Global Composites Market Extends at a Healthy CAGR of 6.90 by 2030

Introduction

Composites are used to build and repair a variety of infrastructure applications, including buildings, bridges, roads, and railroads. Composite applications have a longer lifespan due to their superior strength, resistance to corrosion and rust, and low maintenance requirements. More lightweight materials are in high demand in the defense, automotive, and aerospace industries.

Market Dynamics

Increasing Demand for Lightweight Materials in Automotive Industry Drives the Global Market

Composites are most usually employed in place of steel, aluminum, and wood because of their superior strength-to-weight ratio. Due to strict pollution control laws and growing environmental concerns, automobile manufacturers have been forced to develop low-pollution vehicles. One of the most critical factors affecting fuel efficiency and vehicle emissions is the vehicle's overall weight. Due to their high price, composites are exclusively used in high-end cars. However, large companies invest significantly in R&D to develop low-cost composite grades that match the high-cost variations' mechanical properties. This is expected to result in a rise in composite demand in the automotive industry over the projected period.

Growing Utilization of Carbon Fiber Components in the Automotive Industry Creates Tremendous Opportunities

It is projected that the growing usage of carbon fiber components in the automotive industry, particularly in the category of electric vehicles, will give the composites market a wide range of prospects. In the global car market, electric vehicles are getting increasingly well-liked and in demand. Production of these vehicles has increased over the past several years due to market leaders like Ford Motors, Toyota, and General Motors adding electric cars to their product lineups and the emergence of pure-play electric vehicle manufacturers like Tesla Motors. Additionally, the growth of fuel-efficient, high-performance cars has increased the demand for lightweight parts, facilitating composites' broader use in the automotive sector.

Regional Analysis

Asia-Pacific is the most significant shareholder in the global composites market and is expected to grow at a CAGR of 7.6% during the forecast period. The region is one of the most lucrative locations for manufacturers of electrical and electronic equipment, cars, buildings, and aerospace because significant economies exist. The profitability of the region is also increasing as a result of factors such as the increase in air passenger traffic, the production of more cars, and the aggressive expansion targets set for the capacity of electrical and electronic manufacturing by governments across the Asia-Pacific, including China, India, Japan, and Taiwan. In addition, China held the world's largest market for passenger automobiles as of 2020. The rising consumer demand for electronic devices, notably in China and India, is anticipated to fuel market expansion over the forecast period.

Europe is expected to grow at a CAGR of 6.9%, generating USD 35,509.98 million during the forecast period. Due to their extensive manufacturing sectors, the demand for composites is disproportionately strong in Western European countries. It is projected that the established industries of construction, electrical and electronics, aerospace and defense, and automotive will drive industrial expansion in the European market. Due to these national advancements, it is projected that the market for composites will rise over the coming years. Additionally, the maritime sector in France is expected to grow, which would increase demand for composite materials used in marine applications. It is projected that as fishing boats and large marine vessels are constructed more regularly, demand for the product will increase.

North America, especially the United States, produces a lot of commercial, freight, large passenger, and defense aircraft. Additionally, composites have been widely used in the nation's auto manufacturing sectors to make critical vehicle components, which indicates that demand will rise throughout the projected time. The use of composite materials by major aircraft producers like Airbus S.A.S. and Boeing is expanding, raising the demand for aviation applications. In addition, carbon fiber composites are anticipated to rise significantly due to growing demand for interior parts of commercial aircraft, such as ceiling panels, bulkheads, flooring, cabin dividers, and galleys, as well as increased passenger traffic.

Key Highlights

• The global composites market was valued at USD 86,400.00 million in 2021. It is projected to reach USD 153,577.85 million by 2030, growing at a CAGR of 6.90% during the forecast period (2022-2030). 
• Based on the product, the global composites market is bifurcated into carbon and glass fiber. The glass fiber segment is the highest contributor to the market and is expected to grow at a CAGR of 5.6% during the forecast period.
• Based on the manufacturing process, the global composites market is bifurcated into layup, filament, injection molding, pultrusion, compression molding, RTM, and others. The layup segment owns the highest market share and is expected to grow at a CAGR of 8.4% during the forecast period.
• Based on end-user, the global composites market is bifurcated into automotive and transportation, electrical and electronics, wind energy, construction and infrastructure, pipes and tanks, marine, and others. The automotive and transportation segment is the highest contributor to the market and is expected to grow at a CAGR of 6.8% during the forecast period.
• Asia-Pacific is the most significant shareholder in the global composites market and is expected to grow at a CAGR of 7.6% during the forecast period.

Competitive Players

Competitive Players

The global composites market’s major key players are Teijin Ltd, Toray Industries, Inc., Owens Corning, PPG Industries, Inc, Huntsman Corporation LLC, SGL Group, Hexcel Corporation, DuPont, Compagnie de Saint-Gobain S.A., Weyerhaeuser Company, and Momentive Performance Materials, Inc.

Recent Developments

Market News

• In January 2022, Toray Industries, Inc. announced that it had developed a new analysis technology for multi-material structures consisting of UD tape (unidirectional continuous fiber-reinforced tape) and injection molding materials. This breakthrough makes it possible to more precisely predict the properties of parts made up of multiple materials and more swiftly develop high-performance components.

Segmentation

Global Composites Market: Segmentation

By Product

• Carbon fiber
• Glass Fiber

By Manufacturing Process

• Layup
• Filament
• Injection Molding
• Pultrusion
• Compression molding
• RTM
• Others

By End-User

• Automotive and transportation
• Electrical and Electronics
• Wind Energy
• Construction and Infrastructure
• Pipes and Tanks
• Marine
• Others

By Regions

• North America
• Europe
• Asia-Pacific
• LAMEA