The global recycled carbon fiber market accounted for US$ 122 Mn in 2020 and is expected to reach US$ 291 Mn by 2028 with a considerable CAGR of 11.9% during the forecast period of 2021 to 2028.
Carbon fiber is five-times stronger and twice-as-stiff polymer as steel. Carbon fiber is also lighter, making it an ideal production material for a variety of items. Carbon fibers are increasingly being employed in automotive, industrial, sporting goods, and other applications due to their high strength and lightweight. Also, it is believed that roughly 30% of carbon fiber generated is wasted. As a result, carbon fiber recycling took place to meet the increased demand for carbon fiber while also saving around 1/3 of the carbon fiber trash. Many companies around the world have already begun recycling carbon fiber using a method known as pyrolysis.
Market Growth Drivers:
|Recycled Carbon Fiber Market
|Market Size 2020
|US$ 122 Mn
|Market Forecast 2028
|US$ 291 Mn
|11.9% During 2021 - 2028
|2017 - 2028
|2021 - 2028
|By Type, By Source, By End-Use Industry and By Geography
|North America, Europe, Asia Pacific, Latin America, and Middle East & Africa
|Key Companies Profiled
Alpha Recyclage Composites, Carbon Fiber Recycling, Inc., Carbon Conversions Inc, ELG Carbon Fibre Ltd, Karborek Recycling Carbon Fibers, Procotex Corporation SA, Toray Industries, Inc., SGL Carbon SE, Shocker Composites LLC, and Vartega Inc.
|Market Trends, Drivers, Restraints, Competitive Analysis, Player Profiling, Regulation Analysis
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Covid-19 Impact on the Global Recycled Carbon Fiber Industry
The recycled carbon fiber industry has a significant negative impact in 2020 and climbed slowly in 2021 due to the COVID-19 pandemic. Because of a lack of workforce and transportation access, the global pandemic has had an impact on production, demand, suppliers, and a variety of other factors. This has resulted in a decline in recycled carbon fiber production capacity. Aerospace, automotive, and many other end-use industries have all ceased production. Overall, the growth rate of the recycled carbon fiber market has slowed. However, the ongoing efforts of key players have aided the global market in gradually recovering from the pandemic situation.
Growing government regulations for material reuse and recyclability are the primary drivers of the global recycled carbon fiber market. Numerous countries such as the US, China, Japan, and India have moved towards the use of recycled carbon fiber in their automotive and aerospace industries. In addition, regulations imposed by regulatory agencies such as the US Environmental Protection Agency (EPA) and the European Union (EU) to reduce carbon emissions have increased demand for environmentally friendly and lightweight materials. Moreover, the EU legislation establishes required emission cutback goal for new cars in order to increase fuel economy and CO2 emissions. Therefore, the market is experiencing a huge demand on account of strict environmental guidelines. Besides, growing partnerships between companies to supply of carbon fiber reinforced plastic (CFRP) products is expected to boost the demand of recycled carbon fiber market. For instance, Teijin Limited has announced to form incorporation with Fuji Design Co., Ltd., a Japanese recycler of carbon fibers, to create a business structure for the production, supply, and commercialization of carbon fiber reinforced plastic (CFRP) products produced from recycled carbon fibers using a low-impact process on environment.
Recycling carbon-fiber composites has two key advantages: it minimizes the quantity of material that ends up in landfills and saves manufacturers 30 percent on new carbon fiber. Automotive parts made of recycled carbon fiber are more cost-effective. Recycled carbon polymers are increasingly being used in the automotive and transportation industries owing to their lightweight and rigid character, which is driving up the industry demand. Developed countries such as the United States, Germany, and Japan are emphasizing the use of environmentally friendly products in a variety of end-use industries. For example, the European Union has directed that 85 percent of automobile vehicles be composed of recyclable materials.
However, the absence of technological know-how in the manufacture of recycled carbon fiber is a big roadblock in the market. There isn't enough information to compare the quality of recycled carbon fiber to virgin carbon fiber. On the other hand, design consistency, process standardization, and maintenance are some of the significant difficulties that the industry encounters when producing recycled carbon fiber. Furthermore, for a brief period of time, the COVID-19 pandemic has also hampered the market's growth. Conversely, rising technological up-gradation and investments in the industry is likely to create numerous growth prospects for the market in the coming years. Hexcel Corporation, for example, recently announced a strategic investment in Carbon Conversions Incorporated (CCI). Hexcel, a renowned leader in carbon fiber recycling and repurposing, have formed collaboration as a result of the investment. The investment expands Hexcel's range of next-generation, advanced composite technologies for aerospace and industrial applications, resulting in increased material performance and light weighting.
