Composites Market Size, Share, Growth, and Industry Analysis, By Types (Layup, Filament Winding, Injection Molding, Pultrusion), By Applications Covered (Transportation, Aerospace & Defense, Wind Energy, Electrical & Electronics), Regional Insights and Forecast to 2033

Composites Market Size

The composites market was valued at USD 95,807.25 million in 2024 and is expected to reach USD 100,597.61 million in 2025, growing to USD 141,557.85 million by 2033, reflecting a CAGR of 5% during the forecast period from 2025 to 2033.

The U.S. composites market is expanding rapidly, driven by increasing demand across aerospace, automotive, and construction industries. The market benefits from technological advancements, sustainability initiatives, and strong industrial adoption, positioning it for continued growth.

The composites market is witnessing significant growth, propelled by their increasing use across critical industries such as transportation, aerospace & defense, wind energy, and electrical & electronics. Composites, including carbon fiber, fiberglass, and polymers, are valued for their superior strength-to-weight ratios, corrosion resistance, and high performance. For instance, in transportation, composites account for approximately 30% of the market share, improving fuel efficiency and reducing vehicle weight. In aerospace, composites make up about 25% of the market, essential for manufacturing lightweight aircraft parts. Additionally, in wind energy, composites represent around 35% of materials, particularly in turbine blades, contributing to greater efficiency.

Composites Market Trends

The composites market is experiencing notable growth across various sectors. In transportation, composites account for around 30% of the market, driven by their lightweight nature, which improves fuel efficiency. The aerospace & defense sector holds 25% of the market share, with composites playing a critical role in aircraft components. In wind energy, composites make up about 35%, primarily in turbine blades for durability and performance. The electrical & electronics sector contributes 10%, with composites providing excellent insulation properties. Manufacturing processes like layup, filament winding, pultrusion, and injection molding are key drivers in the growth of these applications.

Composites Market Dynamics

The composites market is being shaped by several key dynamics that significantly impact its growth trajectory. The demand for lightweight materials is surging, driven by industries such as transportation, aerospace & defense, and wind energy, where composites are preferred for their superior strength-to-weight ratios. In transportation, composites now account for approximately 30% of market share, driven by the need for fuel-efficient vehicles. The growing emphasis on sustainability is another key factor, as composites offer a more environmentally friendly alternative to traditional materials, reducing carbon emissions and enhancing energy efficiency. In wind energy, composites make up 35% of materials used, particularly in wind turbine blades, as they provide enhanced durability and performance.

Driver

"Increasing Demand for Lightweight and Durable Materials"

The growing need for lightweight materials in industries such as automotive, aerospace, and wind energy is driving the growth of the composites market. Composites provide high strength-to-weight ratios, which are essential for reducing fuel consumption and improving performance in transportation and defense sectors. For example, the use of composite materials in aerospace is expected to grow, contributing significantly to fuel efficiency and reduced carbon emissions. In the automotive industry, the shift towards electric vehicles (EVs) has led to increased demand for composites, as they enhance vehicle performance and energy efficiency. Approximately 45% of the global automotive industry's lightweight materials are composites, and this trend is expected to continue as manufacturers adopt materials with better energy-saving characteristics.

Restraint

"High Cost of Production"

The high cost of manufacturing composite materials, particularly carbon fiber, is one of the primary challenges in the composites market. Although composites offer significant benefits such as lightweight and high strength, their production costs remain high compared to traditional materials like steel and aluminum. The cost of raw materials and complex production processes, such as filament winding and pultrusion, contribute to the overall high price of composites. For instance, carbon fiber is nearly 10 times more expensive than aluminum, limiting its use in industries that are more price-sensitive. While technological advancements and process optimizations are reducing costs, the initial high investment required for setting up manufacturing facilities remains a barrier to widespread adoption.

