The price of used tires has soared

The key to the success of waste tires riding the wave of rising crude oil prices lies in the mature application of thermal cracking refining technology. This technology transforms waste tires into high-value resources; a single waste tire, after high-temperature pyrolysis, yields three core products: cracked oil, carbon black, and steel wire.

Cracked oil can serve as a substitute for diesel and fuel oil, becoming an important energy supplement for the industrial sector. Against the backdrop of persistently high international crude oil prices and rising refining costs, waste tire cracked oil, with its significant cost-effectiveness advantage, has gained favor with downstream refineries and chemical companies, leading to a surge in demand and a corresponding increase in recycling prices.

Since 2026, influenced by factors such as geopolitical tensions in the Middle East and the OPEC+ agreement to extend production cuts, the international crude oil market has continued to fluctuate and strengthen. As of early March, the price of the main US crude oil futures contract once exceeded $95 per barrel, maintaining a high level overall, significantly pushing up traditional refining costs and further amplifying the pressure on industrial energy consumption.

Against this backdrop, pyrolysis oil from waste tires, as an economically viable alternative energy source, has rapidly filled market gaps due to its cost advantage, transforming waste tires from "black pollution" into "urban oil fields," leading to a significant increase in recycling prices.

Advances in pyrolysis technology are the core support for this value leap. Currently, China has completely phased out heavily polluting traditional oil refining processes. The mainstream low-temperature, micro-negative pressure continuous catalytic cracking technology can precisely control the reaction temperature at 380–450℃. One ton of waste tires can stably produce 430–450 kg of pyrolysis oil, 300 kg of carbon black, and 150 kg of recycled steel wire.

The remaining non-condensable gases are recovered for system self-heating, achieving an overall resource utilization rate exceeding 95%, truly achieving "complete utilization." Because of its low viscosity and calorific value comparable to diesel, pyrolysis oil can be directly used in boilers or heating systems of cement plants and steel mills. After further processing, it can also be used as non-standard diesel, widely applied in generators, agricultural machinery, and other fields, with its market application space continuing to expand.

Strong downstream demand quickly translated into increased prices for various types of waste tires, driving up prices across the board. According to publicly available market information, in March 2026, the recycling price of waste butyl inner tubes was approximately 4,000 yuan/ton, making it the highest-priced category due to its superior rubber quality; raw rubber tires were priced at approximately 3,490 yuan/ton, closely following due to their high-value recycling and casting applications; and tire bead prices were 2,480 yuan/ton. Recently, prices in East and North China have seen slight increases, indicating an overall tightening supply.

In addition, prices for other conventional categories also maintained a steady upward trend: steel-belted tires were priced at approximately 1940 yuan/ton, and full-rubber tires at 1930 yuan/ton. Both have a high rubber content and are core procurement items for pyrolysis enterprises. Rubber powder was priced at 1830 yuan/ton, and tire shavings at 1810 yuan/ton, mainly used in rubber recycling and road construction, with stable demand.

Ordinary inner tubes were priced at approximately 880 yuan/ton, and broken-line tires at 800 yuan/ton. Although their prices are relatively low, they remain an important part of the recycling market due to their large circulation volume.

From an industry-wide perspective, the global tire recycling market size reached US$8.05 billion in 2026, with advanced recycling technologies such as pyrolysis becoming the main driver of market growth. Domestically, the government has included the comprehensive utilization of waste tires in the key directions of circular economy development, and compliant enterprises can enjoy a 50% VAT refund, further promoting the industry's development towards large-scale and standardized operations.

Currently, compliant pyrolysis bases with an annual processing capacity exceeding 30,000 tons are located in many parts of China. Some companies have achieved pyrolysis oil production costs as low as 1.2 yuan/liter, demonstrating significant economic advantages and driving continued growth in downstream demand for waste tires.

Industry analysts believe that international oil prices will remain high and volatile in the short term, further highlighting the substitution value of pyrolysis oil, and waste tire recycling prices may still have room for a slight increase.

At the same time, with the continuous optimization and upgrading of pyrolysis technology, the resource utilization level of waste tires will continue to improve, effectively solving the environmental problem of "black pollution" and providing an important supplement to the optimization of the national energy structure, achieving a win-win situation for both environmental and economic benefits.