Composites in the Global Automotive Market Trends and Forecast
Lucintel finds that the future of the composites in the global automotive market looks promising with opportunities in interior, exterior, power train system, chassis systems, electrical and electronics and under body system applications. Composites in the global automotive market is expected to reach an estimated $13 billion by 2030 with a CAGR of 3% from 2024 to 2030. The major growth driver in this market is rise in demand for vehicles that are fuel efficient and have low carbon emissions and corrosion resistivity and low thermal expansion.
The polymer matrix-based composites employed in the global automotive market consist of thermosetting resins such as epoxy, polyester and thermoplastic like polypropylene, nylon that is reinforced with fiber such as glass, carbon and aramid to make them strong and durable. The addition of additives improves properties leading to light weight components with high strength that enhance fuel efficiency and performance. These types of composites which include glass-fiber-reinforced polymers (GFRP) are cheaper than advanced carbon-fiber-reinforced polymers (CFRP). In spite of having a high initial cost compared to aluminum and steel, composites result in long-term savings due to their lightweight design and improved mileage. Composites are gradually becoming competitive in vehicle manufacturing owing to technological advancements during production process and economies of scale.
• Lucintel forecasts that powertrain system will remain the largest application segment and is also expected to witness the highest growth over the forecast period.
• SFT expected to witness the largest segment and CFT is expected to witness the highest growth over the forecast period.
• APAC and ROW is expected to remain the largest region by value and volume also due to higher penetration of composites in automotive in this region than other region.
Country wise Outlook for the Composites in the Global Automotive Market
Composites in the global automotive market is witnessing substantial growth globally. Major players in the market are expanding their operations and forming strategic partnerships to strengthen their positions. Below image highlights recent developments b
Emerging Trends in the Composites in the Global Automotive Market
Emerging trends in the composites in the global automotive market shaping its future applications and market dynamics:
1. Nanocomposites: Incorporating nanomaterials like graphene and carbon nanotubes into composites improves properties such as electrical conductivity, thermal stability, and mechanical strength. These composites are used in electronic parts, battery covers, and building blocks.
2. Multi-Material Integration: Developing techniques for seamlessly integrating composites with traditional materials (like metals and plastics) to create multi-material structures that leverage the best properties of each material
3. Increasing Demand of Electric Vehicles (EVs): Increased use of composites in battery enclosures, electric motor housings, and lightweight body panels to extend range and improve performance of electric vehicles.
4. Growth in Light weight Materials: Advanced composites such as carbon fiber reinforced polymers (CFRP) or glass fiber reinforced polymers (GFRP) are increasingly used for vehicle weight reduction purposes leading to improved fuel efficiency and reduced emissions.
5. Hybrid Composites: Combining different materials, for example metal-polymer hybrids or carbon-glass fiber hybrids for optimized properties in specific automotive applications that enhance performance and minimize cost.
6. Sustainable Composites: Development of bio-based and recycled composites including natural fiber composites such as flax or hemp; or recycled carbon fiber to meet sustainability goals while reducing environmental impact.
7. Structural Composites: Some of the major factors that have made structural composites suitable for use in chassis, frames, and crash structures are innovations and improvements made on these composites with regards to increasing their critical load-bearing capacity for better safety and performance.
8. High-Temperature Composites: By developing resin systems and fiber reinforcements which can operate at higher temperatures, high temperature heat resistant composites have been developed for application in under the hood area of vehicles as well as components for electric vehicles.
9. Automated Manufacturing Processes: Another approach has been integrating automation or digital manufacturing technologies such as 3D printing or robotic layup to improve production efficiency, uniformity and scalability of composite parts.
These innovations in composite materials are driving advancements in the automotive industry, focusing on sustainability, performance, and cost-efficiency to meet evolving market demands and regulatory standards.
A total of 107 figures / charts and 68 tables are provided in this 205-page report to help in your business decisions. A sample figure with insights is shown below.
Recent Developments by the Composites in the Global Automotive Market
Recent developments in composites in the global automotive market by various companies highlight ongoing innovations and advancements across different sectors:
• Electric Vehicles (EVs): The need for lightweight yet strong materials to compensate for battery mass has resulted in an increase in electric vehicles. Battery enclosures, underbody shields are some of the areas where composites are used to improve vehicle performance and range. This involves integrating thermal management systems into composite structures.
