Canada Automotive Carbon Fiber Composites Market Size

Canada Automotive Carbon Fiber Composites Market Analysis

The Canada Automotive Carbon Fiber Composites Market size in terms of Equal-10.5 is expected to grow from USD 1.33 billion in 2024 to USD 2.32 billion by 2029, at a CAGR of 10.5% during the forecast period (2024-2029).

Carbon fiber is a lightweight material with high-strength characteristics that can be designed for enhanced performance in automotive applications. It offers improvement in structural, functional, or cosmetic properties. To make vehicles lighter, cleaner, safer, and more cost-effective, the leading carbon fiber suppliers are responding to the needs and expectations of the vehicle OEMs, system suppliers, and customers.

Carbon fiber components will not only make EVs lighter and more aerodynamic but will also help improve the battery life and range of travel. If it can be mass-produced, then the EV market will translate into substantial job opportunities directly and indirectly. The people are thrilled about the widespread adoption of electric vehicles (EVs) as a mode of transportation. This shift will significantly impact India's sustainability efforts by reducing environmental damage and decreasing the country's reliance on imported oil. Significant progress will be made toward a cleaner and greener future locally, and the complete electrification of India will benefit businesses, investors, and consumers alike.

Many car companies, such as BMW, Audi, GM, Honda, and Polestar, have established mass production agreements with carbon fiber material producers. They are investing in their processes to support low-cost carbon fiber manufacturing.

In August 2023, Canadian researchers turned black bitumen into 'Green' carbon fiber. The team anticipates starting commercial production in 2024 and witnesses wide applications for its carbon fibers in electric vehicles (EVs), improving their performance and ultimately helping to boost EV adoption rates. With around one million cars and other light vehicles manufactured annually in Canada, local carbon fiber can give automakers a competitive edge while supporting Canada’s emission-reduction goals.

Adopting carbon fiber increases the durability of vehicles, thereby ensuring a long life cycle of the parts and vehicles. The exterior parts of vehicles manufactured from composites also offer high stiffness, resulting in minimum damage to occupants in case of accidents.

Thus, the above factors have a positive impact on the market.