The Tyre-derived fuel (TDF) market in Europe has witnessed a significant surge in recent years, driven by the growing need for sustainable waste management and alternative energy sources. According to a report by Grand View Research, in 2024 the global TDF market was valued at approximately USD 371.5 million and is projected to reach USD 446.77 million by 2030, growing at a compound annual growth rate (CAGR) of 3.1% from 2025 to 2030.
Some of the major European countries actively contributing to this market growth and innovation include Germany, France, the United Kingdom, Spain, and Italy, each implementing distinct strategies and investments to harness the energy potential locked within end-of-life tyres. As we all know that the waste tyres present a significant environmental challenge, the TDF market offers a viable solution by converting this waste into a valuable energy resource.
So, What Exactly is Tire-derived fuel?
TDF production involves shredding discarded tyres into small rubber chips, usually 1-3 inches in size, which serve as a fuel source. The European Union (EU) acknowledges TDF as a feasible substitute for fossil fuels, producing equivalent amount of energy as oil and 25% more energy than coal. Notably, TDF combustion generates fewer emissions, with lower moisture, sulphur, nitrogen, and ash content, ultimately reducing carbon footprint and environmental impact.
Interestingly, for every tonne of TDF replacing black coal, one tonne of CO2 is saved, making it a critical component in the fight against climate change.
Crucial Factors of TDF Market Growth in EU
Several factors contribute to the rising demand for TDF in Europe:
Environmental Regulations: The EU’s stringent environmental policies aim to minimize landfill usage and promote tyre recycling. TDF offers a viable solution by converting junk tyres into energy, thus supporting these regulatory objectives. Also, EU government offers various incentives and subsidies for companies investing in sustainable technologies, including waste-to-energy projects like TDF, further boosting market growth and encouraging innovation in the scrap tyre recycling sector.
Cost-Effectiveness: Europe generates around 3.5 million tonnes of used car tyres a year, according to the European Tyre and Rubber Manufacturers’ Association. This abundance of raw material, combined with the economic benefits of tyre recycling and energy production, positions the TDF market for continued growth and investment opportunities in Europe.
Furthermore, European government has also banned export of end-of-life tyres to non-OECD (Organization for Economic Cooperation and Development) countries, further necessitating the development and expansion of domestic TDF processing capabilities within the region.
Technological Advancements: Rapid innovations in tyre recycling and fuel processing technologies have improved the efficiency and environmental performance of TDF production, making it a more attractive option for industries to switch to cleaner and more sustainable energy alternatives.
Corporate Sustainability Initiatives: Many European companies are adopting circular economy principles and integrating TDF into their operations to reduce their carbon footprint, enhance sustainability credentials, and meet corporate environmental, social, and governance (ESG) goals.
Exploring the Industrial Applications of Tyre-Derived Fuel
TDF is utilized across various industries by serving as a viable alternative to traditional fossil fuels. Some of the vital applications include:
Cement Manufacturing: A significant portion of TDF, approximately 45-50%, is used in cement kilns. The fuel is burned to produce the high temperatures required for cement production, leveraging its high calorific value to enhance thermal efficiency. The kilns can efficiently process both the rubber and steel components of the tires, making TDF a valuable energy source for this industry.
Pulp and Paper Mills: TDF can be co-fired with wood chips in pulp and paper mills, resulting in a hotter and more efficient combustion process. This approach not only enhances energy production but also reduces the environmental impact by producing ash with lower levels of toxic heavy metals compared to coal ash.
Electric Power Generation: Electric utilities can use TDF as a supplementary fuel in their boilers, increasing combustion temperatures and reducing nitrate emissions. This substitution contributes to a more sustainable energy production process.
Dedicated Tire-to-Energy Facilities: Specialized facilities are designed to burn whole or shredded tires, generating energy that can be sold to local utilities. Although the initial investment costs for these facilities can be substantial, they offer an efficient and environmentally friendly solution for managing tire waste.
As Europe continues to prioritize sustainable energy solutions and stringent environmental stewardship, the adoption of tyre-derived fuel (TDF) stands out as a strategic and impactful response to the continent’s growing waste management challenges. The European Union’s recognition and active utilization of TDF not only exemplify a commitment to reducing carbon emissions but also highlight the vital role of innovative recycling technologies in shaping a greener future.
At Fornnax, with over a decade of experience and a highly qualified team of experts, we are proud to be at the forefront of transformation in the tyre recycling industry. We offer advanced recycling solutions tailored to meet the evolving needs of industries across Europe. We have built a trusted client base in Eastern European countries such as Poland, Bulgaria, Serbia, and more, as a result of our industry-proven technology. Our equipment meets top-notch European quality standards and can be customized to suit specific customer requirements.
The tyre shreds (50–80 mm) produced by Fornnax’s robust SR-Series Dual Shaft Shredders, equipped with a trommel screen, delivers the highest quality TDF.
If you’re looking for high-capacity, heavy-duty equipment to support tyre recycling and TDF production, explore our services and get in touch. Discover how our expertise can help drive your tyre recycling business in Europe toward a more circular and environmentally responsible future. Contact us today!
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