Advanced Composites Market Size, Share, Industry, Forecast and outlook (2024-2031)

Advanced Composites Market is Segmented By Type (Carbon Fiber Composites, Aramid Fiber Composites, S-Glass Fiber Composites, Other Fiber Composites), By Resin Type (Polyamide, Polyurethane, Polypropylene, Polyethylene, Acrylonitrile-butadiene-styrene copolymer (ABS), Polyvinyl Chloride, Polycarbonate, Others), By Process (Injection Molding, Filament Winding, Pultrusion, Others), and by Region (North America, Latin America, Europe, Asia Pacific, Middle East, and Africa) – Share, Size, Outlook, and Opportunity Analysis, 2024-2031

Advanced Composites Market Overview

The Global Advanced Composites Market reached US$ 35.3 billion in 2022 and is expected to reach US$ 78.8 billion by 2031, growing with a CAGR of 10.6% during the forecast period 2024-2031. The advanced composites market size witnessed significant growth in recent years due to superior mechanical, thermal, and chemical properties compared to traditional materials like metals and plastics.

Factors driving this growth include increasing demand from various industries and a growing focus on developing sustainable composites using bio-based materials, recycled fibers, and environmentally friendly manufacturing processes.

North America is among the growing regions for advanced composites covering 1/4th share in 2022 globally. The U.S. in the area covers the major share due to robust aerospace and defense equipment manufacturing bases. Furthermore, Globally region’s expanding wind turbine installations are anticipated to contribute to developing the market. 

The advanced composites market is highly competitive, with several key players, including Toray Industries, Teijin Limited, Hexcel Corporation, Solvay SA, Mitsubishi Chemical Holdings Corporation, and SGL Carbon SE. These companies invest in research and development, product innovations, and strategic collaborations to maintain their market position.

Advanced Composites Market Scope

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Advanced Composites Market Dynamics

Increasing Demand For Lightweight and High-Strength Materials

Industries such as aerospace, automotive, and wind energy are actively seeking lightweight materials to improve fuel efficiency and reduce carbon emissions. Advanced composites offer a compelling solution as they have a high strength-to-weight ratio, enabling the production of lightweight components without compromising structural integrity. 

Using advanced composites, manufacturers can develop vehicles, aircraft, and wind turbines that consume less energy, reducing fuel consumption and environmental impact.

In February 2020, Covestro AG fostered another composite innovation to create slender, lightweight, high-strength, stylish vehicle parts that diminish fuel utilization and CO2 emanations or increment the scope of electric vehicles. The innovation depends on Continuous Fiber-Reinforced Thermoplastic Polymers (CFRTP) and is advertised under Maezio.

Renewable Energy Expansion

Advanced composites are widely used in wind energy, particularly for manufacturing wind turbine blades. Wind turbine blades need to be lightweight yet strong enough to withstand the mechanical stress caused by wind forces. Advanced composites provide the strength, stiffness, and fatigue resistance required for efficient wind turbine operation. As the wind energy industry continues to expand globally, the demand for advanced composites for turbine blades is also increasing.

The growing investment in the wind energy sector creates huge prospects for advanced composites to grow in the forecast period. According to industry experts at the renewable energy conference REConIndia 2023, India has the potential to draw over US$ 20 billion in investment in renewables in 2023. It needs a robust framework for sustainable power. 

Furthermore, by 2030, wind energy is anticipated to contribute around 25% of India's overall generation of renewable energy. More than 250 subject matter experts, policymakers, innovators, investors, and startup founders attended REConIndia 2023.

High Cost of Materials

Advanced composites often come with higher costs than traditional materials due to the expensive raw materials, complex manufacturing processes, and specialized equipment required. The high price of advanced composites can limit their adoption, particularly in price-sensitive industries.

Raw material cost is a major challenge hampering the advanced composites market. Advanced composites, such as carbon fiber, require expensive raw materials for their production. The cost of carbon fibers, resins, and other reinforcement materials can be relatively high compared to traditional materials like steel or aluminum. These increased material costs directly contribute to the high cost of advanced composites. 

