Virgin or recycled powder for producing additive manufacturing spare parts? An economic analysis

Additive Manufacturing (AM) is used for spare parts production, but its adoption is limited by high costs, driven by expensive AM machines and raw materials. While machine costs are hard to reduce, raw material costs can be lowered by using recycled powders instead of virgin powders. However, recycled powders can affect part quality and reliability, potentially increasing costs for inventory and backorders. This study investigates whether using recycled powders is cost-effective when factoring in these management costs. We develop a mathematical model that includes purchasing, holding, and backorder costs, accounting for the cost and reliability differences between recycled and virgin powders. The model identifies break-even points for recycled powder use. Our results show that recycled powders are cost-effective only if their quality remains high. As AM machine costs decrease, using recycled powders becomes more attractive. This research provides a framework to guide managers on when to use recycled powders for AM.