Europe Composites Market Analysis Report By Product (Carbon Fiber, Glass Fiber), By Resin (Thermosetting, Thermoplastic), By Manufacturing Process, By End Use, And Segment Forecasts, 2019 - 2025

Report Overview

The European composites market size was worth USD 16.6 billion in 2018 and is estimated to register a CAGR of 7.5% from 2019 to 2025 owing to increasing demand for lightweight materials in various industries such as wind energy, automotive, and transportation, and aerospace and defense. Also, factors such as ascending demand for wind energy and high product demand from the automotive industry are expected to boost the market over the forecast period.

Composite products play an essential role in the manufacturing of automotive and aircraft parts. Growing concerns regarding fuel consumption and CO2 emission levels have urged manufacturers to use carbon fiber composite materials as substitutes for metal components. Technological innovations to minimize manufacturing cycle time is expected to propel the demand for composites in the automotive sector.

Increasing requirements for high-quality composite materials in the automotive sector is expected to steer investments in developing new manufacturing technologies. Companies such as Toray, Hexcel Corporation, Teijin Limited, and SGL Group utilize their patented technologies to manufacture composites. SGL Group has collaborated with various research centers and academic institutes to develop and test CFRP materials.

Increasing demand for composites in the automotive industry is anticipated to boost the market over the forecast period. Rising fuel prices have triggered the need for fuel-efficient vehicles. Composites are most widely utilized as a replacement for aluminum, wood, and steel on account of their higher strength-to-weight ratio. The presence of stringent environmental regulations in Europe has forced automotive manufacturers to include composites in automotive production. Globally, especially in Europe, regulations are forcing OEMs to significantly reduce carbon dioxide (CO2) emissions caused by vehicles. Proposed regulations in countries are further expected to fuel product demand from this sector.

Aerospace is one of the fastest-growing sectors in the European market. Product consumption in this industry is increasing owing to its lightweight and high rigidity. The primary objective of using composite materials is to reduce the weight of the aircraft and introduce machines with improved performance. Europe is one of the key markets in the aerospace and defense sector with demand being driven by aircraft manufacturers such as Airbus and Dassault Aviation.

Product Insights

Carbon fiber is expected to be the fastest-growing product segment over the forecast period. Carbon fiber mostly consists of carbon atoms that are bonded together in crystals aligned parallel to the fiber. Carbon fiber is combined with other materials to form composites. It is molded with plastic resin to form a carbon fiber-reinforced polymer. Properties of these fibers, such as high temperature, high stiffness, low thermal expansion, low weight, and high chemical resistance, make them very popular for utilization in industrial and other applications.

Glass fiber emerged as the largest product segment in 2018. Glass fiber is made from fine fibers of glass and is also known as fiberglass. Fiberglass is lightweight, robust, and strong material; however, it has lower stiffness as compared to carbon fiber. Weight properties and bulk strength of glass fibers are extremely advantageous as compared to those of metals. The growth of the automotive and wind energy industries in Germany is expected to drive the overall market.

Resin Insights

The thermosetting segment dominated the market with a revenue share of 71.8% in 2018. Thermosetting composites or thermosets are synthetic materials that are strengthened when heated but are very difficult to remold or reshape after initial heating. These composites are stronger due to the cross-linking and are suited for use in high-temperature applications.

Thermoplastics are hardened when cooled and also tend to retain their plasticity. These thermoplastics can be re-melted and reshaped by reheating above the processing temperature. Thermoplastics are non-toxic, less expensive, weldable, recyclable for other processes, and have increased toughness.

Manufacturing Process Insights

The layup process, in terms of revenue, dominated the European composites market in 2018. Layup is the most basic method for composite production. Increasing the production of wind turbine blades, boats, and architectural moldings are expected to fuel the growth of the layup process segment over the forecast period.

The pultrusion process segment accounted for a revenue share of 22.7% in 2018. Pultrusion process is an efficient method for manufacturing fiber-reinforced composite products. It allows manufacturers to produce a continuous length of the fiber-reinforced polymer. This process involves drawing of fiberglass through a liquid resin that saturates glass reinforcement. Pultrusion process of manufacturing fiber composites with polymer matrix is an efficient and resource-saving technique.

