European Automotive Composites Market Trends and Forecasts
Lucintel finds that the future of the European automotive composites intermediate material looks promising with opportunities in the exterior, interior, power train system/electrical components, underbody system, and electrical and electronics applications. The European automotive composites market is expected to reach an estimated $4 billion by 2031 with a CAGR of 4% from 2025 to 2031. The major drivers for this market are increasing automotive production and growing demand for lightweight materials to achieve higher fuel efficiency and reduce greenhouse gas emissions.
The European automotive composites market depends on carbon fibers, glass fibers and aramid fibers for strength as well as lightness and epoxy, polyester and vinyl ester resins for their binders. Core materials like honeycomb structures or foams are used to strengthen the products while additives such as pigments, fillers and flame retardants will offer additional advantages. The cost of carbon fiber composites is higher due to the strength-to-weight ratio compared to less expensive glass fiber composites. However, the benefits such as weight savings and flexibility of design make it worthwhile in high-performance vehicles despite initial expenditure. Pricing in Europe’s automobile composites industry is influenced by market dynamics, raw material costs and production advances thus determining competitiveness.
• Lucintel forecasts that CFT will remain the largest segment by value and volume due to their high strength-to-weight ratio, enabling lightweight vehicles that improve fuel efficiency and meet stringent emission regulations. Additionally, their recyclability and faster processing make them ideal for large-scale automotive.
• Interior will remain the largest segment by value and volume due to increasingly use lightweight composites to enhance fuel efficiency and meet stringent emission standards, while also improving design flexibility and aesthetic appeal in vehicle cabins.
Country wise Outlook for the European Automotive Composites Market
The European automotive composites market is witnessing substantial growth in Europe market. Major players in the market are expanding their operations and forming strategic partnerships to strengthen their positions. Below image highlights recent developments by major European automotive composites producers in key regions/countries: the Germany, UK, and Russia.
Emerging Trends in the European Automotive Composites Market
The European automotive composites market is experiencing significant transformation driven by advancements in technology, sustainability initiatives, and changing consumer preferences. As automakers strive to enhance vehicle performance while reducing weight and emissions, composites are becoming increasingly integral to vehicle design and manufacturing. This shift is influenced by regulatory pressures, the demand for electric vehicles (EVs), and the need for improved fuel efficiency. The following are five key trends shaping the future of the automotive composites market in Europe, each contributing to a more innovative and sustainable automotive industry.
• Lightweight Materials: The demand for lightweight materials is surging as manufacturers seek to improve fuel efficiency and reduce emissions. Composites, such as carbon fiber and glass fiber, offer significant weight savings compared to traditional materials, enabling automakers to enhance vehicle performance and comply with stringent environmental regulations. This trend is particularly relevant for electric vehicles, where weight reduction directly impacts battery efficiency and range.
• Sustainability Focus: There is a growing emphasis on sustainability within the automotive sector, prompting manufacturers to adopt eco-friendly composite materials. Bio composites and recycled materials are gaining traction as companies aim to reduce their carbon footprint and meet consumer demand for greener products. This trend not only aligns with regulatory requirements but also enhances brand reputation and market competitiveness.
• Advanced Manufacturing Techniques: Innovations in manufacturing processes, such as 3D printing and automated fiber placement, are revolutionizing the production of automotive composites. These advanced techniques allow for greater design flexibility, reduced production times, and lower costs. As manufacturers adopt these technologies, they can produce complex composite structures that were previously difficult or impossible to achieve, leading to enhanced vehicle performance and design aesthetics.
• Integration of Smart Technologies: The integration of smart technologies into automotive composites is becoming increasingly prevalent. Sensors and electronic components can be embedded within composite materials, enabling real-time monitoring of vehicle performance and safety. This trend enhances the functionality of vehicles, particularly in the context of autonomous driving and connected car technologies, providing a competitive edge in the evolving automotive landscape.
• Collaboration and Partnerships: The automotive composites market is witnessing a rise in collaborations between automotive manufacturers, material suppliers, and research institutions. These partnerships aim to accelerate innovation, share knowledge, and develop new composite materials and applications. By pooling resources and expertise, stakeholders can address challenges more effectively and drive the adoption of composites in the automotive sector.
These emerging trends are reshaping the European automotive composites market by driving innovation, enhancing sustainability, and improving vehicle performance. As the industry adapts to these changes, the integration of advanced materials and technologies will play a crucial role in meeting the evolving demands of consumers and regulatory bodies, ultimately leading to a more efficient and environmentally friendly automotive landscape.
Recent Developments in the European Automotive Composites Market
The European automotive composites market has been experiencing significant growth and transformation, driven by the increasing demand for lightweight materials that enhance fuel efficiency and reduce emissions. As automakers strive to meet stringent environmental regulations and consumer preferences for sustainable vehicles, composites have emerged as a key solution. Recent developments in this sector reflect advancements in technology, material science, and manufacturing processes, which are reshaping the landscape of automotive design and production. Below are five key developments that highlight the current trends and innovations within the European automotive composites market.
