Composites Market Size, Share & Trends Analysis Report By Product (Carbon, Glass), By Resin (Thermosetting, Thermoplastics), By Manufacturing Process, By End Use, And Segment Forecasts, 2020 - 2027

Report Overview

The global composites market size was estimated at USD 89.04 billion in 2019 and is expected to expand at a compounded annual growth rate (CAGR) of 7.6% from 2020 to 2027. The market is majorly driven by increasing demand for lightweight materials in various industries such as automotive and transportation, wind energy, and aerospace and defense. Increasing demand for composites in the automotive industry is anticipated to boost the market growth over the forecast period. Rising fuel prices have triggered the need for fuel-efficient vehicles. Composites are most widely utilized as the replacement for aluminum, wood, and steel on account of their higher strength to weight ratio.

In the U.S, the demand for composites is primarily driven by the increasing demand for lightweight materials in the automotive industry. Rising electrical and electronics capacity additions and steady growth in the automotive and aerospace sectors are the factors that are expected to augment the market growth over the forecast period.

Governments of various countries including Japan, the U.S., Canada, South Korea, China, Mexico, Brazil, and India have proposed fuel economy and greenhouse gas emission standards for passenger and light commercial vehicles/ light trucks. Proposed regulations in countries are further expected to fuel the demand for composites from the automotive sector.

Aerospace is one of the fastest-growing sectors in the global composites market. High-performance materials are required to be used in aircraft, rockets, satellites, and missiles in the aerospace industry. The consumption of composites in the aerospace industry is increasing owing to its lightweight and high rigidity. The U.S. and Europe are the key markets in the aerospace and defense industry with the demand being driven by aircraft manufacturers such as Boeing and Airbus.

Raw materials that are needed to manufacture composites include polyurethane, silicone, polyamide, and others. These products are used in other applications including construction, coatings and adhesives, and others. The presence of a large number of raw material suppliers is anticipated to positively influence market growth. Few composite manufacturers are integrated into their operations and supply raw materials along with manufacturing composites.

The high cost of composites has limited their application to high-performance cars that are more expensive. However, key players are conducting extensive R&D activities to develop low-cost composite grades with similar mechanical properties as that of the high-cost variants. This is expected to spur the demand for composites in the automotive industry over the forecast period.

Product Insights

Glass fiber was the dominant product segment and accounted for 61.8% of the overall revenue share in 2019 owing to its high demand in electrical and electronics, construction, transportation, wind energy industries. Glass fiber, also known as fiberglass, is made from fine fibers of glass. Glass fiber offers superior properties including high strength, high durability, weather-resistant, and lightweight have boosted its demand in numerous end-use industries.

Carbon fiber product segment projected to witness robust growth, registering a CAGR of 7.6% from 2020 to 2027 on account of its beneficial properties such as low thermal expansion, high stiffness, high-temperature tolerance, high chemical resistance, and low weight. Carbon fiber mostly consists of carbon atoms that are bonded together in crystals aligned parallel to the fiber.

Carbon fibers are combined with other materials to form a composite. Carbon fiber reinforced polymer is formed when carbon fiber is molded with plastic resin. Rising utilization of composites in marine and wind energy applications is expected to fuel the growth of carbon fiber composites product market over the forecast period.

Other composite products mainly include silicon carbide fiber, aromatic polyamide fiber, and hybrid fiber. Silicon carbide fiber is a compound of carbon and silicon. It occurs in nature as exceptionally rare mineral moissanite. Silicone fiber possesses properties such as high-temperature resistance, high modulus, high tensile strength, and good heat resistance.

Resin Insights

The thermosetting resin segment dominated the global composites market and accounted for 72.0% overall revenue share in 2019 owing to ascending demand in transportation and aerospace and defense applications. Thermoset composite is usually based on carbon, glass, or aramid fibers, and generally incorporated with resins including polyesters, epoxies, vinyl esters, cyanate esters, polyimides, or phenolics.

Thermoset or thermosetting composites are synthetic materials that strengthen when they are heated but cannot be remolded after the initial heating. These composites are stronger owing to the cross-linking and are suited for use in high-temperature applications. Thermoset composites find their applications in numerous end-use industries including construction, tooling, infrastructure, biomedical, and robotics.

Thermoplastics are less expensive, weldable, non-toxic in nature, recyclable for other processes, and have increased toughness. A broad range of thermoplastic resins is used in composites such as polypropylene, PET, and PVC. Thermoplastics resins are used owing to their increased impact resistance and ability to reform as compared to thermosetting resins.

Although thermoplastics harden when cooled, they tend to retain their plasticity. They can re-melt and reshape by reheating above processing temperature. Thermoplastics have greater recycling and damage tolerance owing to its tough nature of matrix material. Thermoplastics find its application in numerous industries including automotive, aerospace, construction, and material handling.

Manufacturing Process Insights

The layup manufacturing process segment dominated the global market and accounted for 33.1% overall revenue share in 2019. It is the most common method for composite production. It involves placing layers of composite fiber in a sequence by using a matrix of resin and hardener. The layup is then allowed to cool at room temperature. The growing production of wind turbine blades, boats, and architectural moldings is projected to boost the growth of the layup process segment.

Injection molding is a high-volume, low-pressure, fast, closed process. It involves a ram that forces the material through a barrel and injects it into a heated mold. After the process is completed, the parts require only minor finishing. Injection molding is capable of producing complex structures with a wide range of materials with an almost exact properties required from the article.

