Recyclers can derive benefits from horizontal demand information sharing with competitors under specific conditions. However, these advantages may be compromised by the actions of remanufacturers. Information leakage occurs when a remanufacturer selectively discloses information obtained from one recycler to another. This study aims to support recyclers within the reverse supply chain in effectively engaging in horizontal information sharing while mitigating the risk of remanufacturers disclosing proprietary information to competitors, thereby preventing the dissemination of information contrary to the recyclers' intentions for sharing. The research focuses on analyzing the impact of horizontal information sharing and information leakage on the profitability of both remanufacturers and recyclers. An analytical model has been developed based on partial and asymmetric signals of customer valuation. Three scenarios are explored: no information sharing and no leakage, information sharing only, and scenarios involving both sharing and leakage. The novelty of this study lies in its examination of a demand process characterized by distributional uncertainty, which mirrors the informational challenges faced by recyclers entering new markets or expanding into new recycling categories. Recyclers operate with incomplete information and cannot determine whether they possess superior information compared to their competitors. The findings suggest that information sharing among recyclers can enhance the profits of those experiencing high demand but may adversely affect those with lower demand levels. In the absence of horizontal information sharing between recyclers, remanufacturers tend to leak information about higher-demand recyclers to others. Ultimately, managers of competing firms who face uncertainty regarding their information standing should consider sharing information to gain improved demand forecasts or, at minimum, to prevent remanufacturers from exploiting information leakage for personal gain. This refined analysis provides critical insights for stakeholders in the reverse supply chain, highlighting the complex interplay between information sharing and competitive advantage, as well as the strategic importance of managing information flow to safeguard business interests.