Waste Oil Market Booms as Environmental Regulations Tighten Across the Americas

The Americas' waste oil market will grow with industrialization, automotive expansion, and re-refining advancements, despite toxicity concerns.

WILMINGTON, DE, UNITED STATES, March 6, 2025 /EINPresswire.com/ -- The North America and Latin America waste oil market size was valued at $4.9 billion in 2022 and is estimated to reach $7.6 billion by 2032, exhibiting a CAGR of 4.5% from 2023 to 2032. The automotive industry's emphasis on circular economy principles has contributed to a rise in demand for waste oil as a valuable resource. For instance, manufacturers now prioritize designing vehicles that are easy to disassemble, repair, and recycle. Circular design aims to extend the lifespan of materials and products, reducing waste and minimizing the need for new raw materials. In a circular economy model, resources are kept in use for as long as possible through recycling, refurbishment, and reuse, rather than being disposed of as waste. Waste oil fits into this framework as a recyclable resource that is reprocessed and reintroduced into the production cycle, contributing to a more sustainable and resource-efficient automotive ecosystem. All these factors are expected to drive the demand for North America and Latin America waste oil market growth during the forecast period.

However, the toxic nature of waste oil complicates its recycling and re-refining processes. Contaminants such as heavy metals and organic compounds interfere with refining processes, affecting the quality and purity of recycled oil products. In addition, the presence of hazardous substances requires additional treatment or specialized technologies to ensure compliance with safety and environmental standards, increasing the complexity and costs of waste oil recycling operations. All these factors hamper the growth of North America and Latin America waste oil market.

Download PDF Brochure: https://www.alliedmarketresearch.com/request-sample/A323221

The expansion of re-refining capacity creates economic opportunities by tapping into the potential value of waste oil as a feedstock for high-value products. According to the U.S. Energy Information Administration (EIA), North America is expected to witness a significant increase in renewable refinery production capacity. By 2026, the estimated capacity is 10,942 million gallons per year. Re-refining facilities invest in advanced technologies and processes to efficiently treat and purify waste oil, producing base oils and lubricants that meet industry standards and performance requirements. These re-refined products compete with virgin oils in terms of quality and performance while offering cost savings and environmental benefits, thereby enhancing the competitiveness of waste oil as a resource.

The North America and Latin America waste oil market analysis is segmented into type, application, technology, and region. On the basis of type, the market is classified into transmission oil, engine oil, lubricants, and electrical transformer oil. On the basis of application, the market is categorized into waste oil boilers and re-refiners. By technology, the market is bifurcated into vacuum distillation process and distillation hydrogen treatment. Region-wise, the market is analyzed across North America and Latin America.

On the basis of type, the market is classified into transmission oil, engine oil, lubricants, and electrical transformer oil. The lubricants segment is anticipated to grow at the fastest CAGR of 4.8% during the forecast period. The development of innovative technologies for lubricant oil reclamation is expected to create opportunities for the North America and Latin America waste oil market during the forecast period. Advanced technologies enable the purification and re-refining of used lubricants, transforming them into high-quality base oils or lubricant additives. For instance, the upliftment in the technology by incorporation of various modern techniques such as Vaxon, Snamprogetti, Sotulube, Interline, Hy lube has thrown a wider aspect on high productivity and long-term economic aspect. Manufacturers capitalize on this opportunity by producing lubricants derived from recycled or reclaimed oils that offer environmentally sustainable alternatives to traditional lubricants and reduce the reliance on virgin oil production.

Based on application, the North America and Latin America waste oil market trends is categorized into waste oil boilers and re-refiners. The re-refiners segment is anticipated to grow at the fastest CAGR of 4.6% during the forecast period. Environmental concerns play a significant role in the adoption of re-refining technologies. Improper disposal of waste oil led to soil and water contamination, posing serious threats to ecosystems and public health. According to the UN Environment Programme (UNEP), improper waste disposal such as landfilling or illegal dumping contaminate the soil. Hazardous chemicals, heavy metals, and other pollutants leach into the ground, posing risks to plant and animal life. Re-refining offers a sustainable solution by diverting used oil from landfills and waterways, thus mitigating environmental pollution.

Connect To Analyst @ https://www.alliedmarketresearch.com/connect-to-analyst/A323221

By technology, the North America and Latin America waste oil market report is bifurcated into vacuum distillation process and distillation hydrogen treatment. The vacuum distillation process segment is anticipated to grow at the fastest CAGR of 4.6% during the forecast period. Vacuum distillation allows for the separation of various components in waste oil at lower temperatures compared to atmospheric distillation. By operating under reduced pressure, the boiling points of the components are lowered, minimizing the risk of thermal degradation, and ensuring the preservation of valuable components within the waste oil. This process is particularly advantageous for handling heat-sensitive compounds present in waste oil, such as lubricants and additives, which might degrade at higher temperatures.

Region-wise, the North America and Latin America waste oil market revenue is analyzed across North America and Latin America. The North America segment is anticipated to grow at the fastest CAGR of 4.7% during the forecast period. Industrial processes across diverse sectors such as manufacturing, construction, and agriculture contribute to the production of waste oil. Machinery and equipment used in these industries require regular maintenance and lubrication to ensure optimal performance, resulting in the generation of used oil. In addition, improper disposal practices and inadequate maintenance procedures in these sectors contribute to the accumulation of waste oil, exacerbating environmental contamination risks. According to the Federal Energy Management Program, inadequate sanitation is responsible for 4% of deaths and 5.7% of disease burden worldwide. Preventable waterborne diseases due to inadequate sanitation and hygiene practices result in up to 5 million deaths annually. All these factors drive the demand for the waste oil market in North America.

Key players in the North America and Latin America waste oil industry analysis include Arslan Enginery, Coastal Oil Recovery LLC., DFW Waste Oil, GFL Environmental Inc., Goins Waste Oil Company Inc., Heritage-Crystal Clean, Inc, Noble Oil Services, Inc., Rock Oil Refining, Inc., Safety-Kleen Systems, Universal Environmental Services, and Vertex Energy.

For Purchase Inquiry: https://www.alliedmarketresearch.com/north-america-and-latin-america-waste-oil-market/purchase-options

Key Market Insights
• By type, lubricants segment was the highest revenue contributor to the market accounting for less than half of North America and Latin America waste oil market share in 2022.
• On the basis of application, the re-refiners segment was the highest revenue contributor to the North America and Latin America waste oil market share in 2022.
• On the basis of technology, the vacuum distillation process segment was the highest revenue contributor to the market accounting for less than three-fourths of the North America and Latin America waste oil market share in 2022.
• Region-wise, North America was the highest revenue contributor of North America and Latin America waste oil market share in 2022.

David Correa
Allied Market Research
+1 503-894-6022
help@alliedmarketresearch.com
Visit us on social media:
Facebook
X
LinkedIn
YouTube