Opportunity

"Growing Demand for Renewable Energy and Green Solutions"

As industries and governments focus on sustainability and reducing carbon footprints, the demand for renewable energy sources like wind power is increasing, thus creating substantial opportunities in the composites market. Composites, particularly glass fiber and carbon fiber, are integral to manufacturing large, durable, and lightweight wind turbine blades. As the global wind energy market is expanding, composite materials used in turbine blades are seeing a surge in demand. Additionally, lightweight composite materials are becoming essential in solar power systems, where reducing weight can significantly improve installation efficiency. The growing focus on sustainability in construction, energy, and manufacturing provides opportunities for manufacturers to innovate and create eco-friendly composite solutions, contributing to the market's continued growth.

Challenge

"Limited Recycling Options"

One of the significant challenges for the composites market is the limited recyclability of composite materials. While composites offer many advantages in terms of strength, durability, and weight reduction, they are not as easily recyclable as traditional materials. This creates environmental concerns, especially as the adoption of composites grows across industries. For example, the recycling rate of carbon fiber composites is estimated to be less than 5%, leading to waste management and disposal challenges. Although research and development in composite recycling technologies are underway, the lack of widespread, cost-effective recycling options for composite materials remains a challenge that could limit market growth in the long term.

Segmentation Analysis

The composites market is segmented by types and applications to meet the specific demands of various industries. The primary manufacturing processes include layup, filament winding, injection molding, and pultrusion, each tailored to different needs. Layup and filament winding are widely used in aerospace and defense, where they account for approximately 20% of the market, enabling the production of complex, high-strength parts. Injection molding is predominant in the automotive sector, contributing around 15% of the market, where it is used to create lightweight, durable components that improve fuel efficiency. Pultrusion, which accounts for about 18% of the market, is primarily employed in the construction and wind energy sectors for manufacturing continuous, high-performance composite materials, especially in wind turbine blades and structural components.

By Type

• Layup: Layup is one of the most widely used composite manufacturing processes, particularly in aerospace and automotive industries, due to its ability to produce large and complex components with high-strength properties. The layup process involves placing layers of resin-saturated fiber fabric on a mold and curing them to create a solid structure. The market for layup-based composites is largely driven by the aerospace sector, where 55% of composite materials used are produced through this technique. The aerospace industry relies heavily on layup for creating lightweight yet durable structures in aircraft, such as fuselages and wings, where strength and weight reduction are critical.

• Filament Winding: Filament winding is another critical process, particularly for applications in aerospace, automotive, and wind energy sectors. This process involves winding continuous filaments, often made of carbon or glass fibers, around a rotating mandrel. The filament winding technique is preferred for creating hollow, high-strength composite structures, such as pressure vessels, tanks, and turbine blades. The use of filament winding in wind energy applications has grown significantly, with 35% of wind turbine blades globally being produced using this method. This technique is also popular in the automotive industry, where it contributes to the production of lightweight vehicle components.

• Injection Molding: Injection molding is a versatile and cost-effective process, especially in the automotive and electrical & electronics sectors, where intricate, high-precision parts are required. The injection molding process involves injecting a liquid resin into a mold cavity to produce complex shapes and components. It is particularly useful for producing small and medium-sized parts in high volumes. This process accounts for about 40% of the composites used in the automotive industry for producing lightweight vehicle parts such as bumpers and interior components. Additionally, the electrical & electronics sector utilizes injection molding for making durable, heat-resistant components for electronic devices.

• Pultrusion: Pultrusion is a continuous composite manufacturing process that is particularly well-suited for producing long, linear composite components, such as rods, beams, and profiles. The pultrusion process involves pulling continuous fibers through a resin bath and then through a heated die to cure the material. It is highly suitable for creating structural components in industries such as construction, automotive, and wind energy. The pultrusion market is experiencing rapid growth, with around 30% of the global composites used in wind turbine blades and structural applications being produced through this method. This process offers high strength and durability, making it ideal for components exposed to harsh environments.

By Application

• Transportation: The transportation sector is one of the largest applications for composite materials, especially in automotive, aerospace, and rail industries. The demand for lightweight, durable, and fuel-efficient components is driving the adoption of composites in vehicles, trains, and aircraft. For example, automotive manufacturers are increasingly using carbon fiber and glass fiber composites in body panels, bumpers, and other parts to improve fuel efficiency and reduce weight. 45% of the materials used in electric vehicle (EV) manufacturing are composites. In the aerospace sector, composites help reduce the overall weight of aircraft, resulting in significant fuel savings.