• Crash Safety and Performance: Advanced composites are being developed to enhance crash safety without adding significant weight. Materials of this type possess better energy absorption properties as well as impact resistance than many other supplies available on the market. Hybrid composites are another innovation that helps optimize performance by combining different types of fiber with each other.
• Manufacturing Processes: More efficient and cost-effective production of composite components has been realized through new manufacturing techniques such as high-pressure resin transfer molding (HP-RTM) and automated fiber placement (AFP). These developments have facilitated the adoption of composites for use in automobiles at high volumes.
• Sustainability: Automotive industry is seeking environmentally friendly bio-based or recycled composites thus enhancing sustainability. These materials help reduce environmental impacts due to production and disposal processes associated with vehicle manufacturing. For instance, natural fiber composites are currently being incorporated into interior parts while body panels are made using recycled carbon fibers.
• Thermoplastic Composites: Thermoplastic composites have become popular in automotive applications because they can be recycled unlike thermoset ones which takes longer time during processing. Here, new thermoplastic resin systems have been created alongside hybrid composites that combine both thermoplastic and thermoset resins.
• Functional Integration: The new trend is to make multifunctional composites that can serve several purposes at once. For example, in place of adding separate electrical conduits or fluid channels, these can be incorporated when making structural composite parts.
• Cost Reduction: Attempts are being made to minimize the price of composite materials and production processes. During this time, cheaper carbon fiber is developed as well as better resins and automated manufacturing solutions that reduce labor costs.
• Customization and Design Flexibility: When compared with traditional materials, composites have more flexibility in design allowing for greater complexity and personalization. This is especially beneficial for high-performance and luxury vehicles where aesthetics matter most.
Strategic Growth Opportunities for Automotive Composites Market
The composites in the global automotive market are very dynamic due to its unique properties of being lightweight, strong and thermally stable. Some key strategic growth opportunities for this market include:
Light weighting Initiatives
• Advantage: The use of composites, for example carbon fiber and glass fiber, results in reduced weight of vehicles, thereby increasing fuel efficiency as well as minimizing emissions.
• Opportunity: Increased adoption both in conventional and electric vehicles to meet the stringent regulatory standards globally.
Enhancement of Performance:
• Advantage: Composite materials have shown remarkable strength-to-weight ratios and impact resistance that has resulted in improved safety and durability of cars.
• Opportunity: Increased use in structural components like body panels, chassis and interiors designed with enhanced performance and flexibility.
Strategies for Cost Reduction:
• Advantage: Innovations related to lower production costs of composite materials arise from manufacturing processes or economies of scale.
• Opportunity: Competitive pricing strategies aimed at attracting mass-market vehicle manufacturers while upholding high quality standards.
Technological Advancements in Manufacturing:
• Advantage: Automation using robots improves composite part production efficiency, accuracy and precision.
• Opportunity: Leveraging Industry 4.0 technologies for flexible production systems that can customize products according to eye-catching automotive OEM specifications.
Recycling and Sustainability:
• Advantage: Development of recyclable composites made from biomass sources lessens their environmental footprint while promoting a circular economy model.
• Opportunity: Collaborative efforts spanning the entire supply chain should be used to create efficient recycling methods towards achieving sustainability goals.
Integration with Electric Autonomous Vehicles
• Advantage: Composites enable EV range extension and autonomous vehicle sensor integration because they are light weight as well as electromagnetic transparent.
• Opportunity: Increasing growth rates are being projected for EV battery enclosures, lightweight body structures, and sensor housings used in autonomous driving systems. Increasing customization levels.
Composites in the Global Automotive Market Drivers and Challenges
The global automotive market’s composites are determined by major factors and impediments. The use of composite materials and composites such as glass fiber and carbon fiber that can reduce the weight of vehicle is one of the drivers that have brought about this new trend in the auto industry due to the fact that automakers are opting to build lighter vehicles so as to enhance fuel efficiency, save money on gas, and cut down on greenhouse gas emissions. Notwithstanding, there are issues for instance expensive inputs, sophisticated production processes and recycling problem which make wide spread incorporation impossible. Therefore, it is important to strike a balance by considering these things in order to maximize benefits accruing from adoption of composites so as to enhance vehicle performance, safety standards and design flexibility because companies face competitive pressures globally while regulators demand for change with respect to car manufacturing innovations in addition to those sustainability elements apparent in automotive sector.
