Composite Process Materials Market Size, Share & Trends Analysis Report By Resin (Thermoplastic, Thermoset), By Fiber (Carbon Fiber, Glass Fiber, Natural Fiber, Others), By End-User (Automotive, Aerospace and Defence, Wind Energy, Construction, Marine, Others) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2024-2032

Market Overview

The global composite process materials market size was valued at USD 936.05 million in 2023. It is estimated to reach USD 1,622.17 million by 2032, growing at a CAGR of 6.3% during the forecast period (2024–2032). In recent years, there has been a rise in the demand for lightweight and high-performance materials from the aerospace and defense industry, as they help reduce the overall weight of the fleet and enhance fuel efficiency. The growing air passenger traffic and a surge in defense expenditure further add to this demand, thereby driving the global composite process materials. Moreover, the growing research and development projects on these materials are estimated to create opportunities for composite process materials market expansion.

Highlights

• North America is the highest shareholder in the global market

Composite process materials are the materials utilized in the manufacturing process of composite materials. Engineered materials, known as composites, are produced by combining two or more constituent materials, each with unique chemical or physical properties. The resulting material possesses unique features that differ from its original components.

The composition of process components can vary extensively depending on the composite being produced. These examples represent a limited selection of the composite process materials frequently employed in producing composite materials. The selection of materials and procedures is contingent upon various aspects, including the desired characteristics of the end composite, the chosen production technique, cost considerations, and environmental factors.

Market Dynamics

Global composite process materials market drivers:

Growing aerospace and defense industry

The aerospace industry's demand for lightweight and high-performing materials leads to using composite process materials. Based on a survey by Boeing, it is projected that the global aerospace and defense market will reach a value of USD 8.7 trillion by 2027. By 2039, it is projected that air traffic will have a 4.0% increase, while the fleet is forecast to rise by 3.2% by 2029. The demand for composite process materials is anticipated to grow due to their ability to enhance structural integrity, decrease weight, and enhance fuel efficiency in aircraft and defense applications.

Moreover, there will likely likely be an increase in defense spending due to the ongoing conflict between Russia and Ukraine. China has raised its defense budget for 2021 by 6.8% to 1.35 trillion yuan (USD 209 billion), surpassing the previous year's growth rate. According to statistics from the Aviation Industry Development Research Center of China, China is expected to have a total of 5,343 aircraft by 2025. Consequently, the expansion of the global market in recent years has been propelled by the increasing expenditures of numerous governments on the defense sector. These materials have extensive application in the defense sector due to their distinctive characteristics and benefits over conventional alternatives such as metals.

Global composite process materials market restraint:

Fluctuation in raw materials cost

The cost of raw materials utilized in composite manufacturing can fluctuate due to factors such as market demand, raw material availability, production capacity, and geopolitical circumstances. Carbon fibers, widely utilized in high-performance composite applications, cost considerably more than other reinforcing fibers. Variations in the costs of carbon fibers or other essential raw materials can substantially affect the total production cost of composite materials.

Composite materials frequently depend on specialized components, such as high-performance resins or improved reinforcing fibers, to attain certain qualities like strength, stiffness, or reduced weight. These specialized materials may have a restricted number of suppliers or limited production capacity, resulting in elevated prices and possible limitations in the supply chain. Disruptions or shortages in the supply of these specialized materials might lead to higher material expenses for manufacturers of composites. Therefore, these factors are projected to impede future market expansion.

Global composite process materials market opportunities:

Increasing research and development

In recent years, there has been an increase in research focused on developing innovative and effective composite materials and recycling methods for composite process materials. For instance, in July 2023, researchers at the University of Sydney devised novel techniques to tackle a significant future waste issue in the automotive, aerospace, and renewable industries. They developed a recycling system specifically designed to manage the waste generated from carbon and glass fiber composites. Their methodology, as published in Composites Part B: Engineering, guarantees enhanced material recovery and superior energy efficiency compared to earlier methodologies.

In addition, in March 2023, researchers from the University of Twente created a novel composite material that surpasses individual chemicals by a factor of one to two magnitudes. The composite comprises multiple readily available elements, which have the potential to be utilized for the effective production of hydrogen without the need for scarce and valuable metals such as platinum. Therefore, these factors are expected to generate opportunities to expand the market.

Regional Analysis

Based on region, the global market is bifurcated into North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa.

North america dominates the global market

North America is the most significant global composite process materials market shareholder and is expected to expand substantially during the forecast period. In North America, the aerospace industry drives the demand for composite process materials. In addition, numerous organizations and institutes have increased their investment in research and development activities. For instance, in March 2023, NASA allocated USD 50 million in grants to 14 organizations to develop manufacturing processes and innovative composite materials for airplane structures. The accolades are attributed to NASA's Hi-Rate Composite Aircraft Manufacturing (HiCAM) initiative, which aims to diminish expenses and enhance the production rate for composite structures manufactured within the United States. Utilizing lightweight, composite airframes in the aviation industry will result in fuel savings and pollution reductions, enhancing commercial aviation's sustainability. This is expected to enhance the North American market for composite process materials.

