Carbon Composites Market Report 2026

The carbon composites market size has grown strongly in recent years. It will grow from $21.71 billion in 2025 to $23.2 billion in 2026 at a compound annual growth rate (CAGR) of 6.8%. The growth in the historic period can be attributed to aerospace material innovation, demand for fuel efficient vehicles, growth in sports equipment manufacturing, high strength material requirements, early adoption in defense applications.

The carbon composites market size is expected to see strong growth in the next few years. It will grow to $30.16 billion in 2030 at a compound annual growth rate (CAGR) of 6.8%. The growth in the forecast period can be attributed to electric vehicle lightweighting needs, wind energy blade expansion, recycled carbon fiber commercialization, industrial automation adoption, cost reduction in composite manufacturing. Major trends in the forecast period include rising adoption of lightweight structural materials, increasing use in electric vehicle platforms, growing demand for high strength aerospace components, expansion of recycled carbon fiber usage, advancements in high performance composite processing.

The growth of the automotive industry is anticipated to fuel the expansion of the carbon composites market in the future. The automotive industry encompasses the sector responsible for designing, developing, manufacturing, and selling motor vehicles. This industry's expansion is driven by rising global demand for personal mobility and significant advancements in electric vehicle (EV) technologies. Carbon composites aid the automotive industry by reducing vehicle weight, enhancing fuel efficiency, improving performance, and lowering emissions while maintaining strength and durability. For example, in February 2024, the Society of Motor Manufacturers and Traders, a UK-based trade association, reported a 21% surge in British car manufacturing output, reaching 82,997 units in January 2024. Export volumes grew by 11.6%, while electrified vehicle production rose by 4.5% to 29,590 units. As a result, the automotive industry's expansion is contributing to the growth of the carbon composites market.

Key companies in the carbon composites market are focusing on developing advanced materials, such as carbon fiber-based heat-resistant ceramic matrix composites, to improve performance and durability in extreme environments. Carbon fiber-based ceramic matrix composites (CMCs) are cutting-edge materials that combine the high strength and stiffness of carbon fibers with the thermal and chemical stability of ceramic matrices. For instance, in February 2024, Mitsubishi Chemical Group, a Japanese chemical corporation, introduced a highly heat-resistant ceramic matrix composite (CMC) capable of withstanding temperatures up to 1,500 °C. This material utilizes pitch-based carbon fibers rather than traditional ceramic fibers and retains its strength even after extended exposure to high heat, making it suitable for aerospace applications, particularly in reusable space transportation systems.

In October 2023, Mitsubishi Chemical Group acquired C.P.C. Group for an undisclosed sum. Through this acquisition, Mitsubishi Chemical aims to bolster its vertically integrated carbon fiber supply chain, strengthen its capabilities in the automotive parts industry, and offer comprehensive solutions by leveraging C.P.C.'s expertise in manufacturing and distributing carbon fiber composite components. C.P.C. Group, based in Italy, specializes in carbon fiber-reinforced plastic (CFRP) components for the automotive sector, which will drive innovation and efficiency in the carbon composites market.

Major companies operating in the carbon composites market are Northrop Grumman Corporation, Mitsubishi Chemical Holdings Corporation, 3M Company, Toray Industries Inc., Solvay S.A., Teijin Limited, GKN Aerospace Services Limited, Zhongfu Shenying Carbon Fiber Co Ltd., Epsilon Composite SAS, Hexcel Corporation, TPI Composites Inc., Freudenberg Performance Materials, Kordsa Global, SGL Carbon SE, Rockman Industries Limited, Hexagon Composites, SAERTEX GmbH and Co. KG, CFC Carbon Co Ltd., Toyo Tanso Co Ltd., Advanced Composites Inc, Dowaksa Advanced Composites, China Composites Group Corporation Ltd, Carbon Composites Inc.

Asia-Pacific was the largest region in the carbon composites market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the carbon composites market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the carbon composites market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The carbon composites market consists of sales of carbon fiber prepregs, carbon fiber fabrics, carbon composite panels, and carbon composite laminates. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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