The injection molding process segment was estimated at 202.5-kilo tons in 2018 and is expected to grow over the forecast period. Injection molding is a high-volume, fast, low-pressure, closed process. It allows the molding of complex structures and enables a wide range of materials with almost exact properties required from the article.

End-use Insights

The automotive and transportation segment dominated the market and was valued at USD 3.6 billion in 2018. Composites offer several advantages, such as fuel-saving, to the transportation sector. Their durability and lightweight are beneficial properties for design and manufacturing efficiencies across this sector. Manufacturers in a bus and light rail markets use composites to increase fuel efficiency and enhance the visual appeal of interiors.

The aerospace and defense application segment is anticipated to exhibit a CAGR of 7.2% in terms of volume over the forecast period as it is one of the most crucial end users of composites. Composites are widely utilized in interior and exterior components of military aircraft, commercial aircraft, business jets, spacecraft, and general aviation aircraft. Composite materials are used owing to their beneficial properties such as high reliability, lightweight, safety, aerodynamic performance, stealth, and all-weather operation. The growth of the aviation industry, coupled with ascending demand for lightweight and superior quality commercial aircraft, is expected to propel product demand in the region.

Regional Insights

Demand for composites is largely dominated by Western European countries, where the presence of well-established automotive, aerospace and defense, construction, and electrical and electronics industries is expected to continue boosting demand. The penetration of new aircraft manufacturers such as Commercial Aircraft Corporation of China, Ltd. in Europe is expected to boost the production of aircraft as well as increase competition among aircraft manufacturers in the region. A significant proportion of defense investments are allocated to procuring various types of aircraft, which, in turn, is anticipated to propel product demand in military aircraft applications.

Germany was estimated to be the largest market in Europe in 2018 and is anticipated to continue its dominance over the forecast period. The country is one of the largest producers of composites in the region, driven by rising demand from the aerospace and automotive industries. The development of Future Combat Air System projects is expected to propel demand in aerospace applications.

U.K. is estimated to exhibit a CAGR of 6.1%, in terms of revenue, from 2019 to 2025. Product demand is expected to be particularly propelled by offshore electrical and electronics installations in the country. Moreover, the steady growth of the U.K. marine industry is anticipated to propel demand in the coming years.

Key Companies & Market Share Insights

Key players operating in the market include Toray Industries, Owens Corning, Hexcel Corporation, Solvay, and Teijin Limited. These players have integrated at various stages of the value chain, including raw material procurement, manufacturing, and distribution. They aim to increase their market share and expand their global presence by adopting several strategic initiatives such as capacity expansions, investments, acquisitions, and agreements. Key market players have their own patented technologies for manufacturing composites and are present across all levels of the value chain.

Europe Composites Market Report Scope

Segments Covered in the Report

This report forecasts volume and revenue growth at regional and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2015 to 2025. For this study, Grand View Research has segmented the Europe composites market report based on the product, resin, manufacturing process, end-use, and country:

• Product Outlook (Volume, Kilo Tons; Revenue, USD Million, 2015 - 2025)

  • Carbon Fiber

  • Glass Fiber

  • Others

• Resin Outlook (Volume, Kilo Tons; Revenue, USD Million, 2015 - 2025)

  • Thermosetting

  • Thermoplastic

  • Others

• Manufacturing Process Outlook (Volume, Kilo Tons; Revenue, USD Million, 2015 - 2025)

  • Layup Process

  • Filament Winding Process

  • Injection Molding Process

  • Pultrusion Process

  • Compression Molding Process

  • Resin Transfer Molding Process

  • Others

• End-use Outlook (Volume, Kilo Tons; Revenue, USD Million, 2015 - 2025)

  • Automotive & Transportation

  • Aerospace & Defense

  • Electrical & Electronics

  • Wind Energy

  • Construction & Infrastructure

  • Pipes & Tanks

  • Marine

  • Others

• Regional Outlook (Volume, Kilo Tons; Revenue, USD Million, 2015 - 2025)

  • Germany

  • France

  • U.K.

  • Spain

  • Italy

  • Rest of Europe