Published by Jessica Weisman-Pitts
Posted on November 15, 2021
6 min readLast updated: January 28, 2026
The tyre-derived fuel market is projected to grow to $430.3 Mn by 2025, driven by sustainable energy solutions and efficient waste management.
The global tyre-derived fuel market is rising in popularity as it uses end-of-life tyres for producing fuel. It’s widely being accepted as a sustainable option due to its numerous advantages over traditional fuel. This report estimates that one billion end-of-life tyres are generated in a year and four billion are added to the stockpile. It is known to have a higher heating value and produces 25% more energy than coal. Knowledge of these characteristics has enabled an extensive use of tyre-derived fuel (TDF) across myriad industries as supplement fuel, thereby reducing the burden on conventional fuels.
According to a report published by Fairfield Market Research, these benefits of tyre derived fuel will boost the market to reach US$430.3 Mn by 2025 from US$365.1 Mn in 2019.
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Demand for Efficient Waste Management will Provide Lucrative Opportunities to TDF Market
The global tyre derived market is expected to flourish during the forecast period as it plays a pivotal role in reducing the waste from landfills. Government and regulatory bodies across the globe are promoting efficient waste management systems to reduce the pressure on landfills. This is expected to raise investments in waste-to-energy technologies to turn abandoned waste piles into energy sources. Turning end-of-life tyres into fuel provides a sustainable option to reduce waste from landfills.
According to the U.S. Environmental Protection Agency (EPA), tyre generates the same amount of energy as oil and more energy than coal and wood hence, it is being replaced by typical fuels in numerous, well-controlled facilities. The world is currently facing shortage of energy and electrical power, this has accelerated the demand for cleaner power generation technologies. Tyre derived fuel aids as a supplementary energy source, which is expected to create lucrative opportunities for the market during the forecast period. Tyre derived fuel finds application in numerous industries such as cement, pulp and paper, electric utilities, industrial and institutional boilers, waste-to-energy systems and so on.
Furthermore, dumped tyres pose a potential fire hazard, causing atmospheric pollution by emitting zinc oxide and poly-nuclear aromatic hydrocarbons. Managing tyre waste with effective waste management solutions, while reducing the consumption of fossil fuel, will bolster the growth of global tyre derived fuel market.
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COVID-19 Pandemic Posed Serious Threats to Market Growth
The COVID-19 has posed serious threat to the industry hence the global market is expected to witness hinderance in growth during the forecast period. Shut down of numerous end-user industries such as building and construction and pulp and paper industry due to global pandemic had resulted in decline of market growth. Lack of construction activity severely impacted cement consumption, which dropped the sale for tyre derived fuel market as well. Similarly, paper and pulp industry suffered as offices, schools, and institutions came to a screeching halt, shifting their operations to virtual world, thus reducing use of paper and pulp.
Cement Industry to Flourish as it Remains Prominent End User of Tyre Derived Fuel
Cement industry is expected to flourish during the forecast period as it uses tyre derived fuel for the production of cement. Cement production process demands high amount of energy, which emits greenhouse gases and carbon dioxide to a harming level. Employing waste tyres as alternative fuel adds to energy saving and economical benefits. Waste tyres are widely being adopted as they are identified as compact fuel with low humidity of hydrogen, carbon and oxygen. Cement production emits huge amount of carbon dioxide and aids in 5% of greenhouse gases emission. Thus, increasing uptake of tyre derived fuel in cement industry to supplement fossil fuels will boost the market in the coming years.
Large Landfills in Developing Countries to Boost Growth of Asia Pacific Market
Asia pacific is expected to lead the global tyre derived fuel market during the forecast period as this region has numerous large landfills. First world countries usually export their electronic and other waste to third world countries and dump in their landfills. This region has way more landfills compared to other regions hence, government bodies of this region are actively promoting cleaner, sustainable methods to reduce, reuse and recycle these wastes. Developing countries in this region also serve as manufacturing base for numerous end-user industries that use tyre derived fuel hence, bolstering its demand in this region.
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Key Players are Adopting Strategies to Stay Ahead in the Competition
The market is highly fragmented owing to the presence of numerous key players in the global as well as regional market. Low barrier to entry is expected to intensify the competition in the coming years. The key players are adopting numerous strategies such as mergers and acquisitions to stay ahead in the competition. Complying with government regulations will also aid the players in providing better results. Investments in research and development activities will have better scope for companies in the market.
In a recent news, Australia-based Lidner-Recyclingtech GmbH’s Polaris 2800 model shredder is assisting in converting end-of-life tyres, discarded materials and wood into a refuse-derived fuel (RDF) product for a cement kiln in Cyprus.
The key players operating in the global tyre derived fuel market are Liberty Tyre Recycling, ResourceCo Pty Ltd., Ragn-Sells Group, Tyre Disposal & Recycling, Reliable Tyre Disposal, Renelux Cyprus Ltd, L & S Tyre Company, Probio Energy International, Front Range Tyre Recycle, Inc., ETR Group, Emanuel Tyre, LLC, Scandinavian Enviro Systems AB, etc.
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The article discusses the growth and benefits of the tyre-derived fuel market, projected to reach $430.3 Mn by 2025.
Tyre-derived fuel produces 25% more energy than coal, making it a more efficient energy source.
The cement industry is a major consumer of tyre-derived fuel due to its high energy demands.
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