The global carbon fiber market revenue was around US$ 6.1 billion in 2023 and is estimated to reach US$ 16.1 billion by 2032, growing at a compound annual growth rate (CAGR) of 11.4% during the forecast period from 2024 to 2032.
Carbon fiber is a lightweight and extremely strong material composed of thin strands of carbon atoms bonded together in a crystalline arrangement. It has high tensile strength and a low weight-to-strength ratio. To create the final product, these fibers are woven together to form a composite material that is then reinforced with a polymer matrix (like epoxy). There are multiple steps in the carbon fiber production process. Precursor materials, like pitch or polyacrylonitrile (PAN) fibers, are first carbonized by high temperatures in an oxygen-free atmosphere. By doing this, non-carbon components are removed and carbon atoms are arranged into strongly bonded structures.
Factors Influencing Market Growth
- The automotive industry is using carbon fiber more frequently to lighten cars and improve fuel efficiency. The expansion of the automotive industry will increase carbon fiber demand and drive the carbon fiber market.
- Carbon fiber composites provide strength, stiffness, and fatigue resistance to wind turbine blades, which provides wind energy that is renewable. With the increase in demand for renewable energy, the demand for carbon fiber will also increase, thus expanding the market.
- Carbon fiber reinforcement is used to strengthen and extend the lifespan of concrete structures, bridges, and buildings. This is expected to increase the demand for carbon fiber in the construction industry, thus expanding the market.
- The challenging and energy-intensive process of carbon fiber recycling may hinder market growth.
Impact of COVID-19
COVID-19 negatively impacted the market. Due to the national lockdown and partial factory shutdown during that time, the majority of composite businesses were forced to close, which had a detrimental impact on product growth. Car manufacturers felt the effects all over the world. For instance, GM, Ford, and FCA stopped making parts in the United States and switched to making COVID-19 medical devices instead.
Regional Insights
Europe dominated the market in 2023. This is a result of the region's growing need for lightweight, fuel-efficient cars as well as the abundance of electric car manufacturers. The aerospace and defense sector's increased use of graphite fiber. The amount of money automakers are investing in R&D to create affordable carbon composite materials is having a big impact on the local market. Germany's well-established aviation industry will provide a promising opportunity for market expansion. Germany is home to the manufacturing facilities for the Eurofighter and Airbus A320 families. Leading manufacturing bases for the aircraft industry are available in the nation, which also hosts several equipment manufacturers, whole system integrators, suppliers of materials and components, and engine manufacturers. For example, the German Aerospace Center used CF and electricity in February 2019 to develop a de-icing solution for critical points on aircraft.
Leading Competitors
- Mitsubishi Chemical Group Corporation
- TEIJIN LIMITED.
- DowAksa
- TORAY INDUSTRIES, INC.
- Solvay
- Formosa Europe
- SGL Carbon
- Nippon Steel Corporation
- ZOLTEK
- Other Prominent Players
Segmentation Analysis
The global carbon fiber market segmentation focuses on type, raw material, form, end-use industry, and region.
Segmentation based on Type
- Continuous carbon fiber
- Long carbon fiber
- Short carbon fiber
Segmentation based on Raw Material
- PAN-Based carbon fiber
- Pitch-Based and Rayon-Based carbon fiber
Segmentation based on Form
- Composite carbon fiber
- Non-Composite carbon fiber
Segmentation based on End-Use Industry
- Aerospace and Defense
- Sports/Leisure
- Wind Turbines
- Molding and Compounds
- Automotive
- Pressure Vessels
- Civil Engineering
- Marine
- Pultrusion Misc.
- Misc. Consumer
- Sailing/Yacht Building
- Others
Segmentation based on Region

- North America
- The U.S.
- Canada
- Europe
- UK
- Germany
- France
- Italy
- Spain
- Netherlands
- Rest of Europe
- Asia-Pacific
- China
- Japan
- India
- Australia
- South Korea
- Singapore
- Rest Of Asia-Pacific
- LAMEA
- Latin America
- Middle East
- Africa