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US Carbon Fiber Automotive Market

ID: MRFR/CnM/11213-CR
100 Pages
Garvit Vyas
December 2023

US Carbon Fiber in Automotive Market Research Report Information By Application (Exterior, Chassis System, Interior, Pressure Vessel, Power Train System), By Material (Textile, Long Fiber Thermoplastic (LFT), Sheet Molding Compound (SMC), Short Fiber Thermoplastic (SFT)), And By Region (North America, Europe, Asia-Pacific, And Rest Of The World) – Market Forecast Till 2035.

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US Carbon Fiber Automotive Market Infographic
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US Carbon Fiber Automotive Market Summary

As per analysis, the US carbon fiber automotive market is projected to grow from USD 1.30 Billion in 2025 to USD 2.48 Billion by 2035, exhibiting a compound annual growth rate (CAGR) of 6.7% during the forecast period (2025 - 2035).

Key Market Trends & Highlights

The US carbon fiber automotive market is poised for substantial growth driven by technological advancements and increasing demand for lightweight materials.

  • The market experiences increased adoption of lightweight materials, particularly in structural components, which remain the largest segment.
  • Technological advancements in manufacturing processes are enhancing the efficiency and cost-effectiveness of carbon fiber production.
  • Sustainability and regulatory compliance are becoming critical factors influencing market dynamics, especially in passenger vehicles.
  • The growing demand for fuel efficiency and advancements in carbon fiber technology are key drivers propelling the market forward.

Market Size & Forecast

2024 Market Size 1.22 (USD Billion)
2035 Market Size 2.48 (USD Billion)
CAGR (2025 - 2035) 6.7%

Major Players

Toray Industries (JP), SGL Carbon (DE), Hexcel Corporation (US), Teijin Limited (JP), Mitsubishi Chemical Corporation (JP), Zoltek Companies (US), Cytec Solvay Group (BE), Formosa Plastics Corporation (TW), BASF SE (DE)

US Carbon Fiber Automotive Market Trends

The US carbon fiber automotive market is currently experiencing a notable transformation, driven by advancements in material technology and increasing demand for lightweight vehicles. As manufacturers strive to enhance fuel efficiency and reduce emissions, carbon fiber emerges as a preferred material due to its high strength-to-weight ratio. This shift is not merely a trend but appears to be a fundamental change in how vehicles are designed and constructed. The automotive sector is increasingly recognizing the benefits of carbon fiber, which not only contributes to performance improvements but also aligns with regulatory pressures for sustainability. Moreover, the integration of carbon fiber into automotive applications is likely to expand as production techniques evolve. Innovations in manufacturing processes, such as automated fiber placement and resin transfer molding, are making it more feasible for automakers to incorporate carbon fiber into mass production. This evolution suggests a potential for broader adoption across various vehicle segments, including electric and hybrid models. As the US carbon fiber automotive market continues to mature, it may witness a convergence of technology and sustainability, ultimately reshaping consumer expectations and industry standards.

Increased Adoption of Lightweight Materials

The US carbon fiber automotive market is witnessing a growing trend towards the use of lightweight materials. This shift is primarily driven by the need for improved fuel efficiency and reduced emissions. Automakers are increasingly incorporating carbon fiber components into their designs to achieve these objectives, which may lead to enhanced vehicle performance and lower operational costs.

Technological Advancements in Manufacturing

Recent advancements in manufacturing technologies are significantly impacting the US carbon fiber automotive market. Innovations such as automated production processes and improved resin systems are making carbon fiber more accessible for automotive applications. These developments could facilitate the integration of carbon fiber into a wider range of vehicles, potentially transforming production methodologies.

Sustainability and Regulatory Compliance

Sustainability concerns are becoming increasingly prominent within the US carbon fiber automotive market. As regulatory bodies impose stricter emissions standards, automakers are compelled to adopt materials that contribute to lower environmental impact. Carbon fiber, with its lightweight properties, aligns well with these sustainability goals, suggesting a future where eco-friendly practices are integral to automotive design.

