completion in 2026. Each project requires shredding, steel separation and reactor equipment, lifting orders across the tire recycling equipment market.

Licensing and Modular Reactor Designs

Technology owners are licensing designs to engineering firms to scale faster. In May 2025 Klean Industries and KBR signed heads of terms to license and deliver modular tire pyrolysis plants, with a first project planned in Victoria, Australia. Infiniteria appointed Proman as EPC contractor in May 2026 to complete its Uddevalla plant. Modular designs reduce engineering time per plant and make pyrolysis feasible for mid-sized operators.

Specialized Equipment for Giant Mining Tires

Mining tires were long stockpiled because they were too large for standard shredders. ECO Green Equipment supplied a complete line with a primary shredder, granulator and crumb mill to Reeves County, Texas, in September 2026, and by October 2026 its ECO Shear had processed more than 100,000 mining tires. Tyrecycle opened a 30,000 tonne per year OTR plant at Port Hedland, Western Australia, in 2025. Mining companies under pressure to clear stockpiles are now direct buyers.

Commissioning Risk Shapes Buyer Choices

Pyrolysis plants have had commissioning delays and accidents. A fire in August 2025 at Contec's 32,000 tonne per year Szczecin plant halted production, and Scandinavian Enviro Systems moved the Uddevalla plant's final acceptance milestone to the second half of 2026. Pyrum Innovations reported 2025 revenue of EUR 4.1 million, below guidance, after late commissioning of its milling and pelletizing plant. Buyers now ask for proven references and performance guarantees, which favors established suppliers.

Restraints and Challenges

High Capital Cost and Long Payback

A complete pyrolysis plant can cost tens of millions of euros; Wastefront's Sunderland tire-to-fuel project carries a budget of GBP 100 million. Recovered carbon black must pass long qualification trials with tire makers before it earns full prices, which delays revenue. Many projects depend on grants such as the EU Innovation Fund, and smaller recyclers struggle to finance even mechanical lines.

Volatile Prices for Recycled Outputs

Equipment demand follows the value of what plants produce. Crumb rubber, tire-derived fuel and pyrolysis oil prices move with oil, coal and virgin rubber prices. In the United States, tire-derived fuel took 33% of end-of-life tires and ground rubber about 28%, according to USTMA's end-of-life tire data. When fuel prices fall, recyclers delay new equipment purchases.

Operational Safety and Commissioning Risk

The August 2025 fire at Contec's Szczecin plant and delays at Uddevalla show the technical risk in scaling pyrolysis. Insurers and lenders price this risk into projects, raising financing costs. Suppliers must offer longer commissioning support and guarantees, which squeezes margins on turnkey contracts.

Uneven Regulation Across Countries

Europe recovers about 60% of end-of-life tire material, while many developing countries lack enforced collection schemes. The United States still had about 48 million tires in stockpiles in its 2024 report. Without producer responsibility rules, collection volumes and gate fees are unpredictable, which discourages investment in modern lines.

Growth Drivers

Recovered Carbon Black Demand From Tire Makers

Tire makers have set recycled and renewable material targets, and recovered carbon black from pyrolysis is one of the few materials that can be used in volume. Orion, a major carbon black producer, signed a long-term pyrolysis oil supply deal with Contec in February 2025 to make circular carbon black. Infiniteria, a joint venture of Scandinavian Enviro Systems and Antin supported by Michelin, signed a multi-year recovered carbon black offtake worth about SEK 100 million in June 2025 for its Uddevalla plant, which starts at about 34,500 tonnes of tires a year and can rise to about 70,000 tonnes. Bolder Industries plans 18,000 tonnes a year of recovered carbon black from its Antwerp plant. These offtake agreements give lenders confidence to fund plants. Recovered carbon black demand adds about 1.5 percentage points to the market's annual growth through 2035.