The key drivers for composites in the global automotive market include:
1. Light weighting for Fuel Efficiency: The automobile industry today is all about the weight of a car. Hence, it has resulted in composite materials being used in this sector to reduce vehicle weight thus increasing fuel economy.
2. Emission Regulations: There are strict global emission standards that require companies to use advanced materials such as composites in order to be within the set legal limits.
3. Electric Vehicles (EVs): With the expanding electric vehicle market, there is an increased need for composites in constructing battery enclosures, structural components and interiors that improve performance and safety.
4. Performance Benefits: Composites provide high strength-to-weight ratio as well as design flexibility and corrosion resistance hence they are ideal for automotive applications which are highly performing.
5. Sustainability: In response to growing environmental awareness and burgeoning demand for sustainable materials, automakers have increased their demand for recycled or green-bio plastics-composites.
The challenges in the composites in the global automotive market include:
1. High Costs: The production of composite materials is often more expensive than traditional materials, posing cost challenges for widespread adoption.
2. Manufacturing Complexity: The complex manufacturing processes for composites, including molding and curing, require specialized equipment and expertise.
3. Supply Chain Issues: Dependence on specific raw materials, which may face supply chain disruptions, can impact the availability and cost of composites.
4. Recycling and Disposal: End-of-life recycling and disposal of composite materials pose environmental and logistical challenges due to their complex composition.
5. Performance Trade-offs: While composites offer many benefits, they may have trade-offs in impact resistance, reparability, and integration with other vehicle systems.
The development of composite materials and manufacturing processes is key to tackling issues such as cost and recycling constraints. In order to meet environmental concerns more effectively, composites must keep pace with recent developments in material science and production technologies that are aimed at achieving automotive light weighting goals. The ability to master these forces guarantees a steady growth and competitiveness in the developing global automobile market.
Composites in the Global Automotive Suppliers and Their Market Shares
In this globally competitive market, several key players such as BASF, DSM, DuPont, SABIC, and Lanxess etc. dominate the market and contribute to industry’s growth and innovation. These players capture maximum market share. To know the current market share of each of major players, contact us by email at helpdesk@lucintel.com.
Companies in the market compete on the basis of product quality offered. Major players in this market focus on expanding their manufacturing facilities, R&D investments, infrastructural development, and leverage integration opportunities across the value chain. With these strategies composites in the global automotive cater increasing demand, ensure competitive effectiveness, develop innovative products & technologies, reduce production costs, and expand their customer base. Some of the composites in the global automotive companies profiled in this report include.
• BASF
• DSM
• DuPont
• SABIC
• Lanxess
These companies have established themselves as leaders in composites in the global automotive market, with extensive product portfolios, global presence, and strong research and development capabilities. They continually strive to enhance their market positions through strategic partnerships, mergers and acquisitions, and product innovations. The market share dynamics within the composites in the global automotive market are evolving, with the entry of new players and the emergence of innovative composites in the global automotive market technologies. Additionally, collaborations between material suppliers, manufacturers, and end-users are fostering technological advancements and expanding market opportunities.
Composites in the Global Automotive Market by Segment
Key segments of composites in the global automotive market showing growth include carbon fiber composites, favored for light weighting in luxury and high-performance vehicles to enhance fuel efficiency. Glass fiber composites continue to expand in mainstream vehicles, offering cost-effective weight reduction and improved durability. Natural fiber composites are gaining traction due to their sustainability advantages, used increasingly in interior components and non-structural applications. Thermoplastic composites are in demand for their recyclability, shorter production cycles, and compliance with stringent automotive standards. Hybrid composites, combining various fibers and resins, are gaining popularity for their ability to deliver optimal performance and cost-efficiency across diverse automotive applications.