Market Segment Insights

By Application: Structural Components (Largest) vs. Body Panels (Fastest-Growing)

In the US carbon fiber automotive market, the application segment is diverse, featuring key components such as structural components, body panels, interior components, chassis, and drive shafts. Among these, structural components represent the largest share due to their critical role in enhancing vehicle safety and performance. In contrast, body panels have emerged as a fast-growing segment, increasingly favored for their lightweight properties and aesthetic appeal, driven by advancements in manufacturing processes and design innovation.

Structural Components (Dominant) vs. Body Panels (Emerging)

Structural components are essential in the vehicle framework, providing strength and rigidity while achieving weight reduction. Their dominance in the market is bolstered by stringent safety regulations and the automotive industry's need for enhanced performance and fuel efficiency. Body panels, while currently an emerging segment, are rapidly gaining traction as automotive manufacturers seek to combine style with functionality. The lightweight nature of carbon fiber allows for improved handling and efficiency, making body panels a preferred choice for innovative designs. As production technology evolves, the adoption of carbon fiber in body panels is set to accelerate, making this segment pivotal in future automotive design.

By End Use: Passenger Vehicles (Largest) vs. Electric Vehicles (Fastest-Growing)

In the US carbon fiber automotive market, the end-use segment showcases a diverse distribution of applications, with passenger vehicles representing the largest share due to their high volume of production and consumer demand. This category benefits from increasing preferences for lightweight materials, which help enhance fuel efficiency and performance. Conversely, electric vehicles are rapidly gaining traction, highlighting the evolving automotive landscape’s shift towards sustainability and advanced technology integration. The demand for carbon fiber in these vehicles is propelled by the need for lightweight components that can maximize battery efficiency and overall vehicle range. Growth trends within the end-use segment show a robust trajectory for electric vehicles, which are projected to lead the market in the coming years as manufacturers aim to meet strict emissions regulations and consumer preferences for greener alternatives. Innovations in carbon fiber production techniques and a growing focus on performance are further amplifying the appeal of high-performance and commercial vehicles. As the automotive industry transitions towards electrification, the integration of carbon fiber will play a crucial role in optimizing vehicle performance and reducing overall weight, essential for enhancing mileage and sustainability.

Passenger Vehicles (Dominant) vs. High-Performance Vehicles (Emerging)

Passenger vehicles dominate the US carbon fiber automotive market as they leverage the advantages of weight reduction, fuel efficiency, and agility. Manufacturers are increasingly incorporating carbon fiber into various components, such as body panels and structural reinforcements, to enhance performance while meeting consumer demands for safety and efficiency. Meanwhile, high-performance vehicles represent an emerging segment characterized by their unique blend of speed, design, and advanced engineering. These vehicles often utilize carbon fiber to achieve superior aerodynamic properties and lower overall weight, thus optimizing power-to-weight ratios. The growing trend towards motorsport and elite consumer segments is driving innovations in this category, further expanding the application of carbon fiber in high-performance automotive engineering.

By Manufacturing Process: Prepreg Layup (Largest) vs. Resin Transfer Molding (Fastest-Growing)

In the US carbon fiber automotive market, the manufacturing process segment showcases a diverse distribution of techniques, with Prepreg Layup holding the largest market share. This method is favored for its ability to produce high-strength, lightweight components that cater to the automotive industry's increasing demand for efficiency and performance. Following closely is Resin Transfer Molding, which is rapidly gaining traction due to its cost-effectiveness and the capability to create complex shapes. As automotive manufacturers strive to innovate, understanding these dynamics is essential.

Prepreg Layup (Dominant) vs. Resin Transfer Molding (Emerging)

Prepreg Layup stands out as the dominant manufacturing process within the US carbon fiber automotive market, primarily due to its superior mechanical properties and the quality of finished components. It requires meticulous preparation, making it ideal for high-performance automotive applications where weight savings and structural integrity are paramount. Conversely, Resin Transfer Molding is emerging as a competitively viable alternative, especially for mass production. It offers advantages in terms of speed and adaptability to various design specifications, allowing manufacturers to meet demands for quicker turnaround times in production while maintaining cost efficiency.

