Recovered Paper Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, By Grade (Low Grade Paper, High Grade Paper, Brown Paper, and Others), By Type (Printing and Writing Paper, Newsprint, Tissue, and Containerboard), By End User Industry (Food & Beverage, Electrical & Electronics, Automotive, Pharmaceuticals, and Others), By Company and By Region 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 61.24 Billion
CAGR (2026-2031)	4.92%
Fastest Growing Segment	Printing and Writing Paper
Largest Market	Asia Pacific
Market Size (2031)	USD 81.69 Billion

Market Overview

The Global Recovered Paper Market will grow from USD 61.24 Billion in 2025 to USD 81.69 Billion by 2031 at a 4.92% CAGR. The Global Recovered Paper Market encompasses the aggregation and reprocessing of paper waste for use as a secondary raw material in the production of new paper and board products. The market is fundamentally supported by the rising requirement for containerboard and cardboard packaging driven by the e-commerce sector alongside increasing regulatory pressure to substitute plastic usage with biodegradable alternatives. These core economic drivers ensure sustained demand for high-quality recycled fiber independent of short-term cyclical trends.

Nevertheless, the industry encounters a significant hurdle in the form of material contamination which reduces fiber utility and elevates processing expenses. Inconsistent waste stream quality can disrupt production efficiency and limit the availability of premium grades required for specific manufacturing applications. According to the American Forest & Paper Association, in 2024, approximately 46 million tons of paper were recycled in the United States. This statistic illustrates the substantial volume of recovered material that the market processes despite the ongoing difficulties associated with maintaining feedstock purity.

Key Market Drivers

The rising demand for sustainable e-commerce packaging acts as a primary catalyst for the Global Recovered Paper Market, compelling major retailers to transition from polymer-based materials to fiber-based alternatives. As online shopping volumes expand, logistics companies and marketplaces are aggressively replacing single-use plastic fillers and mailers with corrugated board and recycled paper solutions to meet consumer expectations for environmentally responsible delivery. This structural shift directly amplifies the consumption of recovered fiber grades, particularly Old Corrugated Containers (OCC), which serve as the essential feedstock for manufacturing protective transport packaging. According to Amazon, July 2024, in the '2023 Sustainability Report', the company replaced 95% of plastic air pillows with paper filler in North America to reduce plastic waste. This operational pivot illustrates how large-scale commercial procurement strategies fundamentally reshape the demand dynamics for recycled paper inputs.

Corporate sustainability and Scope 3 emission targets further accelerate market expansion as manufacturers seek to lower their carbon footprint by integrating secondary raw materials. Companies across the fast-moving consumer goods sector are establishing rigorous circular economy goals that mandate higher percentages of post-consumer recycled content in their packaging portfolios. These initiatives are supported by heavy capital expenditure in processing capabilities to ensure a steady supply of high-quality pulp. According to Tetra Pak, May 2024, in the 'Sustainability Report FY23', the company invested nearly 40 million EUR to increase the recycling capacity for cartons and polyAl. Such investments highlight the industry focus on closing the loop to satisfy environmental mandates. On a broader scale, the efficacy of these collection and reprocessing systems is evident in regional performance metrics. According to the Confederation of European Paper Industries, in 2024, the recycling rate for paper and board in Europe reached 79.3% in 2023, reflecting the mature infrastructure supporting this market.

Download Free Sample Report

Key Market Challenges

Material contamination stands as a pervasive barrier to the expansion of the Global Recovered Paper Market by directly inflating processing costs and degrading the quality of secondary raw materials. When waste streams contain high levels of non-paper impurities such as plastics or food residue, recycling facilities face reduced fiber yields and must incur substantial expenses for intensive sorting and disposal. This degradation of feedstock quality limits the ability of manufacturers to produce premium containerboard and packaging grades, thereby restricting the market's overall value potential and operational efficiency.

The impact of this quality issue is evident in recent industry findings regarding collection methods. According to the Confederation of Paper Industries, in 2024, contamination rates for paper and cardboard in commingled collections reached approximately 15.5 percent compared to just 1.1 percent for source-segregated streams. Such discrepancies in material purity force mills to reject significant volumes of collected supply or downgrade their final products. Consequently, the reliance on contaminated inputs hampers the industry’s ability to meet the stringent technical specifications required for high-performance paper applications, effectively slowing market growth despite strong demand.

Key Market Trends

The Rising Utilization of Lower-Grade Mixed Paper in Containerboard is reshaping the upstream supply chain as manufacturers adapt to processing more heterogeneous fiber streams. With the decline in graphic paper and the surge in e-commerce, mills are increasingly upgrading stock preparation systems to efficiently pulp mixed paper grades for corrugated medium and linerboard production. This structural adaptation allows producers to valorize lower-cost, abundant waste streams while securing necessary feedstock volumes to meet capacity requirements. According to the American Forest & Paper Association, August 2025, in the '2024 Paper Recycling: By the Numbers' report, nearly half of the recovered fiber utilized domestically, totaling approximately 20.8 million tons, was converted into containerboard in 2024.

