Fiber Reinforced Polymer Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)

Fiber Reinforced Polymer Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)

The Global Fiber-reinforced Polymer (FRP) Composites Market is expected to register a CAGR of over 4.5% during the forecast period.

COVID-19 negatively impacted the market from 2020 to mid-2021. Due to the pandemic, construction and manufacturing activities were temporarily stopped during the lockdown. However, post-pandemic, the industries recovered, and the market was expected to retain its growth trajectory in the coming years.

Key Highlights

• Over the short term, the increasing demand from the construction sector and the growing demand for energy efficiency in the aerospace and automotive industries are expected to drive the market's growth.
• On the flip side, the high price of raw materials is expected to hinder the market's growth.
• Nevertheless, the development of new advanced forms of FRP materials and the recycling of FRP materials are likely to act as an opportunity for the market over the forecast period.
• The Asia-Pacific is expected to represent the largest market over the forecast period, owing to the increasing consumption from countries such as China, India, and Japan.

Fiber Reinforced Polymer (FRP) Composites Market Trends

Increasing Demand from the Transportation Sector

Fiber-reinforced polymer (FRP) composites are widely used in the transportation industry in automotive, aircraft, helicopters, and spacecraft to boats and ships.

Due to weight and cost considerations, fiber-reinforced polymer (FRP) composite material is the best substitute for traditional materials like steel or aluminum in the transportation industry. In maritime waterfront settings or aboard ships, where they lessen structural weight and improve corrosion resistance, FRPs are the perfect substitutes for wood.

The International Organization of Motor Vehicle Manufacturers (OICA) estimates that in 2022, compared to the year before, there was an increase in vehicle manufacturing by nearly 6%. In 2022, about 85 million automobiles were produced, compared to the 80 million vehicles produced in 2021. The United States was the second-largest producer behind China, accounting for nearly one-third of the production.

In addition, the Bureau of Economic Analysis estimates that the value added by manufacturing motor vehicles, bodies and trailers, and parts in the United States during the first three quarters of 2022 was about USD 504 billion, or about 5% more than the value added during the same period in the prior year.

Boeing's commercial market outlook for 2022-2041 forecasts a market value of USD 7.2 trillion for new airplane deliveries, with the global fleet increasing by 80% through 2041. According to Boeing, around 41,170 fleet deliveries will be done by 2041. New single-aisle airplane deliveries will make up 75% of total deliveries, with airlines needing more than 30,880 in the next 20 years.

Furthermore, by 2041, roughly 42% of new airplane deliveries will be to Asia-Pacific airlines. An extra 44% will be delivered to European and North American airlines, with the remainder going to the Middle East, South America, and Africa.

Overall, the rising demand for new technology airplanes and the growing production of vehicles is expected to drive the demand for fiber-reinforced polymer (FRP) composites forward during the forecast period.

Asia-Pacific Region to Dominate the Market

Asia-Pacific is expected to dominate the fiber-reinforced polymer (FRP) composites market during the forecast period. Due to the high demand for applications from countries like China, India, and Japan, the demand for the market studied has been increasing.

The aerospace market is expected to rise significantly in the Asia-Pacific region. According to the Boeing Commercial Outlook 2022-2041, by 2041, approximately 42% of new airplane deliveries will be to airlines based in the Asia-Pacific region, half of which will go to China. In Southeast Asia, around 4,255 new deliveries are expected by 2041, with a market service value of USD 245 billion. Owing to such new deliveries in the Southeast Asian region, the demand for the market studied is likely to rise.

Additionally, In China, according to the Boeing Commercial Outlook 2022-2041, around 8,485 new airplane deliveries are expected to be made by 2041, with a market service value of USD 545 billion.

According to the India Brand Equity Foundation, India is the world's 7th largest civil aviation market and is set to become the world’s 3rd largest by 2024. India is expected to have 480 million passengers by 2036, more than Japan's (just under 225 million) and Germany's (just over 200 million) combined. To accommodate this increase in passengers, India would require 2,380 additional commercial aircraft by 2038.

Since China is the largest producer in the sector, the market for fiber-reinforced polymer (FRP) composites in that nation is expected to grow exponentially. FRP composites are crucial in the automobile industry. The Chinese Association of Automobile Manufacturers estimates that compared to 2021, China's automotive output will grow by about 3.4% in 2022. Around 27 million automobiles were produced in 2022, up from 26.08 million in 2021.

Several automakers also increased their capacity in Japan due to its expanding automobile sector. The Japan Automobile Dealers Association (JADA) estimated that Toyota was the top automobile manufacturer in Japan in 2022, selling over 1.25 million cars domestically. Suzuki came second, selling just over 600,000 cars domestically that same year.

According to OICA, India's car output will increase by 24% in 2022 compared to 2021. In 2022, about 5.5 million vehicles were being produced in the nation. In addition, the India Brand Equity Fund (IBEF) projects that the country's auto component market will reach USD 200 billion by FY26. Strong export demand, anticipated to expand at an average annual rate of 23.9% to reach USD 80 billion by 2026, will support this growth.

Hence, with the rapidly growing end-user industries in countries of the Asia-Pacific region, the region is expected to dominate the global market during the forecast period.

Fiber Reinforced Polymer (FRP) Composites Industry Overview

The global Fiber-reinforced Polymer (FRP) Composites Market is partially consolidated in nature, with the top five players accounting for a major share of the market studied. Some key players include (not in any particular order) Hexcel Corporation, Teijin Limited, Toray Industries Inc., SGL Carbon, and Mitsubishi Chemical Carbon Fiber and Composites Inc., among others.

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• The market estimate (ME) sheet in Excel format
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