Carbon Fiber Market Trends

Growth Drivers

• Increasing Demand for Carbon Fibers from Wind Energy and Aerospace Industries- As an industry driver, the aerospace sector uses tiny tow fibers. The application of this tiny tow manufacturing capacity for aerospace manufacturing potential is concentrated in Asia, with production taking place in significant supply chains. Carbon-fiber usage in the corporate aerospace business is swiftly followed by the launch of carbon fiber composite rubber by Airbus for the A300 and A310. This type of breakthrough has continued until the present day, with the market's utilization of high composite content carbon fiber. Based on the Boeing Commercial Outlook 2022-2041, the total worldwide deliveries of new planes are expected to reach 41,170 by 2041. As a result of a large number of scheduled deliveries, demand for carbon fibers during aircraft construction is predicted to rise globally. According to the India Brand Equity Foundation, India has the globe's third-largest domestic aviation sector. With a rise of 104.24% in air traffic movements from 300,405 in 2021-2022 to 613,566 in 2022-2023.
• Growing Usage of Carbon Fiber in 3D Printing-  The technique of 3D printing involves layering lightweight substances to build a three-dimensional object from a digital model. This is a cutting-edge technology with various uses that do not necessitate a lengthy setup time for big devices. This technology allows for the rapid printing of several items. Continuous carbon fibers are more resilient as well as more durable than other metallic components, based on their use in 3D printing. The customizable characteristics of the carbon fiber's composition and orientation simplify the optimization procedure. Carbon fiber 3D printing also allows for the precise fabrication of Raw Material Types for a wide range of applications, including aerospace, automobiles, and dental. The latest National Additive Manufacturing Forward project set the path for rapid implementation of 3D printing by the country's small and medium-sized enterprises in the United States in 2022.
• Increasing Growth in Defense Sector- In 2021, global defense spending surpassed USD 2 trillion for the first time. In 2021, expenditure worldwide was 0.7% higher than in 2020. The top five defense-spending nations were the United States, China, India, the United Kingdom, and Russia.
• Expanding Product Usage in the Automotive Industry- In 2021, the automotive production sector earned around 2.86 trillion US dollars in revenue.
• The increasing demand of recycled carbon fibers- The rising requirement for carbon fiber as well as the increased emphasis on the use of Carbon Fiber as a base material for carbon fiber, are projected to present prospects for the market under consideration throughout the forecast period. The yearly worldwide carbon fiber extraction in the pulp and paper production sector is projected to be over 70 106 tons.

Challenges

• Excessive product costs will slow market growth slightly-Carbon composites are used extensively in the automobile, aerospace, building, oil and gas, and wind power sectors owing to their excellent performance and compact qualities. However, the item's cost is exorbitant when contrasted with metal. The price of the product is an essential obstacle to the broad use of carbon composites in numerous industries.
• Decrease in Demand for Carbon Fibers from Luxury Cars Industry .
• The availability of alternatives