In 2022, the global market for carbon fiber-based SMC and BMC was valued at approximately US$ 749.51 million, with projections indicating it will reach around US$ 1,240.08 million by 2030. This market is anticipated to expand at a compound annual growth rate (CAGR) of 6.5% from 2022 through 2030.
Carbon fiber-based SMC (Sheet Molding Compound) and BMC (Bulk Molding Compound) are recognized for their lightweight nature, exceptional durability, design versatility, resistance to temperature variations, and chemical stability. These materials find extensive applications in sectors such as automotive body panels, structural components, and insulation materials. The automotive industry has seen a surge in demand for SMC and BMC as manufacturers focus on reducing vehicle weight to improve fuel efficiency. Additionally, the increasing prevalence of electric and hybrid vehicles has heightened the need for lightweight materials, particularly for insulating electrical components. Consequently, the carbon fiber-based SMC BMC market is poised for growth, driven by the expanding automotive sector during the forecast period.
The segmentation of the global carbon fiber-based SMC BMC market by resin type includes polyester, vinyl ester, epoxy, and others. In 2022, the polyester segment dominated the market share. Polyester, a synthetic polymer typically derived from petroleum, undergoes a transformation in its molecular structure when combined with hardeners or catalysts, generating heat in the process. Carbon fiber-based SMC and BMC are utilized across various industries, including automotive, construction, and electronics. Polyester is favored for its ease of processing, cost-effectiveness, and lack of need for post-curing compared to other resins. Manufacturers are continuously developing enhanced formulations of polyester that exhibit superior mechanical properties. The inherent qualities of polyester resin, such as its versatility, strength, and durability, are driving its demand.
The global carbon fiber-based SMC BMC market is further divided into regions: Asia Pacific, Europe, Middle East & Africa, North America, and South & Central America. In 2022, Asia Pacific held the largest market share and is projected to experience the highest CAGR from 2022 to 2030. The growth in this region is fueled by a robust automotive sector, along with significant activities in building and construction, wind energy, and electronics. Asia Pacific serves as a manufacturing hub for the automotive industry, hosting numerous international and domestic companies. North America also holds a substantial market share, primarily due to the increasing adoption of SMC and BMC products across various industries, including automotive, construction, and electronics. The construction sector in North America is expanding, supported by rising government investments in residential projects and infrastructure development.
Prior to the COVID-19 pandemic, many nations experienced economic growth, prompting key manufacturers to invest in research and development for carbon fiber-based SMC and BMC. They also pursued geographic expansion through mergers and acquisitions to broaden their customer reach. However, the onset of the pandemic in early 2020 led to lockdowns and border restrictions, severely disrupting supply chains for raw materials and finished products globally. As a result, manufacturers of carbon fiber-based SMC and BMC faced significant financial losses during the initial wave of COVID-19 due to trade limitations and shutdowns of production facilities. The US International Trade Commission (USITC) reported a 15% decline in vehicle sales in the US in 2020 compared to 2019, highlighting the automotive industry's vulnerability.
Supply chain disruptions, shortages of raw materials and skilled labor, and operational challenges created significant demand-supply imbalances in regions such as Asia Pacific, Europe, and North America during the pandemic. Manufacturers struggled to source necessary materials, which adversely affected the production rates of carbon fiber-based SMC and BMC. Additionally, fluctuating demand from end-use sectors, including automotive, construction, electrical & electronics, and aerospace, contributed to these gaps. These factors collectively hindered the growth of the carbon fiber-based SMC and BMC market during the pandemic.
In 2021, as vaccination rates increased, conditions began to improve across various countries, fostering a more favorable environment for the chemicals and materials industry. The European Commission reported a 3.9% increase in construction output in the European Union in January 2022 compared to December 2021, with similar growth in construction-related manufacturing. The sales of carbon fiber-based SMC and BMC saw an uptick as production and sales activities resumed in the automotive, electrical & electronics, construction, and aerospace sectors by the end of 2021.
Key players in the global carbon fiber-based SMC BMC market include Teijin Carbon Europe GmBH, Mitsubishi Chemical Corp, ASTAR SA, Menzolit, Polynt SpA, IDI Composite International, LyondellBasell Industries Holdings BV, Lattice Composites LLC, Toray Advanced Composites, and YS ACC. These companies are employing various strategies, including mergers and acquisitions and new product launches, to enhance their geographic presence and expand their customer bases.
The overall size of the global carbon fiber-based SMC BMC market has been determined through a combination of primary and secondary research methods. The research process began with extensive secondary research utilizing both internal and external sources to gather qualitative and quantitative data related to the market. Additionally, numerous primary interviews were conducted with industry participants to validate the findings and gain deeper analytical insights. Participants included industry experts such as VPs, business development managers, market intelligence managers, and national sales managers, as well as external consultants like valuation experts, research analysts, and key opinion leaders specializing in the carbon fiber-based SMC BMC market.