Moreover, the region's emphasis on innovation and technology breakthroughs accelerates market expansion. For instance, in February 2022, a team from MIT developed a composite material primarily composed of cellulose nanocrystals combined with a little synthetic polymer. The organic crystals comprise approximately 60 to 90 percent of the material, representing the largest proportion of CNCs in a composite thus far. The researchers discovered that the cellulose-based composite has superior strength and toughness compared to certain bone varieties and surpasses the hardness of ordinary aluminum alloys. The material exhibits a brick-and-mortar microstructure that closely resembles the nacre found in the inner shell lining of certain mollusks. Therefore, these advancements are expected to enhance the expansion of the local market.

The Asia-Pacific region predominantly dominates the wind energy sector, with China taking the lead. As per the International Energy Agency (IEA), China accounted for about 40% of the increase in wind generation output in 2022. The extensive wind turbine installations in the region generate significant demand for composite process materials. China's wind power capacity reached 328.48 gigawatts in 2021, as reported by Statista. The wind power connected to the wind has increased by more than three times since 2014, when it was a little over 90 gigawatts.

China has experienced the largest increase in wind energy-generated power generation capacity compared to other growth sources year over year. Moreover, China generated approximately 656.7 gigawatt hours of electricity using wind energy in 2021. This represented the highest point within the specified time and an almost 30 percent growth compared to the previous year. The significant expansion of the wind energy sector is projected to propel the composite process materials market share in the Asia-Pacific region.

Segmental Analysis

The global composite process materials market is segmented by resin, fiber, and end-user.

Based on resin, the global market is divided into thermoplastic and thermosetting composites.

Thermoplastic composites consist of a thermoplastic polymer matrix that fibers or fillers strengthen. Thermosetting composites undergo permanent chemical reactions during curing and cannot be reshaped once they harden. In contrast, thermoplastic composites can be heated and reshaped several times since their polymer matrix can reverse its properties. Thermoplastic composites often have shorter processing durations than thermosetting ones since they do not require curing at high temperatures. Moreover, thermoplastic polymers, being ductile, frequently demonstrate superior impact resistance and toughness. It provides excellent resistance to chemicals, solvents, and environmental conditions compared to certain thermosetting polymers.

Based on fiber, the global market is bifurcated into carbon fiber, glass fiber, natural fiber, and others.

Glass fibers are thin fibers made of glass that find utility in many sectors like building, automotive, aerospace, and electronics. Fiberization is the technique of extruding molten glass through small apertures to create these fibers. The resultant fibers can exhibit variations in their diameter, length, and composition, contingent upon the intended application. Glass fibers possess numerous benefits, such as a superior strength-to-weight ratio, resistance to corrosion, electrical insulating qualities, and thermal resistance. Moreover, they are frequently used to strengthen composite materials and improve their mechanical characteristics. They are commonly integrated into fiberglass composites for many purposes, including the construction of boat hulls, vehicle body panels, and aircraft components.

Based on end-users, the global market is segmented into aerospace and defense, wind energy, marine, automotive, construction, and others.

Composite materials are crucial in the wind energy industry because of their distinctive characteristics that make them well-suited for different parts of wind turbines. One of the most important parts of a wind turbine is its blades. Wind turbine blades are frequently manufactured using composite materials, such as fiberglass reinforced with epoxy resin or carbon fiber-reinforced polymers. These materials provide excellent strength-to-weight ratios, resistance to corrosion, and design flexibility, enabling the creation of longer and more efficient blades.

Moreover, wind energy has experienced significant growth in recent years due to the installation of new wind power capacity. As per the Global Wind Energy Council, the total installed wind capacity increased by 9% in 2022, with 77.6 GW of new wind generating capacity linked to global power grids. This brought the total installed wind capacity to 906 GW. This is expected to enhance the growth of the segment.

Recent Developments

• February 2024- Toray Advanced Composites (Nijverdal, The Netherlands) announced the introduction of a lifecycle assessment (LCA) program for their Toray Cetex family of thermoplastic composite materials. The company's strategic decision highlights its dedication to environmental responsibility, aiming to measure and decrease the ecological effects of its industrial procedures.
• August 2023- ALUULA Composites, a Canadian corporation specializing in innovative materials technology, announced its partnership with the University of British Columbia (UBC) to pioneer recycling solutions for ALUULA's cutting-edge composite materials based on UHMWPE.