By Fiber Type: Continuous Fiber (Largest) vs. Hybrid Fiber (Fastest-Growing)

In the US carbon fiber automotive market, the segment distribution showcases Continuous Fiber as the largest segment due to its superior mechanical properties and performance. This high-performance fiber is extensively used in critical automotive components, ensuring optimal strength-to-weight ratios. In contrast, Chopped Fiber holds a smaller share of the market, primarily utilized for specific applications requiring flexibility and lower costs. The market is thus characterized by a significant preference for Continuous Fiber in high-end automotive applications, while Chopped Fiber serves niche requirements.

Fiber Types: Continuous Fiber (Dominant) vs. Hybrid Fiber (Emerging)

Continuous Fiber is the dominant player in the US carbon fiber automotive market, renowned for its structural integrity, which is crucial for high-performance vehicles. It finds applications in areas such as chassis and body panels, where strength and lightweight properties are paramount. In contrast, Hybrid Fiber is emerging as a viable alternative, combining the advantages of both continuous and chopped fibers to offer cost-effectiveness and versatility. Its growth can be attributed to increasing demand for sustainable practices in automotive manufacturing and innovations in material science, making it an attractive option for manufacturers looking to balance performance with price.

Get more detailed insights about US Carbon Fiber Automotive Market

Key Players and Competitive Insights

The carbon fiber automotive market is currently characterized by a dynamic competitive landscape, driven by technological advancements and a growing emphasis on lightweight materials to enhance fuel efficiency and performance. Key players such as Hexcel Corporation (US), Toray Industries (JP), and SGL Carbon (DE) are at the forefront, each adopting distinct strategies to solidify their market positions. Hexcel Corporation (US) focuses on innovation in composite materials, aiming to enhance the performance characteristics of carbon fiber products. Meanwhile, Toray Industries (JP) emphasizes sustainability, integrating eco-friendly practices into its production processes, which resonates well with the increasing demand for environmentally responsible automotive solutions. SGL Carbon (DE) is actively pursuing strategic partnerships to expand its market reach, indicating a trend towards collaborative efforts in the industry.

The business tactics employed by these companies reflect a concerted effort to optimize supply chains and localize manufacturing. The market structure appears moderately fragmented, with several players vying for market share while also collaborating on various projects. This competitive environment is shaped by the collective influence of these key players, who are increasingly focusing on enhancing operational efficiencies and reducing costs through innovative manufacturing techniques.

In November 2025, Hexcel Corporation (US) announced a significant investment in a new production facility aimed at increasing its carbon fiber output. This strategic move is expected to bolster its capacity to meet the rising demand from the automotive sector, particularly for electric vehicles (EVs), where lightweight materials are crucial for performance. The establishment of this facility not only enhances Hexcel's production capabilities but also positions the company as a leader in the sustainable materials space.

In October 2025, Toray Industries (JP) launched a new line of carbon fiber reinforced plastics designed specifically for automotive applications. This product line is anticipated to improve the durability and performance of vehicles while reducing overall weight. The introduction of these advanced materials aligns with the industry's shift towards more sustainable and efficient automotive solutions, potentially giving Toray a competitive edge in the market.

In September 2025, SGL Carbon (DE) entered into a strategic partnership with a leading automotive manufacturer to develop next-generation carbon fiber components. This collaboration is expected to leverage both companies' strengths in material science and automotive engineering, facilitating the creation of innovative products that meet the evolving needs of the market. Such partnerships are indicative of a broader trend towards collaboration in the industry, as companies seek to combine resources and expertise to drive innovation.

As of December 2025, the competitive trends in the carbon fiber automotive market are increasingly defined by digitalization, sustainability, and the integration of artificial intelligence (AI) in manufacturing processes. Strategic alliances are becoming more prevalent, as companies recognize the value of collaboration in navigating the complexities of the market. Looking ahead, it is likely that competitive differentiation will evolve, with a shift from price-based competition to a focus on innovation, technological advancements, and supply chain reliability. This transition underscores the importance of developing unique value propositions that resonate with the growing demand for sustainable and high-performance automotive solutions.

Key Companies in the US Carbon Fiber Automotive Market market include

Future Outlook

US Carbon Fiber Automotive Market Future Outlook

The US carbon fiber automotive market is projected to grow at a 6.7% CAGR from 2024 to 2035, driven by advancements in lightweight materials, fuel efficiency regulations, and increased electric vehicle production.

New opportunities lie in:

  • Development of carbon fiber recycling technologies for cost reduction
  • Integration of carbon fiber components in electric vehicle designs
  • Partnerships with automotive manufacturers for custom carbon fiber solutions

By 2035, the market is expected to be robust, driven by innovation and strategic partnerships.

Market Segmentation

US Carbon Fiber Automotive Market End Use Outlook

  • Passenger Vehicles
  • Commercial Vehicles
  • High-Performance Vehicles
  • Electric Vehicles

US Carbon Fiber Automotive Market Fiber Type Outlook

  • Continuous Fiber
  • Chopped Fiber
  • Hybrid Fiber

US Carbon Fiber Automotive Market Application Outlook

  • Structural Components
  • Body Panels
  • Interior Components
  • Chassis
  • Drive Shafts

US Carbon Fiber Automotive Market Manufacturing Process Outlook

  • Prepreg Layup
  • Resin Transfer Molding
  • Filament Winding
  • Pultrusion

Report Scope

MARKET SIZE 20241.22(USD Billion)
MARKET SIZE 20251.3(USD Billion)
MARKET SIZE 20352.48(USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR)6.7% (2024 - 2035)
REPORT COVERAGERevenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR2024
Market Forecast Period2025 - 2035
Historical Data2019 - 2024
Market Forecast UnitsUSD Billion
Key Companies ProfiledToray Industries (JP), SGL Carbon (DE), Hexcel Corporation (US), Teijin Limited (JP), Mitsubishi Chemical Corporation (JP), Zoltek Companies (US), Cytec Solvay Group (BE), Formosa Plastics Corporation (TW), BASF SE (DE)
Segments CoveredApplication, End Use, Manufacturing Process, Fiber Type
Key Market OpportunitiesGrowing demand for lightweight materials enhances opportunities in the US carbon fiber automotive market.
Key Market DynamicsRising demand for lightweight materials drives innovation and competition in the US carbon fiber automotive market.
Countries CoveredUS

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FAQs

What is the expected market size of the US Carbon Fiber Automotive Market in 2024?

The US Carbon Fiber Automotive Market is expected to be valued at 1.3 billion USD in 2024.

What is the projected market size for the US Carbon Fiber Automotive Market by 2035?

By 2035, the US Carbon Fiber Automotive Market is expected to reach a valuation of 2.65 billion USD.

What is the compound annual growth rate (CAGR) for the US Carbon Fiber Automotive Market from 2025 to 2035?

The expected CAGR for the US Carbon Fiber Automotive Market from 2025 to 2035 is 6.706%.

Which application segment holds the highest value in the US Carbon Fiber Automotive Market in 2024?

In 2024, the 'Exterior' application segment is projected to hold the highest value at 0.45 billion USD.

What is the projected value of the Chassis System application in the US Carbon Fiber Automotive Market by 2035?

The Chassis System application is expected to attain a value of 0.53 billion USD by 2035.

Who are the major players in the US Carbon Fiber Automotive Market?

Key players in the market include DOWA Holdings, Hexcel Corporation, and Toray Industries among others.

What is the expected value of the Interior application segment in the US Carbon Fiber Automotive Market by 2035?

The Interior application segment is anticipated to reach a value of 0.37 billion USD by 2035.

What is the projected market size of the Power Train System application in 2024?

The Power Train System application is projected to be valued at 0.24 billion USD in 2024.

What challenges might impact the growth of the US Carbon Fiber Automotive Market?

Challenges may include fluctuations in raw material costs and competition from alternative materials.

How does the US Carbon Fiber Automotive Market value in 2024 compare with its future prospects in 2035?

The market is expected to grow from 1.3 billion USD in 2024 to 2.65 billion USD by 2035, indicating significant growth potential.

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