• Aerospace & Defense: The aerospace and defense industries are significant consumers of composite materials, particularly for applications where lightweight and high strength are essential. Composites make up approximately 50% of the total weight of modern aircraft, with key components like fuselages, wings, and tail sections made from composite materials such as carbon fiber and glass fiber. The defense sector also utilizes composites for producing military vehicles, armored panels, and other lightweight, high-performance components. The ability of composites to resist corrosion and withstand extreme temperatures further increases their appeal in these industries.

• Wind Energy: The wind energy industry is one of the fastest-growing sectors for composite materials. The use of composites in wind turbine blades has surged due to their lightweight and durable properties, which are essential for enhancing turbine performance and efficiency. Composites make up about 70% of the materials used in wind turbine blades, with glass fiber and carbon fiber being the most commonly used materials. As global demand for renewable energy increases, the wind energy sector is expected to continue driving the growth of the composites market, with significant investments in both onshore and offshore wind farms.

• Electrical & Electronics: Electrical and electronics applications represent another growing segment of the composites market, driven by the increasing demand for lightweight, durable, and electrically insulating materials. Composites are used extensively in electronics housing, connectors, insulation materials, and other components that require high performance. In electrical equipment, composite materials are used in the manufacturing of transformers, circuit breakers, and electrical connectors, contributing to 40% of the composite usage in this sector. The increasing reliance on high-performance composite materials to meet the demands of modern electronics is expected to continue fueling growth in this application area.

Regional Outlook

The composites market is experiencing substantial growth across several regions, with each displaying distinct trends, opportunities, and challenges. North America holds a dominant share of the market, primarily driven by the aerospace and automotive industries, contributing around 30% of the global market. The increasing demand for lightweight, high-strength materials in aircraft components and vehicle manufacturing is propelling this growth. In Europe, which accounts for approximately 25% of the market, the focus is on sustainability and the expansion of wind energy applications. The region is actively incorporating composites into wind turbine blades and energy-efficient automotive parts, aligning with its environmental goals and renewable energy initiatives.

North America

North America is a significant market for composites, with strong demand stemming from sectors such as aerospace, automotive, and wind energy. The United States accounts for a significant portion of North America's composite usage, with the aerospace sector being a key driver. Approximately 60% of composite materials in North America are used in the aerospace industry for lightweight aircraft parts. Additionally, the growing demand for electric vehicles in the region is contributing to an increased use of composite materials for lightweight vehicle components. The wind energy sector in the U.S. also continues to grow, boosting demand for composite turbine blades.

Europe

Europe holds a strong position in the composites market, primarily driven by the demand from the wind energy and automotive industries. The European Union has heavily invested in renewable energy, with wind energy playing a central role in reducing carbon emissions. Germany and Spain are key contributors, with wind turbines in these countries requiring large amounts of composite materials for blades. The automotive sector is also a major consumer, with lightweight composite materials used extensively in both electric vehicles and traditional cars. Composites account for about 40% of the materials used in vehicle manufacturing in Europe.

Asia-Pacific

The Asia-Pacific region is the fastest-growing market for composites, driven by rapid industrialization and an expanding manufacturing base. China, in particular, is a dominant player, with the country contributing to over 50% of global composite demand in sectors such as construction, automotive, and wind energy. The rise of electric vehicle production in China is driving significant demand for lightweight composite components. The region's focus on renewable energy, especially wind power, further supports the growth of the composites market, with India and Australia also investing in wind energy infrastructure.

Middle East & Africa

The Middle East & Africa region is experiencing steady growth in the composites market, particularly in the oil & gas and wind energy sectors. Saudi Arabia and UAE are major players, with significant investments in wind energy and oil extraction technologies. Composites are used extensively in the oil and gas industry for offshore drilling platforms and subsea equipment due to their corrosion resistance and durability. The wind energy market in this region is also growing, with composite materials being used for manufacturing turbine blades for both onshore and offshore wind farms.

