TDP Catalog

Market Category/Sub- Categories

Barriers

Economic – A sustained weak economy has made consumers, particularly local governments, hesitant or unable to complete projects/purchase goods, weakening demand for many tire-derived products and materials. Economic – Tire processor and TDP product manufacturing businesses are at an economic disadvantage when competing against older, larger, and more established incumbent products and materials and low margins leave little funds for improving business capitalization or extensive marketing campaigns. Similarly, TDP producers often compete against low-cost imports. Financial/Technical/Educational – Some businesses lack expertise regarding how to market their products, streamline operations, and otherwise improve and expand their business. Informational/Research/Outreach/Technical – Some potential consumers of tire-derived products have concerns regarding the health, safety, and environmental impacts of TDPs and feedstocks. There is a lack of information/awareness regarding best management practices to mitigate potential impacts. Although CalRecycle’s support studies have been completed regarding this issue relative to artificial turf and mulch, some businesses surveyed indicate that this is still an issue. Financial – There are a relatively small number of tire processors and they are concentrated in population centers where tires are generated. However, many project locations are in remote unpopulated areas where freight costs are a disincentive to using materials from tires, particularly considering current fuel costs. This is especially the case for TDA and RAC. Educational/Technical – Local government specifiers and engineers are not familiar with advantages of products and how to design/specify projects.

All Categories

RAC



Civil Engineering



RAC and Other Paving



Landfill Applications



Transportation-Related Applications



Concluding Remarks California’s waste tire recycling industry continues to be highly dynamic, with processors and tire-derived product manufacturers adapting to changing markets and infrastructure. Indeed, processors and tire-derived product manufacturers have proven highly resilient to date in the face of pressures from expanding export demand, a weak economy and competitive pressures from ground rubber and tire-derived product importers. For the first time, export growth has combined with in-state market development successes to push the California waste tire diversion rate over the 90 percent goal. However, some stakeholders call for measuring diversion focused on “high value” recycling, excluding alternative daily cover, tire-derived fuel, and exports from the calculation. By this measure, California’s tire diversion rate in 2012 would have been 43.3 percent. SAIC projects the diversion rate will soften in 2013, while the rate in 2014 and beyond will depend heavily on how trends play out, especially in the export and ground rubber markets.

Contractor’s Report to CalRecycle

37