Advanced Composites Market Segment Analysis

The Global Advanced Composites Market is segmented based on type, resin, process, end-user and region.

Rising Demand For Composites That Have A Lightweight, Longer Lifespan And Excellent Durability

Carbon fiber composites hold more than 55.2% of the global advanced composites market and are expected to grow at the fastest CAGR in the forecast period. Carbon fiber composites offer exceptional strength-to-weight ratios, making them highly desirable for applications where weight reduction and high structural integrity are crucial. Industries such as aerospace, automotive, wind energy, and sporting goods benefit from carbon fiber composites due to their lightweight nature and superior strength.

Furthermore, carbon fiber composites align with the global focus on environmental sustainability. Their lightweight nature contributes to energy savings and reduced emissions in transportation sectors. Additionally, carbon fiber composites have a longer lifespan than traditional materials, reducing material waste and increasing product durability.

Source: DataM Intelligence Analysis (2023)

Global Advanced Composites Market Geographical Penetration

North America’s Robust Defense Sector And Rising Demand From Various End-User Industries

North America is home to major aerospace companies with a long-standing presence in the aerospace sector. The U.S. holds the highest share of more than 75.2% in the North American advanced composites market followed by Canada and Mexico. The aerospace industry extensively utilizes advanced composites for manufacturing aircraft components, such as fuselages, wings, and interiors. 

Furthermore, the region's robust defense sector is another significant driver of the advanced composites market. Military applications, including aircraft, vehicles, and protective gear, extensively rely on advanced composites for their lightweight and high-strength properties. The defense industry's adoption of advanced composites has contributed to North America's market share.

Source: DataM Intelligence Analysis (2023)

Advanced Composites Market Key Players

The major global players include Covestro AG, DuPont, BASF SE, DSM, Rhodia, SABIC, LANXESS, Teijin Ltd, Celanese Corporation, Toray Industries and Meyer Corporation.

COVID-19 Impact on Advanced Composites Market

COVID Impact

The pandemic highlighted the importance of sustainability and lightweight in various industries. Advanced composites, known for their light and high-strength properties, are aligned with reducing fuel consumption, improving energy efficiency, and lowering emissions. The emphasis on sustainability could drive the demand for advanced composites in the post-pandemic recovery phase.

Russia- Ukraine War Impact 

Ukraine is a significant player in the aerospace and defense industries, while Russia has a strong presence in various sectors, including aerospace, defense, and energy. A conflict between these countries disrupted production, supply chains, and trade, affecting the availability and pricing of advanced composites on the global market.

Furthermore, geopolitical tensions lead to shifts in trade relationships and the imposition of sanctions or trade restrictions, which could further impact the advanced composites market. Uncertainty and instability caused by conflicts also lead to reduced investments, project delays, and decreased consumer confidence, all affecting the demand for advanced composites.

Key Developments

• On 12 April 2023, Toray Advanced Composites, a growing global developer and manufacturer of advanced composite materials, announced to showcase the recent developments in composite material technologies during JEC World 2023.
• On 16 March 2023, The NADCAP Management Council awarded Toray Advanced Composites the new NADCAP certification in Non-Metallic Materials Manufacturing - Thermoplastic Prepreg Manufacturing AC7124/6, making it the first advanced composites business to receive this recognition.
• On 18 October 2022, At CAMX 2022, Toray Advanced Composites and Specialty Materials expanded their business relationship. By combining Specialty Materials' boron fiber with Toray Composite Materials America's domestically produced high-strength intermediate modulus carbon fibers T1100G and several Toray Advanced Composites resin systems, including toughened epoxies, cyanate esters, bis maleimides, and polyimides for the Specialty Materials' Gen 2 Hy-Bor product family, the collaboration will enhance the supply chain.

Why Purchase the Report?

• To visualize the Global Advanced Composites Market segmentation based on type, resin, process, end-user and region and understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development. 
• Excel data sheet with numerous Advanced Composites market-level data points with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as Excel consisting of key products of all the major players.

The Global Advanced Composites Market Report Would Provide Approximately 69 Tables, 78 Figures And 201 Pages.

Target Audience 2024

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies