Recycled Carbon Fiber Market
Recycled Carbon Fiber Market
Recycled Carbon Fiber Market to Reach US$ 284.6 Mn by 2032, driven by shifting focus toward sustainability, advancement in research and development for recycling techniques, and increasing potential demand from additive manufacturing and 3D printing sector: Global Insight Services
New York, July 2023: According to a new research study by Global Insight Services (GIS), the global Recycled Carbon Fiber market is expected to grow rapidly over the next 10 years to reach a value of more than the US $ 284.6 Million by 2032.
Recycled carbon fiber is a material that is made from recycled carbon fiber waste. It is made by breaking down the carbon fiber waste into small pieces and then melting it down into a new form. The recycled carbon fiber can then be used to create new products.
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Recycled Carbon Fiber Market: Key Trends and Drivers
The Recycled Carbon Fiber Market is poised for substantial growth in the coming years, largely driven by the increasing emphasis on sustainable and environmentally responsible practices across industries. As the world grapples with the challenges of climate change and resource depletion, businesses are recognizing the urgent need to adopt eco-friendly solutions. Recycled carbon fiber offers a compelling opportunity for industries, such as automotive, aerospace, construction, and electronics, to reduce their carbon footprint and minimize waste generation. By diverting carbon fiber waste from landfills and incorporating it into new products, companies can significantly lower production costs while contributing to circular economy initiatives. Moreover, the growing demand for lightweight and high-strength materials further amplifies the market’s potential, as recycled carbon fiber possesses excellent mechanical properties. As regulatory bodies and consumers increasingly demand sustainable practices, the Recycled Carbon Fiber Market is expected to thrive, fostering a greener and more resilient industrial landscape..
Recycled Carbon Fiber Market: Restraints & Challenges
One of the significant restraint of the Recycled Carbon Fiber Market is the complex and costly process of recycling carbon fiber materials. Carbon fiber is known for its high strength-to-weight ratio, making it a crucial component in various industries, including aerospace, automotive, and sporting goods. However, recycling carbon fiber involves breaking down the composite structures, removing impurities, and regenerating usable fibers, which demands advanced technologies and significant energy consumption. The intricate recycling process leads to higher production costs, limiting the market’s growth and making it less competitive compared to conventional carbon fiber produced from virgin materials. Additionally, the quality of recycled carbon fiber may not always match that of newly manufactured carbon fiber, hindering its widespread adoption in high-performance applications and potentially deterring potential customers from fully embracing the recycled carbon fiber alternatives. Despite the environmental benefits associated with recycling, addressing these technical and economic challenges will be crucial to unlock the full potential of the Recycled Carbon Fiber Market.
Recycled Carbon Fiber Market Report Findings
The chopped recycled carbon fiber segment is likely to hold a dominant Recycled Carbon Fiber market share and grow at a substantial CAGR during the forecast period.
On the basis of type, it is segmented into Chopped Recycled Carbon Fiber and Milled Recycled Carbon Fiber. The Chopped Recycled Carbon Fiber segment is expected to grow at the significant CAGR during the forecast period. This surge can be attributed to a combination of factors, including increasing environmental consciousness, rising demand for sustainable materials in various industries, and advancements in recycling technologies. Chopped recycled carbon fiber offers an attractive alternative to traditional carbon fiber, as it reduces waste and carbon emissions, while still maintaining excellent mechanical properties. The automotive, aerospace, and construction sectors, among others, have embraced this eco-friendly solution for its cost-effectiveness and reduced environmental impact. As governments and industries continue to prioritize sustainability, the Chopped Recycled Carbon Fiber segment is expected to further flourish, contributing significantly to the overall growth of the Recycled Carbon Fiber Mark.
The automotive scrap segment is anticipated to hold a majority of the Recycled Carbon Fiber market size throughout the study period.
By Source, the industry is classified into Automotive Scrap, Aerospace Scrap, and Others. Among these automotive scrap segment accounted significant revenue share in 2022. As the automotive industry increasingly recognizes the environmental impact of traditional carbon fiber production and disposal, the demand for recycled carbon fiber from end-of-life vehicles and manufacturing waste has surged. Automotive manufacturers are keen on incorporating sustainable materials in their products, and recycled carbon fiber offers a compelling solution by providing comparable mechanical properties to virgin carbon fiber at a reduced cost and significantly lower carbon footprint. This growth trend is expected to continue as more automakers embrace circular economy principles and governments enforce stricter environmental regulations, driving the adoption of recycled carbon fiber in the automotive sector and contributing to a greener and more sustainable future for the industry.
The aerospace and defense segment is anticipated to hold a majority of the Recycled Carbon Fiber market size throughout the study period.
By End-use industry, Recycled Carbon Fiber Market has been segmented into Automotive, Aerospace and Defense, Wind Energy, Sporting Goods, and Other. During the forecast period, the aerospace and defense segment is expected to grow at the fastest CAGR in the market. The use of recycled carbon fiber has replaced aluminum in aircraft, resulting in improved fuel economy. By employing lightweight materials and structures, military aircraft can carry more fuel and payload, while commercial aircraft benefit from reduced greenhouse gas emissions and landfill waste. For example, the Boeing 787 was made 20% lighter, leading to a fuel economy increase of approximately 10% to 12%. In response to the significant problem of aircraft waste, the aerospace industry is increasingly adopting recycled carbon fiber. It is projected that around 6000-8000 aircraft will reach the end of their service life by 2030, presenting a potential source for carbon recycling in the industry.