Simultaneously, the Development of Repulpable Aqueous Barrier Coatings is revolutionizing packaging recyclability by replacing traditional plastic laminates. Chemical suppliers are engineering water-based formulations that offer essential grease and moisture resistance yet break down fully during repulping, significantly reducing the rejection of coated papers at recovery facilities. This technological evolution enables brand owners to meet strict circularity goals without compromising product protection or disrupting existing recycling streams. According to Solenis, April 2025, in the '2024 Sustainability Report', the company's ValueAdvantage partner program, which implements advanced technologies including sustainable barrier coatings, delivered $257 million in value to customers in 2024.

Segmental Insights

The Printing and Writing Paper segment is currently emerging as the fastest-growing category within the Global Recovered Paper Market, driven by the escalating demand for high-grade deinked pulp. As sustainability mandates tighten globally, manufacturers are increasingly utilizing recovered office paper and archives to produce premium recycled stationery and essential hygiene products like tissue paper. This shift is supported by strict environmental regulations and corporate circular economy goals, often monitored by institutions such as the European Paper Recycling Council, which prioritize high-quality fiber recovery to reduce virgin pulp dependency. Consequently, the valuation of sorted office grades is surging, outpacing other segments as the preferred feedstock for sustainable paper manufacturing.

Regional Insights

Asia Pacific commands the leading position in the Global Recovered Paper Market, primarily driven by its status as a central hub for industrial manufacturing and international exports. The region’s extensive production activities necessitate massive volumes of corrugated board and shipping materials derived from recycled fibers. Furthermore, rapid urbanization and a surging e-commerce sector in major economies like China and India have escalated the domestic consumption of paper-based packaging. This consistent demand, supported by a strategic shift toward sustainable packaging alternatives to plastic, ensures the region remains the dominant consumer and processor of recovered paper grades.

Recent Developments

• In October 2025, Star Paper Mills announced the commissioning of its new recycled containerboard mill located in the Khalifa Economic Zones Abu Dhabi (KEZAD). The facility, representing an investment of $54 million, was designed to produce 135,000 tonnes of paper annually using locally sourced waste paper as its primary raw material. This development highlights the company’s commitment to the circular economy by reducing reliance on imported raw materials and enhancing domestic recycling capabilities. The mill produces biodegradable containerboard grades suitable for corrugated cartons and paper bags, catering to the rising demand for sustainable packaging in the region.
• In January 2025, International Paper completed its acquisition of DS Smith, effectively creating a premier global provider of sustainable packaging solutions. The transaction, valued at approximately $9.9 billion, resulted in the establishment of a combined company with a significant operational footprint across both North America and Europe. This strategic combination was designed to integrate the manufacturing strengths of both entities, enhancing their ability to serve customers with a broader portfolio of fibre-based products. The merged entity is expected to drive substantial value through optimized mill networks and supply chains, reinforcing its position in the recycled packaging sector while generating significant synergies for stakeholders.
• In December 2024, Nexgen Packaging and Seaman Paper announced a strategic global partnership aimed at delivering plastic-free, paper-based packaging solutions to the retail, footwear, and apparel industries. This collaboration leverages the technical expertise of both companies to produce durable, sustainable alternatives to single-use plastics, directly addressing the growing market demand for eco-friendly materials. By combining their resources, the companies intend to scale the production of recyclable packaging products, thereby supporting the broader shift towards circularity within the global fibre and recovered paper markets.
• In July 2024, Smurfit Kappa and WestRock successfully completed their merger to form Smurfit Westrock, a global leader in sustainable packaging. The primary listing of the new entity commenced on the New York Stock Exchange, with a secondary listing on the London Stock Exchange. This combination brought together two major players in the paper and packaging industry, creating a company with unparalleled geographic reach and a comprehensive product range powered by over 500 converting operations and 63 paper mills. The merger significantly enhances the capacity to process recovered fibre and produce recycled containerboard on a worldwide scale.

Key Market Players

• Smurfit Kappa Group plc.
• International Paper Company
• American Eagle Paper Mills
• Stora Enso Oyj
• Mondi Group Plc.
• Nine Dragons Paper Holdings Limited
• DS Smith Plc
• S.A. Industrias Celulosa Aragonesa
• Tay Paper Recycling Pte Ltd.
• Visy Industries

By Grade	By Type	By End User Industry	By Region
Low Grade Paper High Grade Paper Brown Paper and Others	Printing and Writing Paper Newsprint Tissue and Containerboard	Food & Beverage Electrical & Electronics Automotive Pharmaceuticals and Others	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Recovered Paper Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Recovered Paper Market, By Grade:

• Low Grade Paper
• High Grade Paper
• Brown Paper
• and Others

• Recovered Paper Market, By Type:

• Printing and Writing Paper
• Newsprint
• Tissue
• and Containerboard

• Recovered Paper Market, By End User Industry:

• Food & Beverage
• Electrical & Electronics
• Automotive
• Pharmaceuticals
• and Others

• Recovered Paper Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE