Economic footprint across the U.S.
The analysis, prepared by John Dunham & Associates, measures the sector’s direct, indirect and induced effects across the U.S. economy. According to the report, recycling companies directly employ about 175,000 people, with average wages and benefits exceeding $100,000. Including supplier industries and household spending, the sector supports more than 603,000 jobs nationwide.
The study puts the industry’s total annual economic activity at $184 billion.It estimates its tax contribution at $21 billion at federal, state and local level. ReMA said these figures reflect the industry’s reach beyond recycling operations themselves, extending into supply chains and local communities across all states.
Recycled materials in manufacturing
The report positions recycled materials as a critical feedstock for U.S. manufacturing. ReMA, which represents more than 1,700 companies, said its members supply recycled raw materials used in products ranging from infrastructure and vehicles to consumer goods and energy technologies.
According to the study, nearly 70 percent of U.S. steel is produced in electric arc furnaces that rely primarily on recycled steel. More than 75 percent of U.S. paper mills use recovered paper in the production of products such as cardboard, office paper and tissue. The report also states that more than 80 percent of U.S. aluminum production comes from recycled sources. More than 90 percent of the structural steel used in bridges, hospitals and high-rise buildings is made from recycled steel.
Environmental and resource benefits
Alongside its economic contribution, the report emphasizes the environmental value of recycled materials. Compared with production from virgin resources, manufacturing with recycled inputs can reduce energy use by up to 90 percent and greenhouse gas emissions by up to 96 percent, according to ReMA. The association said these savings can help manufacturers lower production costs while reducing their environmental footprint.
The report also links recycling to lower demand for primary resource extraction, including mining, drilling and logging. In that context, the sector is presented as part of a broader resource-efficiency strategy with implications for land use, habitat protection and long-term material availability.
Investment and market direction
ReMA said the industry continues to invest in sorting systems, automation and artificial intelligence to improve material recovery and quality. The association also pointed to electrification, grid expansion, data center growth and reshoring as structural trends likely to increase demand for recycled feedstock over the coming decade.
Taken together, the findings frame the recycling industry economic impact as both industrial and strategic. For manufacturers, the sector remains tied not only to sustainability targets, but also to supply security, cost management and domestic production capacity.
