Carbon Fiber Market

Carbon Fiber Market Size & Share

The global carbon fiber market size is projected to grow from US$5.48 billion in 2024 to US$17.08 billion by 2035, representing a CAGR of 10.89%, during the forecast period, 2024-2035.

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The new research study consists of global carbon fiber industry trends, detailed market analysis of carbon fiber manufacturer, Porter’s five forces analysis, megatrends analysis and market impact analysis. The report includes carbon fiber market forecast and opportunity analysis.

Carbon fibers are microscopic strands, measuring only 5-10 micrometers in diameter, and are composed primarily of carbon atoms. Among the world’s three major high-performance fibers, carbon fiber features the highest strength and the highest specific modulus. These properties are leading to the high demand of carbon fiber for use in multiple industries (including aerospace and defense, automative, construction, sporting goods, and medical and health care industries) due to its high performance. Further, it is worth mentioning that the cost is high compared to other metals. However, recent advances in composites are driving carbon composites to be more competitive and cost effective. In addition, continuous development in fiber reinforcements, carbon fiber resin systems, and manufacturing processes are further propelling the adoption of carbon composites across various sectors.

The growth of the carbon fiber industry has been further accelerated by the rising demand for lightweight, high-performance materials across various industries to achieve greater fuel efficiency and reduce emissions. Further driven  by increasing demand for lighter, more fuel-efficient vehicles and airplanes, the carbon fiber market is poised to experience exponential market growth during the forecast period. 

Carbon Fiber Market Share Insights

The carbon fiber market research report presents an in-depth analysis of various leading players involved in manufacturing carbon fiber, across different segments, as defined in the table below:

Carbon Fiber Market: Report Attributes / Market Segmentations

One of the key objectives of this market report was to estimate the current market value, opportunity and the future growth potential of the manufacturers in the global carbon fiber market, over the forecast period. Based on multiple parameters, likely adoption trends and through primary / secondary validations, we have provided an informed estimate on the market evolution during the forecast period 2024-2035.

The market report also features the likely distribution of the current and forecasted opportunity for manufacturers in the global carbon fiber market across various segments, such as type of raw material (PAN-based carbon fiber and pitch-based carbon fiber), type of fiber (virgin and recycled carbon fiber), type of product (continuous, long and short), type of modules / raw material (standard, intermediate and high), Application (composite and non-composite), end-user (aerospace  and defense industry, wind energy / alternative energy industry, automative industry, marine industry, sporting goods industry, molding and compound industry, medical and health care industry, construction and infrastructure, pressure vessels industry, other end user) and geography (North America, Europe, Asia-Pacific, Latin America, and Middle East and North Africa). In order to account for future uncertainties associated with some of the key parameters and to add robustness to our model, we have provided three carbon fiber market forecast scenarios, namely conservative, base, and optimistic scenarios, representing different tracks of the industry’s evolution.

All actual figures have been sourced and analyzed from publicly available information forums and primary research discussions. Financial figures mentioned in this market report are in USD, unless otherwise specified.

Carbon Fiber Market Key Segments

Carbon Fiber Market Share by Type of Raw Material

The global carbon fiber market is segmented into different types of raw material, such as PAN-based (polyacrylonitrile based), and pitch-based. In 2024, PAN-based are expected to capture the highest share in the carbon fiber market and is expected to remain dominant during the forecast period. This can be primarily attributed to the fact that the PAN-based carbon fiber materials are preferred for use in the various industry owing to their high strength, minimal thermal expansion and moisture absorption, impressive lightness, outstanding specific strength (strength-to-weight ratio), user-friendliness during processing, and efficient thermal conductivity.

Carbon Fiber Market Share by Type of Fiber

The global carbon fiber market is segmented into different type of fibers, such as virgin carbon fiber and recycled carbon fiber. Recycled carbon fiber is expected to capture the highest share in 2035. This can be attributed to the fact that recycled carbon fiber has same property as of virgin carbon Fiber and are cost effective. Further, these carbon fibers offer high durability at extreme condition and offer resistance to corrosion.