Producer Responsibility and Material Recovery Rules

Producer responsibility schemes require tire makers and importers to fund collection and recovery. Europe treated 97% of the 3.9 million tonnes of end-of-life tires it generated in 2024, with about 60% going to material recovery, according to ETRMA. India's waste tire framework has made the country a major recycler, handling more than 3 million tonnes a year. The EU's December 2025 provisional deal on the End-of-Life Vehicles Regulation sets harmonized producer responsibility for vehicles, signaling tighter recovery expectations across the auto supply chain. Stricter recovery rules shift spending from simple shredding toward granulation and pyrolysis, worth roughly +1.0% of yearly market growth.

Mining Tire Stockpile Clearance

Mining companies in Chile, Australia, Canada and the United States hold large stockpiles of giant OTR tires and face pressure from regulators and investors to clear them. Tyrecycle opened a 30,000 tonne per year OTR plant at Port Hedland in 2025, and ECO Green Equipment's mining tire lines operate in Colombia, Chile, Argentina, Canada and the United States, with more than 100,000 tires processed by its ECO Shear. Each OTR line needs heavy shears, debeaders and high-capacity shredders that sell at premium prices. Mining tire clearance contributes an estimated 0.6 points of the market's annual expansion.

Opportunities

Devulcanization for Closed-Loop Rubber

Devulcanization breaks sulfur bonds so recycled rubber can return to new tires and molded goods. Tyromer and others offer systems, and tire makers are testing devulcanized rubber in compounds. If qualification succeeds, devulcanization lines could grow faster than our 8.10% estimate, giving equipment makers a high-margin product.

Retrofits and Automation of Existing Plants

Many shredding plants built in the 2000s run older equipment with high blade wear and manual sorting. Upgrades with automated feeding, magnetic and fiber separation and real-time monitoring raise output quality and safety. Suppliers such as Eldan Recycling and CM Shredders can sell retrofits to the large installed base, especially in North America and Europe.

Asia Pacific Leads on Volume and Growth as Western Markets Upgrade to Pyrolysis

Regional spending reflects tire waste volume, recovery rules and the presence of mining operations. Asia Pacific leads on scale, Europe on material recovery rules, and North America on pyrolysis expansion.

Asia Pacific (APAC)

Asia Pacific (APAC) holds 38.50% of the tire recycling equipment market in 2025, about USD 646.80 Million. APAC spending reaches about USD 1,272.35 Million by 2035, a 7.00% CAGR, the fastest of any region. India recycles more than 3 million tonnes of waste tires a year, with nearly three-quarters going to pyrolysis, and China built 34.53 million vehicles in 2025, feeding future scrap volumes. Tyrecycle's 30,000 tonne per year OTR plant at Port Hedland and the planned Klean and KBR project in Victoria add Australian demand.

Europe

Europe accounts for 26.20% of 2025 value, about USD 440.16 Million. European spending grows to about USD 807.05 Million by 2035 at a 6.25% CAGR. Europe generated 3.9 million tonnes of end-of-life tires in 2024 and treated 97% of them. Bolder Industries' Antwerp plant, with a EUR 32 million EU grant, and Infiniteria's Uddevalla plant in Sweden, scaling from about 34,500 to 70,000 tonnes a year, anchor pyrolysis investment.

North America

North America represents 22.40% of 2025 value, about USD 376.32 Million. The North American market reaches about USD 642.81 Million by 2035, a 5.50% CAGR. The United States generates more than 230 million end-of-life tires a year, sent 79% of them to end-use markets in 2023, and still held about 48 million tires in stockpiles in its 2024 report. Bolder's Terre Haute expansion for 6.6 million tires a year and ECO Green's Reeves County, Texas line show active investment.

Latin America

Latin America accounts for 6.30% of 2025 value, about USD 105.84 Million. Latin American spending climbs to about USD 198.68 Million by 2035 at a 6.50% CAGR. ECO Green Equipment runs mining tire plants in Colombia, Chile and Argentina, and its ECO Shear has processed more than 100,000 OTR tires across the Americas. Brazil registered about 2.19 million new motorcycles in 2025, adding to the region's future tire waste.

