Page 115 - AJWEP-22-5

Economic analysis: Shaanxi waste recycling

Table A2. The market demand for the recycled product and the recycling company’s economic
performance in the sample region

Code Market demand Economic performance Improvement direction
R1 Demand has grown in The selling price is about 10%–20% Specifying minimum usage of recycled materials
infrastructure projects lower per ton compared to virgin in the construction projects (public and private);
such as roads and park materials. However, high costs for enhancing third-party certification of recycled
pathways, but remains sorting, transportation, and crushing material performance to boost market confidence
low in the real estate have compressed profit margins
development sector
R2 Demand for metal Metal recycling generates relatively Establishing dedicated funds to support research
waste is general, good returns. In contrast, wood and promotion of wood processing technologies;
but wood recycling recycling incurs costs far exceeding its exploring broader application areas, such as
and utilization face recovery value. This material lacks a converting wood into particleboard or fuel
challenges clear market position
R3 Mainly serve The selling price of recycled concrete There is a need to develop higher-performing,
prefabricated is much lower than that of virgin more stable products to dispel biases; the
component factories materials; current profitability relies government should increase efforts to promote
and infrastructure heavily on government subsidies. recycled materials in public and private
projects; customers construction projects.
are often concerned
about the strength of
recycled materials,
especially in
high-load construction
projects; price
sensitivity among
customers has led
to intense market
competition
R4 Demand for Operations primarily depend on Cultivating market demand that transforms
hazardous waste processing fees; many projects opt for hazardous waste treatment from merely a
recycling is minimal; illegal dumping or simple landfilling to responsibility into a profitable business; tighter
paint waste and avoid extra disposal costs penalties for prohibiting illegal disposal are
contaminated wood needed
have high treatment
costs and limited
applications for
recycled products

Volume 22 Issue 5 (2025) 109 doi: 10.36922/AJWEP025120080