Carbon Fiber Market Share by Application

The global carbon fiber industry is segmented into different application, such as composite and non-composite. Currently, composite carbon fiber segment captures the highest share in the carbon fiber market and this trend is likely to remain the same during the forecast period. This can be attributed to the fact that combination of carbon fiber with other materials, such as resin unlocks its exceptional strength-to-weight ratio, stiffness, and other desirable characteristics. 

Carbon Fiber Market Share by End Users

The global carbon fiber industry is segmented into different end users, such as aerospace and defense industry, wind energy / alternative energy industry, automative industry, marine industry, sporting goods industry, molding and compound industry, medical and health care industry, construction and infrastructure, pressure vessels industry and other end user. Currently, aviation, aerospace and defence sector capture the highest share in the carbon fiber market. This can be attributed to the fact that carbon fiber is used aircraft manufacturing in order to reduce the weight and improve fuel efficiency and performance. 

Carbon Fiber Market Key Insights

The “Carbon Fiber Market: Industry Trends and Global Forecasts, till 2035” market report features an extensive study of the current market size and future opportunities associated with manufacturers within the carbon fiber industry, during the given forecast period. The market report highlights the carbon fiber market analysis. Key takeaways of the carbon fiber market report are briefly discussed below.

Key Growth Drivers of the Carbon Fiber Market

The global carbon fiber market size growth is primarily attributed to the increasing usage of carbon fiber in defense and aerospace sector owing to fact that they offer high strength, endurance, and stability compared to other materials. It is also interesting to note that carbon fiber is increasingly used in 3D printing technologies in order to optimized and streamline the printing process thus increasing demand of carbon fiber. Further, the rise in automative sector and the relentless pursuit of lightweight vehicles for better fuel efficiency and performance has also led to a surge in demand for carbon fiber.

Regional Carbon Fiber Industry Highlights: Europe Holds the Largest Share

Presently, majority of the market share is captured by Europe. This can be attributed to the fact that the region is home to many electric car manufacturers, leading to a higher demand of carbon fiber for manufacturing of light weight and fuel-efficient vehicles. Additionally, the carbon fiber market is expected to rise significantly due to the expanding aviation infrastructure in Europe. However, the market for carbon fiber in Asia-Pacific is expected to grow at a relatively higher CAGR during the forecast period.

Leading Players in the Carbon Fiber Market

Examples of key companies operating in the global carbon fiber industry (which have also been captured in this market report, arranged in alphabetical order) include Advanced Composites, Anshan Sinocarb Carbon Fibers, DowAksa, Formosa Plastics, Hexcel, Holding Company Composite, Hyosung Advanced Materials, Jiangsu Hengshen, Jilin Chemical Fiber, Mitsubishi Chemical, Nippon Graphite Fiber, SGL Carbon, Solvay, Teijin Limited, Toray Industries, Zhongfu Shenying Carbon and ZOLTEK. This market report includes an easily searchable excel database for the leading companies operating in carbon Fiber domain along with information on their service / product portfolios.

Recent Developments in The Carbon Fiber Market

Several recent developments have taken place in the market, some of which have been outlined below.

• In June 2024, Carbon Revolution raised USD 25 million from Orion Infrastructure Capital (OIC). The company aimed to use the funding amount to meet the increasing demand for lightweight carbon fiber automotive wheels.

• In May 2024, Jilin Chemical Fiber entered into a cooperation agreement with Comac (a subsidiary of Commercial Aircraft Corporation of China) for the development of composite material for aircraft.
• In May 2024, Intel entered into a strategic collaboration with 14 Japanese organizations, including Omron, Yamaha Motor, Resonac, and Shin-Etsu Polymer in order to develop automated backend processes for carbon fiber manufacturing.
• In April 2024, Spectral AI procured a sum of USD 34 million through venture capital round  for scaling its global operations of Hyperion Elite 4 performance running shoe and next-gen carbon fiber bicycle spokes. 
• In March 2024, Jindal Advanced Materials partnered with MAE to establish the carbon fiber manufacturing plant of 3,500 metric ton.
• In April 2023, Solvay and GKN Aerospace have renewed their development agreement to  explore new materials and manufacturing processes for aerospace structures.

Author(s): Ronit Sharma and Hardik Patel