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Recycled auto parts market forecast to grow 8% a year to 2033

HTF Market Intelligence forecasts the recycled auto parts market will grow from US$17.4bn in 2024 to nearly US$30bn by 2033 (around 8% CAGR), driven by higher repair costs, tighter regulation and demand for affordable components. North America remains largest; Asia-Pacific grows fastest. Recyclers’ edge will be quality, traceability and EV-ready processes.

Rows of salvaged car doors and body panels at an auto recycling facility, illustrating the growing market for reused vehicle parts. p — Image credit: Shutterstock

Rising repair costs, tighter environmental rules and continued demand for affordable replacement components are pushing more vehicles into the recycling stream, according to a new market assessment from HTF Market Intelligence.

Market size and growth outlook

HTF estimates the automobile parts recycling market was worth about US$17.4 billion in 2024 and forecasts growth of around 8% per year through 2033, taking the market to close to US$30 billion. The analysis covers ELV (end-of-life vehicle) dismantling and the recovery and resale of usable parts and materials.

Regional picture: North America leads, Asia-Pacific accelerates

The report expects North America to remain the largest regional market over the forecast period, supported by established recycling infrastructure and broad acceptance of recycled parts in insurance-led repairs. Asia-Pacific is forecast to grow the fastest, driven by rising car ownership and tightening environmental requirements.

What’s moving: metals and high-turn components

Metals account for the largest share of recycled automotive materials, with steel and aluminium among the most straightforward to recover and reuse at scale. On the parts side, the report points to engines, transmissions, electrical components and body panels as the most commonly recycled items. Demand is led by the automotive aftermarket, where recycled parts can offer a lower-cost alternative to new components.

Technology tailwinds — and where the friction remains

HTF notes that automation, improved sorting technology and online parts marketplaces are increasing efficiency and helping the sector professionalise further. But it flags persistent obstacles, including uneven regulation between regions, lingering concerns about part quality, and the need to adapt processes as EVs introduce new end-of-life realities, notably batteries and a wider mix of lightweight materials.

What this means for recyclers

For dismantlers and material processors, the headline opportunity is clear: growth in recycled parts demand is expected to continue, but competitive advantage will increasingly come from repeatable quality, traceability, and process capability (from depollution and testing through to grading, packaging and logistics). At the same time, EV-driven change reinforces the case for investing early in safe high-voltage handling and routes to value for newer material streams.

Source www.collisionrepairmag.com