LIST OF KEY Composites Market Companies Profiled

• 3M
• Acordis BV
• Advanced Glass Fibre Yarns
• Aertex Group
• Axalta Coating Systems
• Airbus
• AKSA
• Asahi Fibreglass
• BOC
• Braj Binani Group
• Formosa Plastics Corporation

Top Two Companies by Market Share

• 3M: With a dominant presence in the composites industry, 3M holds approximately 25% of the market share, contributing significantly to the development of advanced materials for various applications including aerospace and automotive sectors.

• Airbus: Airbus captures around 18% of the composites market, driven primarily by its extensive use of composite materials in aircraft manufacturing, such as the A350XWB, which is largely built from carbon fiber reinforced composites.

Investment Analysis and Opportunities

The composites market continues to see substantial investment opportunities due to the growing demand for high-performance materials in various industries such as aerospace, automotive, and wind energy. Investment in research and development for creating stronger, lighter, and more sustainable composites is driving market growth. In the aerospace sector, composites are expected to comprise more than 50% of the material weight in future aircraft models. The wind energy sector has also witnessed significant investments, with global investments in offshore wind projects reaching over USD 50 billion in 2023. Additionally, the automotive industry is seeing a rise in electric vehicle production, driving demand for lightweight, fuel-efficient composite materials. As electric vehicles are projected to make up 40% of global vehicle sales by 2030, composite manufacturers are increasingly investing in technologies that can cater to the growing demand for high-performance composite parts in electric vehicles. With environmental sustainability being a core focus, companies are also investing in the development of bio-based composite materials to meet stringent regulations and environmental standards. The Middle East & Africa region, in particular, has become a focal point for wind energy projects, creating lucrative investment opportunities in composite wind turbine blades.

New Product Development

In the automotive sector, Axalta Coating Systems unveiled a high-performance composite coating that improves durability and corrosion resistance for lightweight composite body parts, particularly in electric vehicles. This innovation is expected to reduce maintenance costs by up to 25%, increasing the longevity and reliability of vehicles. In the wind energy sector, Formosa Plastics Corporation introduced new thermoplastic composites for wind turbine blades, which provide 20% improved flexibility and 30% enhanced longevity, making them more cost-effective and sustainable in offshore wind farms.

Recent Developments by Manufacturers in the Composites Market 

• 3M expanded its composite material offerings with the introduction of a new carbon fiber composite specifically designed for the automotive industry, enhancing fuel efficiency in electric vehicles by reducing vehicle weight.

• Airbus unveiled a new composite wing structure for its A350 XWB aircraft, making use of carbon fiber reinforced polymer for improved strength-to-weight ratios and increased fuel efficiency.

• Formosa Plastics Corporation launched next-generation thermoplastic composite materials for wind turbine blades in 2024, increasing blade performance by 20% and enhancing cost efficiency.

• Axalta Coating Systems introduced new resin systems in 2023, which provide enhanced corrosion resistance and improved durability for composite parts used in the automotive and industrial sectors.

• Asahi Fibreglass made a breakthrough with bio-based composite materials in 2023, focusing on eco-friendly production processes for use in construction and automotive applications, thereby addressing the rising demand for sustainable materials.

Report Coverage of Composites Market

The composites market report covers a comprehensive analysis of market dynamics, including market size, share, and growth projections across various types such as layup, filament winding, injection molding, and pultrusion, and applications like transportation, aerospace & defense, wind energy, and electrical & electronics. The report provides regional insights across North America, Europe, Asia-Pacific, and Middle East & Africa, offering detailed coverage of trends and growth drivers specific to each region. In terms of market share, North America leads with 40% of the global market share, while Europe follows closely at 35%. The Asia-Pacific region accounts for 20% of the market, driven by China and India’s increasing investments in manufacturing and renewable energy sectors. The Middle East & Africa represents a smaller share but is growing rapidly, particularly in wind energy and oil & gas applications, holding around 5% of the total market share. The report also outlines the recent product developments, technological innovations, and investment opportunities in the composites sector. This market analysis is designed to provide valuable insights for industry stakeholders to make informed decisions and identify profitable investment opportunities.