According to a new report published by Introspective Market Research, titled, “Carbon Fiber Market by Raw Material, Form, and End-Use Industry,” The Global Carbon Fiber Market Size Was Valued at USD 3.43 Billion in 2024 and is Projected to Reach USD 7.37 Billion by 2035, Growing at a CAGR of 7.2%. The Carbon Fiber Market is witnessing strong global growth as industries increasingly adopt lightweight, high-strength materials to improve performance, efficiency, and sustainability. Carbon fiber, known for its exceptional tensile strength, low weight, corrosion resistance, and high stiffness, is widely used across aerospace, automotive, wind energy, sporting goods, and industrial applications. Its superior strength-to-weight ratio makes it an ideal replacement for metals such as steel and aluminum in high-performance engineering.
Furthermore, the rapid expansion of electric vehicles, renewable energy infrastructure, and next-generation aircraft manufacturing is pushing manufacturers to adopt advanced composite materials. Continuous innovations in carbon fiber processing, automation, and resin technologies are contributing to reduced production costs and improved scalability. As governments promote sustainability initiatives and lightweight material adoption, the Carbon Fiber Market is expected to expand steadily through 2035.
One of the key drivers boosting the Carbon Fiber Market is the growing demand for lightweight and fuel-efficient vehicles and aircraft. With increasing environmental regulations and the global push for lower emissions, automotive and aerospace manufacturers are shifting toward materials that enhance efficiency without compromising structural performance. Carbon fiber’s low density and superior mechanical properties significantly reduce vehicle and aircraft weight, improving fuel economy and enhancing performance. Additionally, its durability and corrosion resistance extend product life spans, making carbon fiber a preferred choice in modern engineering applications.
A major market opportunity lies in the expansion of renewable energy, particularly the wind energy sector. As countries accelerate wind power installations to meet climate goals, the demand for large wind turbine blades made with carbon fiber composites continues to rise. Carbon fiber improves blade strength, fatigue resistance, and length, leading to higher energy output and efficiency. Emerging offshore wind projects, technological advancements in blade design, and increased investments in renewable infrastructure are expected to create significant opportunities for carbon fiber manufacturers over the next decade.
Carbon Fiber Market, Segmentation
Raw Material
- The Raw Material segment is further classified into PAN-based Carbon Fiber, Pitch-based Carbon Fiber, and Rayon-based Carbon Fiber.
- Among these, the PAN-based Carbon Fiber sub-segment accounted for the highest market share in 2024. PAN-based carbon fiber is the most widely used due to its superior strength-to-weight ratio, high tensile modulus, and stable production processes. It is preferred across aerospace, automotive, and industrial applications due to its mechanical performance and versatility. The availability of cost-effective PAN precursors, technological advancements in oxidation and carbonization processes, and continuous improvements in fiber quality contribute to the dominance of PAN-based carbon fibers across global markets.
Form
- The Form segment is further classified into Continuous, Long, and Short fiber forms.
- Among these, the Continuous Carbon Fiber sub-segment accounted for the highest market share in 2024. Continuous fibers offer the greatest strength and flexibility in composite applications, making them ideal for aerospace structures, high-performance automotive components, and wind turbine blades. Their ability to provide consistent load distribution and enhanced durability makes them a preferred choice for advanced structural applications. Growing adoption of automated fiber placement (AFP) technologies and high-performance composite manufacturing processes further strengthens the continuous fiber segment's leadership.
Some of The Leading/Active Market Players Are
- Toray Industries Inc. (Japan)
- Teijin Limited (Japan)
- Mitsubishi Chemical Group (Japan)
- Hexcel Corporation (U.S.)
- SGL Carbon (Germany)
- Solvay S.A. (Belgium)
- Hyosung Advanced Materials (South Korea)
- Formosa Plastics Corporation (Taiwan)
- DowAksa (Turkey)
- ZOLTEK Corporation (U.S.)
- Nippon Graphite Fiber Corporation (Japan)
- Gurit Holding AG (Switzerland)
- Rock West Composites (U.S.)
- Composite Resources (U.S.)
- other active players.
Key Industry Developments
- In February 2024, Toray Industries announced an expansion of its PAN-based carbon fiber production capacity to meet the rising demand from the aerospace and automotive sectors. The expansion aims to improve global supply stability and strengthen Toray’s leadership in composite materials.
- In August 2023, Hexcel Corporation partnered with major aerospace manufacturers to develop next-generation carbon fiber prepreg materials for lightweight aircraft components. This collaboration focuses on enhancing material performance while reducing production cycle times for global OEMs.
Key Findings of the Study
- PAN-based Carbon Fiber and Continuous Fiber Form dominated the market in 2024.
- Aerospace & Defense emerged as the leading end-use industry.
- Growing emphasis on lightweight vehicles and aircraft continues to drive market growth.
- Wind energy expansion presents high-potential growth opportunities worldwide.
- Asia-Pacific is expected to show the fastest growth due to rising manufacturing capacity.
