The chip is the size of a grain of salt, but there's a relatively huge antenna inside made of conducting material (metal?) and glue and all that.
Many transit agencies do explicitly incentivize reuse, e.g. by offering cheaper fares using a reloadable contactless card and often charging a deposit for that card.
Even then, many of these systems have been struggling due to the IC shortage, given the low margins these single-use tickets have to operate on. In some Asian countries, including Japan and Malaysia, it was tricky to get a new transit card for several months or even years, even though there is a deposit charge.