The global biocomposites market size was estimated at USD 15.99 billion in 2016 and is expected to register a CAGR of 12.5% by 2025. Rising awareness among people regarding eco-friendly materials and government efforts to replace plastics with biodegradable and environmentally favorable alternatives are major trends responsible for market growth. Additionally, rising demand in the automotive sector to increase the safety of passengers and reduce the weight of a vehicle is expected to spur market demand.
Lightweight and biodegradable are the major advantages offered by biocomposites, which are also key reasons behind their popularity among producers and consumers. Plastic waste is an alarming problem plaguing the majority parts of the world. Plastic is non-degradable material and will not decompose for centuries to come. To tackle this problem, governments around the world are imposing strict restrictions on the usage of plastics and promoting eco-friendly alternatives. This is sure to significantly benefit the market over the forecast period.
Despite various advantages, the market is likely to meet with certain hurdles. High cost of biocomposites is one of the key factors expected to restrict market demand. Since these materials are made from natural fibers such as wood, flax, and cotton, they are more expensive than plastics. Moreover, there is a requirement of skilled labor as these products are fairly new to the market. Players are looking to overcome these challenges to retain their position in the market through 2025.
Wood and non-wood fibers such as cotton, jute, and flax are the two main types used in biocomposites. The wood fiber variants are rising in popularity due to their usage in outdoor constructions such as decking and railings. Non-wood fiber types are also increasingly being used as a substitute for plastic in many applications such as packaging.
Natural and synthetic are two kinds of polymers used in biocomposites. The use of natural polymers is increasing due to the rising demand for biodegradable products by consumers across end uses. Natural polymers such as wool, silk, rubber, cellulose, and proteins are used in a number of applications including automotive and consumer products.
Synthetic polymers include nylon, polyester, and polyethylene. Even though demand for artificial and synthetic materials are rapidly being replaced by natural and organic alternatives, this segment will continue to be a popular choice among consumers.
On the basis of type, the biocomposites market is bifurcated into green and hybrid variants. Green biocomposites are 100% biodegradable and do not have any harmful effects on the environment. The demand for these green materials is high in developed regions such as North America and Europe.
The hybrid types are made from synthetic resins and hence are not 100% biodegradable. However, these variants also present high demand from consumers due to their high strength and lightweight.
Transportation is one of the fastest-growing end-use segments due to the increasing use of biocomposites in automobiles such as cars and trucks. They are used in cars for nonstructural components such as interior panels. They help manufactures achieve cost reduction as well as weight reduction in vehicles. Additionally, the use of these materials instead of metals or alloys reduces the possibility of injury to passengers in case of an accident.
Biocomposites are replacing wood in outdoor constructions such as decking and railing. The material gives the product a longer life. Some deck manufacturers are offering 25 years warranty period on their products. Similarly, demand in end-use segments such as electrical and electronics and consumer goods is expected to increase over the forecast period.
Asia Pacific is expected to be the largest regional market from 2017 to 2025. Increasing population and rising disposable income are some of the key factors driving the growth of the regional market. A large middle-class population, especially in India and China, is driving demand for automotive and affordable houses, which is, in turn, fueling product demand.
Developed countries in North America and Europe have been presenting high demand as well. The European Union’ s ban on non-recyclable plastic is expected to drive the market in the region. Central and South America is also expected to observe a surge in demand and availability of raw material in the region is projected to benefit this market.
The market is competitive in nature with the presence of both global and local players. There is a high initial investment needed for setting up a manufacturing facility. Moreover, the raw material required for biocomposites is expensive. Major players have invested in research and development activities in order to introduce new and improved products. Some of the key players in the industry are UPM; Universal Forest Products, Inc.; and Flexform Technologies.
Base year for estimation
Actual estimates/Historical data
2014 and 2015
2017 - 2025
Volume in Kilotons, Revenue in USD billion, and CAGR from 2017 to 2025
North America, Europe, Asia Pacific, Central & South America, and Middle East & Africa
U.S., Canada, Mexico, Germany, U.K., France, Italy, Sweden, Russia, China, India, Japan, South Korea, Australia, Brazil, Argentina, UAE, South Africa, and Saudi Arabia
Revenue forecast, competitive landscape, and growth factors and trends
15% free customization scope (equivalent to 5 analysts working days)
If you need specific information, which is not currently within the scope of the report, we will provide it to you as a part of customization
This report forecasts revenue growth at a global, regional, and country level, and provides an analysis of the latest industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the global biocomposites market report on the basis of fiber type, polymer type, product type, end use, and region:
Fiber Type Outlook (Volume, Kilotons; Revenue, USD Billion, 2014 - 2025)
Wood Fiber Composites
Non-Wood Fiber Composites
Polymer Type Outlook (Volume, Kilotons; Revenue, USD Billion, 2014 - 2025)
Product Type Outlook (Volume, Kilotons; Revenue, USD Billion, 2014 - 2025)
End-use Outlook (Volume, Kilotons; Revenue, USD Billion, 2014 - 2025)
Building and Construction
Electrical and Electronics
Regional Outlook (Volume, Kilotons; Revenue, USD Billion, 2014 - 2025)
Central & South America
Middle East & Africa
NEED A CUSTOM REPORT?
We can customize every report - free of charge - including purchasing stand-alone sections or country-level reports, as well as offer affordable discounts for start-ups & universities. Contact us now
"The quality of research they have done for us has been excellent."