Airbus has set an ambitious target to recycle 95% of its carbon fiber waste by 2020-2025, with 5% being reused in the aerospace sector. The demand for aircraft is on the rise, with Airbus receiving 771 gross orders in 2021, compared to 383 units in 2020. Forecasts indicate a need for 44,040 new jets valued at USD 6.8 trillion over the next two decades, driven by growing passenger volumes and increasing aircraft retirements. The global commercial fleet is estimated to reach 50,660 aircraft by 2038, considering both new deliveries and jets in service. According to the International Air Transport Association (IATA), the revenue of commercial airlines grew from USD 373 billion in 2020 to approximately USD 472 billion in 2021, registering a year-on-year growth rate of 26.7%. It was anticipated to reach USD 658 billion by the end of 2022. Boeing predicts that by 2040, the worldwide commercial fleet will surpass 49,000 planes, with major markets like China, Europe, North America, and the Asia-Pacific countries accounting for approximately 20% of new plane deliveries each, while the remaining 20% will go to emerging markets. Considering all these factors, the global market for recycled carbon fiber is expected to grow significantly during the forecast period.
The North America region is estimated to exhibit the highest growth rate during the Recycled Carbon Fiber market forecast period.
Region-wise, it is studied across North America, Europe, Asia Pacific, and the Rest of the World. The North America is home to some of the growing economies, and it is also a technologically advanced economy. The North American region is set to maintain its market dominance, primarily led by the United States, which boasts the largest economy in terms of GDP. Both the United States and Canada are considered among the world’s fastest-growing economies.
The market’s growth in North America is being strongly influenced by the thriving automotive and aerospace industries. Several factors contribute to this growth, including strategic advancements, the presence of established car manufacturers and leading recycled carbon fiber producers, as well as continuous technological advancements in recycled carbon fiber products. The United States, in particular, stands out as the primary consumer of recycled carbon fiber in the region, with major corporations relying on it extensively. The increased demand for lightweight materials in the automotive and aerospace sectors to reduce vehicle weight has further accelerated the utilization of recycled carbon fiber in these industries. For the aerospace industry, the United States witnessed a temporary decline in the commercial fleet’s number of aircraft in 2020, as reported by the Federal Aviation Administration (FAA). However, there is a promising projection of growth, with the commercial fleet expected to reach 8,756 aircraft by 2041, experiencing an average annual growth rate of 2%. This growth trajectory is expected to fuel the demand for carbon fiber across various applications in the aerospace sector.
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The key players in the Recycled Carbon Fiber Market are as Toray Industries, Inc. (Japan), SGL Carbon SE (Germany), ELG Carbon Fiber Ltd. (England), Procotex Corporation SA (Belgium) , Karborek Recycling Carbon Fibers (Italy), Vartega Inc. (US), Carbon Conversions Inc (US), Carbon Fiber Recycling, Inc. (Japan), and Shocker Composites LLC (US), among others.
Recent Developments in the Recycled Carbon Fiber Market:
- In August 2022, Vartega announced the expansion of its 50,000-square-foot manufacturing facility with a planned capacity of 2,000 metric tons per year. The company has expanded its production capacity ten times more than the previous capacity.
- In May 2022, Gen 2 Carbon Limited established a strategic alliance with Deakin University to promote the development of carbon fiber recycling in Australia. The company expanded its conversion capabilities and extended its sales to reach new regions.
Recycled Carbon Fiber Market Report Coverage
- The report offers a comprehensive quantitative as well as qualitative analysis of the current Recycled Carbon Fiber outlook and estimations from 2022 to 2032, which helps to recognize the prevalent opportunities.
- The report also covers qualitative as well as quantitative analysis of the Recycled Carbon Fiber Market in terms of revenue ($Million).
- Major players in the market are profiled in this report and their key developmental strategies are studied in detail. This will provide an insight into the competitive landscape of the Recycled Carbon Fiber industry.
- A thorough analysis of market trends and restraints is provided.
- By region as well as country market analysis is also presented in this report.
- Analytical depiction of the Recycled Carbon Fiber along with the current trends and future estimations to depict imminent investment pockets. The overall Recycled Carbon Fiber industry opportunity is examined by understanding profitable trends to gain a stronger foothold.
- Porter’s five forces analysis, SWOT analysis, Pricing Analysis, Case Studies, COVID-19 impact analysis, Russia-Ukraine war impact, and PESTLE analysis of the Recycled Carbon Fiber are also analyzed.
Global Recycled Carbon Fiber Market Segmentation
- Chopped Recycled Carbon Fiber
- Milled Recycled Carbon Fiber
- Automotive Scrap
- Aerospace Scrap
- Other Sources
By End-use Industry
- Aerospace and Defense
- Wind Energy
- Sporting Goods
- North America
- The U.S.
- The UK
- Rest of Europe
- The Asia Pacific
- South Korea
- Rest of Asia-Pacific
- Rest of the World
- Latin America
- The Middle East
- Toray Industries, Inc. (Japan)
- SGL Carbon SE (Germany)
- ELG Carbon Fiber Ltd. (England)
- Procotex Corporation SA (Belgium)
- Karborek Recycling Carbon Fibers (Italy)
- Vartega Inc. (US)
- Carbon Conversions Inc (US)
- Carbon Fiber Recycling, Inc. (Japan)
- Shocker Composites LLC (US)