The global recycled carbon fiber industry is segmented on the basis of type, source, end-use industry, and geography.
Market By Type
Among types, the chopped recycled carbon fiber accumulated a maximum market share in 2020 and is likely to continue its trend throughout the forecast period 2021 – 2028. The segment has seen rapid growth due to its high-performance qualities, including high strength and modulus, superior electrical conductivity, reduced thermal expansion, low density, and dimensional stability. It's suitable for high and low temperature applications, as well as the production of electrically conductive supplies. Furthermore, milled recycled carbon fiber is expected to grow at a significant rate throughout the projected period of 2021–2028.
Market By Source
The aerospace scrap segment generated the largest revenue in 2020. Other sources of recovered carbon fiber include manufacturing trash, tennis racket scrap, and trail bike scrap; however, the majority of the recycled carbon fiber market is accounted for by the aerospace scrap segment. Carbon fibers from aircraft composite trash can be recycled for environmental and economic reasons. By 2030, an estimated 6000 to 8000 commercial jets would have reached the end of their useful lives, with the high-grade carbon fiber components onboard being recycled. Meanwhile, the automotive scrap segment is expected to grow with a significant growth rate during the forecast period 2021 – 2028.
Market By End-Use Industry
Based on the end-use industry, the automotive & transportation industry segment is expected to lead the market with the majority of the share during the forecast period 2021 – 2028. Recycled carbon fiber from the automotive and transportation industries is widely used in the industrial, aerospace and defense, sporting goods, consumer goods, marine, and other end-use industries. Toray Industries Inc., Carbon Conversions Inc., ELG Carbon Fibre Ltd., Vartega Inc., and Shocker Composites LLC., are just a few of the companies that source fibers from the transportation and automotive industries.
Recycled Carbon Fiber Market Regional Overview
Middle East & Africa
Growing demand from the fast-growing automotive & transportation industry fuels the Europe market
Among the regions, Europe dominated the largest market share in 2020. Governments of various countries in Europe are highly focused on the use of eco-friendly products as well as the existence of a considerable number automobile OEMs in the region such as Audi, BMW, Mercedes-Benz, and Volkswagen is driving the growth of the Europe recycled carbon fiber market. Additionally, the presence of established car manufacturers is likely to boost the consumption of recycled carbon fibers in the region during the predicted years. Furthermore, the Asia-Pacific region is expected to attain the fastest growth rate during the forecast period 2021 – 2028. Increasing economic conditions and rapid industrialization in growth-centric countries such as India, Malaysia, and South Korea is the primary factor driving the demand for Asia-Pacific recycled carbon fiber market.
This section of the research identifies a number of significant market players. Some of the prominent vendors offered in the report include Alpha Recyclage Composites, Carbon Fiber Recycling, Inc., Carbon Conversions Inc, ELG Carbon Fibre Ltd, Karborek Recycling Carbon Fibers, Procotex Corporation SA, Toray Industries, Inc., SGL Carbon SE, Shocker Composites LLC, and Vartega Inc.
The estimated value of global recycled carbon fiber market in 2020 was accounted to be US$ 122 Mn and market projected to reach US$ 291 by 2028
The projected CAGR of recycled carbon fiber market during the analysis period of 2021 to 2028 is 11.9%
The prominent players of the global recycled carbon fiber market involve include Alpha Recyclage Composites, Carbon Fiber Recycling, Inc., Carbon Conversions Inc, ELG Carbon Fibre Ltd, Karborek Recycling Carbon Fibers, Procotex Corporation SA, Toray Industries, Inc., SGL Carbon SE, Shocker Composites LLC, and Vartega Inc.
Europe held the dominating share for recycled carbon fiber during the analysis period of 2021 to 2028
Asia-Pacific region exhibited fastest growing CAGR for recycled carbon fiber during the analysis period of 2021 to 2028
Globally imposed strict government rules for the use of eco-friendly products, increasing demand for high-performance materials, and increasing applications of recyclable materials in automotive and transportation industries are the prominent factors that fuel the growth of global recycled carbon fiber market
Based on type, chopped recycled carbon fiber segment held the maximum share for recycled carbon fiber market in 2020