Middle East

The Middle East holds 3.80% of 2025 value, about USD 63.84 Million. Middle East spending rises to about USD 117.60 Million by 2035, a 6.30% CAGR. Saudi Arabia sold 857,247 new vehicles in 2025, up 3.6%, and Gulf states are building waste management capacity under national diversification programs. Hot climates shorten tire life, raising scrap volumes per vehicle.

Africa

Africa accounts for 2.80% of 2025 value, about USD 47.04 Million. African spending grows to about USD 90.82 Million by 2035 at a 6.80% CAGR. South Africa sold 596,818 new vehicles in 2025, up 15.7%, and runs a waste tire management program. Mining tire stockpiles in southern Africa offer a market for OTR shredding lines.

Recent Developments

• In October 2026, ECO Green Equipment reported that its ECO Shear had processed more than 100,000 mining OTR tires across plants in Colombia, Chile, Argentina, Canada and the United States.

• In September 2026, ECO Green Equipment supplied a complete tire recycling line with a primary shredder, granulator and crumb mill to Reeves County, Texas.

• In May 2026, Infiniteria appointed Proman as EPC contractor to complete its Uddevalla tire recycling plant in Sweden.

• In May 2026, Pyrum Innovations reported 2025 revenue of EUR 4.1 million and guided 2026 revenue of EUR 6.5 million to EUR 9.5 million, citing EUR 29.4 million of Innovation Fund support for a project in Greece.

• In November 2025, Scandinavian Enviro Systems moved the Uddevalla plant's provisional acceptance milestone to the second half of 2026, with cold commissioning from December 2025.

• In August 2025, a fire at Contec's 32,000 tonne per year Szczecin pyrolysis plant halted production.

Shredder Specialists Hold the Installed Base While Pyrolysis Licensors Win New Plants

The tire recycling equipment market has three supplier groups: mechanical size-reduction specialists, makers of heavy equipment for mining tires, and pyrolysis and devulcanization technology owners. Turnkey projects often combine equipment from all three.

Mechanical Shredding and Granulation Leaders

Eldan Recycling of Denmark, founded in 1956, supplies complete tire recycling plants, and its Super Chopper handles up to 8 tonnes per hour. CM Shredders, owned by Shred-Tech since March 2024, says its systems process more than half a billion tires a year worldwide. Granutech-Saturn Systems has about 60 years in tire shredding, with systems from 1 to 20 tonnes per hour. UNTHA's XR shredders are used for scrap tires in Europe, and FOR REC's TX1600 primary shredder handles up to 10 tonnes per hour.

Industrial Shredder and Plant Builders

Franklin Miller and SSI Shredding Systems in the United States build rubber and tire shredders for recyclers and municipalities. Eggersmann of Germany supplies shredding and recycling plants, and Zato and Bano Recycling of Italy offer heavy-duty shredders and complete tire lines. These firms compete on throughput, blade life and service networks.

Mining Tire Specialists

ECO Green Equipment of Utah leads in OTR lines with its ECO Shear, Giant, Grater and Krumbuster crumb mills, and has plants in five countries across the Americas. Fornnax of India builds OTR tire-to-crumb size reduction systems and serves Asian, Middle Eastern and African buyers.

Pyrolysis and Devulcanization Technology Owners

Klean Industries of Canada licenses tire pyrolysis technology and partnered with KBR in May 2025 to deliver modular plants. Scandinavian Enviro Systems provides the pyrolysis technology for Infiniteria's Uddevalla plant. Pyrum Innovations of Germany builds its own reactors and plants and is expanding with EU support. Tyromer offers devulcanization technology for tire rubber. Bolder Industries operates its own pyrolysis plants in the United States and Belgium.