Composites in the Global Automotive Market by Compound Material [Value ($M) and Volume (M lbs) Shipment Analysis for 2018 – 2030]:
• SMC
• BMC
• GMT
• LFT
• CFT
• SFT
Composites in the Global Automotive Market by Application [Volume (M lbs) Shipment Analysis for 2018 – 2030]:
• Interior
• Exterior
• Power Train System
• Chassis Systems
• Electrical and Electronics
• Under Body System
• Others
Composites in the Global Automotive Market by Fiber [Volume (M lbs) Shipment Analysis for 2018 – 2030]:
• Glass Fiber
• Carbon Fiber
Composites in the Global Automotive Market by Resin Group [Volume (M lbs) Shipment Analysis for 2018 – 2030]:
• Thermoset Resin
• Thermoplastic Resin
Composites in the Global Automotive Market by Region [Value ($M) and Volume (M lbs) Shipment Analysis for 2018 – 2030]:
• North America
• Europe
• Asia Pacific & Rest of The World
Features of Composites in the Global Automotive Market
• Market Size Estimates: Composites in the global automotive market size estimation in terms of value ($M) and volume (M lbs)
• Trend and Forecast Analysis: Market trends (2018-2023) and forecast (2024-2030) by various segments and regions.
• Segmentation Analysis: Market size by compound material, application, fiber, resin group, and region.
• Regional Analysis: Composites in the Global Automotive market breakdown by North America, Europe, and Asia Pacific & Rest of the World.
• Growth Opportunities: Analysis of growth opportunities in different compound material, application, fiber, resin group, and region for the footwear sole material market.
• Strategic Analysis: This includes M&A, new product development, and competitive landscape for the composites in the global automotive market.
• Analysis of competitive intensity of the industry based on Porter’s Five Forces model.
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FAQ
Q1. What is the Composites in the Global Automotive Market size?
Answer: The composites in the global automotive market is expected to reach an estimated $13 billion by 2030.
Q2. What is the growth forecast for Composites in the Global Automotive Market?
Answer: The composites in the global automotive market is expected to grow at a CAGR of 3% from 2024 to 2030.
Q3. What are the major drivers influencing the growth of the Composites in the Global Automotive Market?
Answer: The major growth driver in this market is rise in demand for vehicles that are fuel efficient and have low carbon emissions and corrosion resistivity and low thermal expansion.
Q4. What are the major applications industries for Composites in the Global Automotive Market?
Answer: Others and powertrain system are the major applications for composites in the global automotive market.
Q5. What are the emerging trends in Composites in the Global Automotive Market?
Answer: Emerging trends, which have a direct impact on the dynamics of the composites in the global automotive market, includes nanocomposites, multi-material integration, increasing demand of electric vehicles (EVs, growth in light weight materials, and hybrid composites.
Q6. Who are the key Composites in the Global Automotive Market companies?
Answer: Some of the key composites in the global automotive market companies are as follows:
• BASF
• DSM
• Dupont
• SABIC
• Lanxess
• Solvay
• Teijin
• IDI Composites
• Hanwha Advanced Materials
• Celanese Corporation
• JNC Corporation
Q7.Which Composites in the Global Automotive Market material segment will be the largest in future?
Answer: Lucintel forecasts that, SFT is expected to be the largest compound material and continuous fiber thermoplastic (CFT) composites segment is expected to witness the highest growth in the forecast period.
Q8: In Composites in the Global Automotive Market, which region is expected to be the largest in next 7 years?
Answer: Europe is expected to remain the largest region and Asia Pacific and Rest of the World witness the highest growth over next 7 years.
Q9. Do we receive customization in this report?
Answer: Yes, Lucintel provides 10% Customization Without any Additional Cost.
This report answers following 11 key questions
Q.1 What are some of the most promising potential, high growth opportunities for the composites in the global automotive market by compound material (SMC, BMC, GMT, LFT, CFT, and SFT), application (exterior, interior, power train system, chassis system, electrical and electronics, under body system, and others), fiber (glass fiber and carbon fiber), resin group (thermoset resin and thermoplastic resin) and by region (North America, Europe, Asia Pacific & Rest of the World)?
Q. 2 Which segments will grow at a faster pace and why?
Q.3 Which regions will grow at a faster pace and why?
Q.4 What are the key factors affecting market dynamics? What are the drivers and challenges of the market?
Q.5 What are the business risks and threats to the market?
Q.6 What are the emerging trends in this market and the reasons behind them?
Q.7 What are the changing demands of customers in the market?
Q.8 What are the new developments in the market? Which companies are leading these developments?
Q.9 Who are the major players in this market? What strategic initiatives are being implemented by key players for business growth?
Q.10 What are some of the competitive products and processes in this area and how big of a threat do they pose for loss of market share via material or product substitution?
Q.11 What M & A activities have taken place in the last 5 years in this market?