Views: 0 Author: ENERPAT Publish Time: 2026-07-03 Origin: Site
Growing Waste Tyre Supply
Australia generates a large volume of end-of- life tyres every year with over 563,000 new tyres entering the market stably, creating long-term lucrative opportunities for tyre recycling businesses.
Policy is driving domestic recycling
Since Australia’s restriction on waste tyre exports took effect in late 2021, intact or baled tyres are not permitted for export. Export is only allowed once tyres are processed into chips under 150mm.
More Demand for Recycled Materials
Recovered materials can be used in:
rubber products
asphalt
TDF
pyrolysis
mining
civil engineering
As demand for recovered rubber, steel, and tyre-derived fuel continues to grow, tyre recycling has become a long-term business opportunity rather than simply a waste disposal service.
Not every tyre recycler makes money in the same way. In Australia, businesses usually choose different recycling models depending on their downstream customers, investment budgets, and target products.
This Model Fits You If You Are:
Tyre collectors
Waste management companies
Mining contractors
Local councils
How the business makes money:
Instead of making money from a sole source, you can transform your business model from charging collection fees to shredding whole tyres into tyre chips (<150 mm). By selling them to downstream recyclers, TDF producers, or pyrolysis plants, you will improve your revenue.
You Can Gain Profit from:
Collection (gate) fees
Selling tyre chips
Who Buy Your Tyre Chips:
TDF producers
Pyrolysis plants
Crumb rubber producers
If your business handles OTR tyres, you may consider a Double Shaft Tyre Shredder.
This Model Fits You If You Are:
Fuel suppliers
Cement plants
Waste-to-energy companies
Exporters
How the business makes money:
Tyre chips that meet export specifications (under 150 mm) are sold as tyre-derived fuel (TDF).
Although domestic demand is relatively limited, strong export markets continue to offer profitable market opportunities for Australian TDF producers.
You Can Gain Profit from:
TDF sales
Export business
This Model Fits You If You Are:
Rubber recyclers
Rubber product manufacturers
Asphalt suppliers
Playground surface suppliers
How the business makes money:
Instead of selling tyre chips, you can continue processing them into high value crumb rubber or rubber powder. These higher-value materials can be sold to manufacturers producing rubber products, sports surfaces, playgrounds, and rubberised asphalt.
You Can Gain Profit from:
Crumb rubber
Rubber powder
Recovered steel
A Steel Wire Separator or a Tyre Granulator is what you need to get cleaner, higher-value crumb rubber.
This Model Fits You If You Are:
Pyrolysis plant operators
Investors planning to build a tyre pyrolysis plant
Waste-to-energy companies expanding into tyre recycling
Resource recovery businesses looking to produce alternative fuels
How the business makes money:
Pyrolysis plants convert processed tyre rubber into
pyrolysis oil
recovered carbon black
steel
combustible gas
Instead of purchasing processed rubber chips, many operators now pre-process whole tyres on their own to ensure consistent feedstock, thereby improving oil yield and reducing material costs.
You Can Gain Profit from:
Pyrolysis oil
Carbon black
Steel
To Produce Cleaner Feedstock, You May Need:
Double Shaft Tyre Shredder
Tyre Steel Wire Separator
This Model Fits You If You Are:
Investors
Large recyclers
Resource recovery companies
Mining groups
How the business makes money:
Instead of focusing on a single product, a complete tyre recycling business generates multiple revenue streams from
Collection fees
Tyre chips
TDF
Crumb rubber
Recovered steel
Pyrolysis feedstock
A complete tyre recycling plant allows your businesses to expand production step by step as market demand grows.
Understand Local Market Demand
Choose the Right Business niche market
Secure a Reliable Tyre Supply
Choose the Right Location
Understand Australian Regulations
Whole passenger car tires, truck tires, and other scrap tires are reduced into smaller tire chips for efficient car tire recycling and bicycle tire recycling applications. The resulting tire chips provide a more manageable feed material for the following recycling stages, helping maintain a stable and efficient recycling process.
After shredding, tire chips go through steel wire separation. During the process, steel is removed from the rubber and collected for recycling. This step deliver cleaner rubber for further processing and collect valuable steel.
Once the steel is removed, this machine turns rubber fragments into uniform crumb rubber. The rubber is clean and ready for resale. The high-value rubber products can be used in rubber goods, sports surfaces, and asphalt.
A complete tyre recycling plant combines shredding, steel separation, and rubber granulation into one processing line. A modular design makes it simple to scale your business step by step. You can start with a single tyre shredder for tyre volume reduction. As your business grows, you can add steel separation, granulation, and other processing units step by step. This allows you to improve your ROI and efficiency at every stage.
A tyre recycling shredder is the first processing step in almost every tyre recycling operation. Notably, a double shaft tyre shredder can convert whole waste tyres into process-ready tyre pieces that can be further processed into crumb rubber, pyrolysis feedstock, or tyre-derived fuel (TDF). The equipped dual-shaft cutting system handles various tyres from passenger tyres to OTR mining tyres.
A tyre steel wire separator efficiently extracts embedded steel from shredded tyre pieces. Then, the machine creates cleaner rubber for follow-up processing workflows while recovering valuable scrap steel for resale. By lifting rubber purity before granulation, it helps strengthen the service life of downstream equipment, increase product quality, and maximise the value recovered from every waste tyre.
Once the steel has been removed, a tyre granulator machine refines rubber fragments into consistent, high purity crumb rubber ready for commercial applications. Instead of selling low-value tyre fragments, you can produce ready-for-trade reclaimed rubber applied to rubber products, sports surfaces, modified asphalt, and other value-added applications.
A tyre recycling plant integrates shredding, steel recovery, rubber granulation into one efficient processing line. Whether you’re starting a new recycling operation or upgrading an existing one, a modular system allows you to expand capacity as your tyre recycling business grows.
Successful tyre recycling business starts with the right processing strategy. Figuring out your niche market, choosing the right recycling model and equipment not only help you reduce operating costs, but also crate more opportunities to recover materials and increase your profits.
Whether you’re starting a new tyre recycling operation or upgrading an exist one, ENERPAT provides complete tyre recycling solutions, from standalone machines to fully integrated recycling plants. Talk to our team today and find the right solution for your business.
Q: What is a tyre recycling business in Australia?
A: A tyre recycling business processes waste tyres into reusable materials such as tyre chips, crumb rubber, steel, TDF, or pyrolysis feedstock for industrial use.
Q: What equipment is needed to start a tyre recycling business?
A: A basic tyre recycling setup includes a tyre shredder, steel wire separator, and tyre granulator. Full recycling plants may also include conveyors and baling systems.
Q: What can recycled tyres be used for?
A: Recycled tyres are used in tyre-derived fuel (TDF), rubber products, sports surfaces, playgrounds, asphalt modification, mining applications, and pyrolysis feedstock.
Q: What are the main challenges in tyre recycling in Australia?
A: Key challenges include strict environmental regulations, high labour costs, transport logistics, and the need for compliant processing equipment for export requirements.
Q: What should I consider before starting a tyre recycling business?
A: You should evaluate market demand, customer location, logistics cost, and Australian local, state, and federal regulations before starting.
Q: What regulations apply to tyre recycling in Australia?
A: Operators must comply with local, state, and federal environmental regulations, including restrictions on tyre export and processing standards.
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