According To Graphical Research, The New Growth Forecast Report Titled “Asia Pacific Automotive Composites Market Size, By Fiber (Glass, Carbon, Natural), By Resin (Thermosetting, Thermoplastic), By Manufacturing Process (Compression, Injection, Resin Transfer Molding), By Application (Interior, Exterior, Structural & Powertrain) Industry Analysis Report, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast, 2020 – 2026” To Witness Strong Growth By 2026
Technological advancements will drive the sales of hybrid & electric vehicles, thereby bolstering the APAC market growth. China is a global leader in the electrification of transportation due to a lack of regulations, low cost, and compact size. In 2019, the country held a lion’s share in the global stock and new registrations of electric two-wheelers. In the same year, the stock of electric buses reached 421,000 units including around 853,492 BEVs.
Additionally, key measures are being implemented to enhance charging infrastructures and improving customer convenience. In April 2020, South Korea accelerated its efforts to expand the charging infrastructure of electric vehicles. The government aims to establish thousands of fast EV charging stations at the existing gas stations. Increasing infrastructure facilities will promote electric vehicle adoption. Rising domestic demand and production of vehicles across India have led to high consumption of the product, propelling industry growth. Industry participants are mainly focusing on expanding their manufacturing capacities in India.
In Asia Pacific, the glass fiber segment dominates the Asia Pacific automotive composites market and is estimated to register significant growth. It has high stiffness and strength, which can be ascribed to significant industry growth. Furthermore, it is an ideal fiber on account of its low dielectric constant and excellent heat resistance. Glass fibers are relatively cheaper than carbon fibers and are available in numerous grades for varied applications.
The thermoplastic resin is likely to register over 7.5% CAGR by the end of 2026. This is predominantly due to its superior characteristics, such as higher impact resistance, compared to thermosetting. The resin is biodegradable, i.e., eco-friendly, and is gaining traction in the automotive composites market.
Based on the manufacturing process, the compression process is mainly used in the production of composites. This process is cost-effective with faster & easier delivery of low-weight products. Market players are widely adopting this process for large-scale projects, further bolstering Asia Pacific automotive composites industry.
Based on application, the structural & powertrain segment accounted for a significant share of over 30% in the Asia Pacific automotive composites market. Automotive manufacturers are demanding low weight structural parts for this application, which is catered to by the use of composites. Glass and carbon fiber-based composites are highly popular in structural parts.
The market is the leading regional market due to the growing demand for electric vehicles, which use lightweight composites. Manufacturers across the region are mainly focusing on increasing their R&D and manufacturing capacities to gain a competitive edge. In China, producers are putting efforts to ramp up their production capacity. For instance, Haiyuan Automatic Equipment Co., Ltd. invested more than USD 95 million in R&D, increasing the production of carbon fiber components for new energy vehicles. These initiatives are anticipated to offer high growth prospects to the industry until 2026.
The Asia Pacific automotive composites market participants include Toray Industries, Owens Corning, Mitsubishi Rayon Co., Ltd., Jushi Group Co., Ltd., and Teijin Limited.