Resin transfer molding is a vacuum-assisted process, wherein a reinforcement mat is placed in the mold, which is then clamped. A catalyzed resin of low viscosity is pumped under pressure, displacing the air and expelling it at the edges until the mold is filled. This process is suitable for the production of larger components of medium volume.

Compression molding is a technique of molding, wherein the material is preheated and placed in an open and heated mold cavity. The pressure remains on the mold throughout the curing cycle, which occurs in an oven. The process requires a high level of proficiency owing to the orientation involved in layering the fibers efficiently. This process produces high-strength parts in a wide variety of sizes. The equipment used to execute the process is known as hydraulic molding press.

End-use Insights

Automotive and transportation end-use segment dominated the market by accounting for 21.1% of the global market revenue in 2019. Composites offer large advantages such as fuel-saving to the transportation sector. Their lightweight and durability are favorable properties for design and manufacturing efficiencies across this sector.

The aerospace and defense industry is one of the most important to the composite market. Composites are widely utilized in the interior and exterior parts of commercial aircraft, military aircraft, spacecraft, business jets, and general aviation aircraft. The composite is used in aerospace and defense on account of their favorable properties including lightweight, safety, high reliability, aerodynamic performance, stealth, and all-weather operation.

Wind energy is estimated to emerge as the fastest-growing end-use segment in the global market over the forecast period. Glass fiber or epoxy composites are widely utilized for wind turbine blades as the blades are required to sustain an extremely mechanical and cyclic multiaxial loading of variable amplitudes along with environmental and thermal and high humidity effects.

Composite materials are conventionally designed for mechanical properties owing to their structural applications. These are increasingly utilized in the electrical & electronics sector owing to their high arc resistance properties and dielectric strength. Composites are used to manufacture power line insulators, switchgear frames, third rail covers for the underground railway, fiber optic tensile members, and structural for overhead transmission lines for the railway.

Regional Insights

Asia Pacific was the largest regional market for composites in 2019, accounting for a revenue share of 44.7% on account of increasing demand from various end-use industries major economies of Asia Pacific such as China, Japan, and India. The emergence of the Philippines, Indonesia, Singapore, Malaysia, and Vietnam as major shipbuilding centers in Asia Pacific is also expected to drive the demand for composites in the region over the forecast period.

The demand for composites is largely dominated by Western European countries. The well-established automotive, aerospace & defense, construction, and electrical and electronics industries are expected to continue the growing trend in the European market. Ascending demand for cost-effective and high-performance composites in the renewable energy industry is expected to drive the regional market.

The demand for composites in North America is driven by the robust growth of aerospace and defense, electrical and electronics, and automotive industries. In North America, particularly the U.S. is an important manufacturer of commercial aircraft, large passenger aircraft, cargo jets, and defense aircraft, which in turn, projected to drive the market growth over the forecast period.

Latin America is one of the most challenging markets for composites. Political and economic instability in the region had slowed down the market growth. However, in recent years, the regional market exhibited relatively solid growth, especially in Brazil. Regional and local market players are finding the composites market attractive on account of robust growth in the end-use industries.

Key Companies & Market Share Insights

Various initiatives such as technology innovations, research and development, partnerships, and merger and acquisitions to manufacturing cost-effective and lightweight composite products have been undertaken by the key market players. These initiatives are projected to propel the market growth over the forecast period. High processing and manufacturing costs of composites are challenging the growth and profitability of the composites market across the world. Other than the high production cost, initial capital investment is anticipated to pose a challenge over the forecast period. Companies such as Toray Industries, Owens Corning, and Teijin Ltd. are integrated across the value chain of composites in production and distribution activities and have also diversified their product offerings. Some of the prominent players in the composites market include:

• Teijin Ltd

• Toray Industries, Inc.

• Owens Corning

• PPG Industries, Inc.

• Huntsman Corporation LLC

• SGL Group

• Hexcel Corporation

• DuPont

• Compagnie de Saint-Gobain S.A

• Weyerhaeuser Company

• Momentive Performance Materials, Inc.

• Cytec Industries (Solvay. S.A.)

• Jushi Group Co., Ltd.

Composites Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2016 to 2027. For the purpose of this study, Grand View Research has segmented the global composites market report on the basis of product, resin, manufacturing process, end-use, and region:

• Product Outlook (Volume, Kilotons; Revenue, USD Million, 2016 - 2027)

  • Carbon Fiber

  • Glass Fiber

  • Others

• Resin Outlook (Volume, Kilotons; Revenue, USD Million, 2016 - 2027)

  • Thermosetting

  • Thermoplastic

  • Others

• Manufacturing Process Outlook (Volume, Kilotons; Revenue, USD Million, 2016 - 2027)

  • Layup Process

  • Filament Winding Process

  • Injection Molding Process

  • Pultrusion Process

  • Compression Molding Process

  • Resin Transfer Molding Process

  • Others

• End-use Outlook (Volume, Kilotons; Revenue, USD Million, 2016 - 2027)

  • Automotive & Transportation

  • Aerospace & Defense

  • Electrical & Electronics

  • Wind Energy

  • Construction & Infrastructure

  • Pipes & Tanks

  • Marine

  • Others

• Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2016 - 2027)

  • North America

    • The U.S.

  • Europe

    • Germany

    • France

  • Asia Pacific

    • China

    • India

  • Latin America

    • Brazil

  • Middle East & Africa