• Increased Adoption of Carbon Fiber: The automotive industry is increasingly adopting carbon fiber reinforced composites due to their superior strength-to-weight ratio. This shift is enabling manufacturers to produce lighter vehicles, which contribute to improved fuel efficiency and lower emissions, aligning with EU regulations.
• Advancements in Manufacturing Techniques: Innovations in manufacturing processes, such as automated fiber placement and 3D printing, are enhancing the efficiency and scalability of composite production. These advancements allow for more complex designs and reduce production costs, making composites more accessible to a wider range of automotive applications.
• Growth of Bio-based Composites: There is a rising trend towards the use of bio-based composites, which are derived from renewable resources. This development is driven by the automotive industry's commitment to sustainability and reducing its carbon footprint, appealing to environmentally conscious consumers and regulatory bodies.
• Strategic Collaborations and Partnerships: Major automotive manufacturers are forming strategic partnerships with composite material suppliers and technology firms to accelerate innovation. These collaborations are fostering the development of new composite materials and applications, enhancing the competitive edge of companies in the market.
• Regulatory Support for Lightweight Materials: European regulations are increasingly favoring the use of lightweight materials in vehicle production. This regulatory support is encouraging automakers to invest in composite technologies, as they seek to comply with emissions targets and improve vehicle performance.
These developments are significantly impacting the European automotive composites market by driving innovation, enhancing sustainability, and improving vehicle performance. The shift towards lightweight materials is not only meeting regulatory demands but also responding to consumer preferences, ultimately shaping the future of automotive design and manufacturing.
Strategic Growth Opportunities for European Automotive Market
The European automotive composites market is experiencing significant growth driven by the increasing demand for lightweight materials that enhance fuel efficiency and reduce emissions. As automakers strive to meet stringent environmental regulations and consumer preferences for sustainable vehicles, composites are becoming essential in various applications. This market is poised for expansion as innovations in material technology and manufacturing processes continue to evolve. The following are five key growth opportunities across different applications within the automotive sector that are shaping the future of this market.
• Lightweight Structures: The shift towards lightweight materials is crucial for improving vehicle performance and fuel efficiency. Composites enable manufacturers to reduce weight without compromising strength, leading to lower emissions and enhanced driving dynamics.
• Electric Vehicle Components: With the rise of electric vehicles (EVs), there is a growing demand for composite materials in battery enclosures and structural components. Composites provide the necessary strength and thermal management, contributing to the overall efficiency and safety of EVs.
• Interior Applications: The automotive interior is increasingly utilizing composites for aesthetic and functional components. These materials offer design flexibility, durability, and weight reduction, enhancing the overall consumer experience while meeting safety standards.
• Exterior Body Panels: Composites are being adopted for exterior body panels due to their ability to withstand harsh environmental conditions while maintaining a lightweight profile. This application not only improves vehicle aesthetics but also contributes to better fuel economy.
• Advanced Manufacturing Techniques: The integration of advanced manufacturing techniques, such as 3D printing and automated fiber placement, is creating new opportunities for composites in automotive applications. These technologies enable cost-effective production and customization, driving innovation in vehicle design.
The strategic growth opportunities in the European automotive composites market are significantly impacting the industry by promoting sustainability, enhancing vehicle performance, and driving technological advancements. As these opportunities are realized, they will play a pivotal role in shaping the future of automotive manufacturing and design.
List of European Automotive Composites Companies
Companies in the market compete on the basis of product quality offered. Major players in this market focus on expanding their manufacturing facilities, R&D investments, infrastructural development, and leverage integration opportunities across the value chain. With these strategies European automotive composites market cater increasing demand, ensure competitive effectiveness, develop innovative products & technologies, reduce production costs, and expand their customer base. Some of the European automotive composites companies profiled in this report include.
• BASF
• Magna International
• Lanxess
• Lorenz Kunststofftechnik GmbH
• Ranger Italian
• Teijin Automotive Technologies
• Hanwha
• Mitsubishi Chemical Group
These companies have established themselves as leaders in the European automotive composites market, with extensive product portfolios, regional presence, and strong research and development capabilities. They continually strive to enhance their market positions through strategic partnerships, mergers and acquisitions, and product innovations. The market share dynamics within the European automotive composites market are evolving, with the entry of new players and the emergence of innovative European automotive composites market technologies. Additionally, collaborations between material suppliers, manufacturers, and end-users are fostering technological advancements and expanding market opportunities.
European Automotive Composites Market by Segment
There are market segments in the European automotive composites industry that are and will be growing rapidly in the future. In order to comply with stringent emission regulations, as well as enhance fuel efficiency, light weight materials such as carbon fiber composites have become more prevalent. Growth in interior applications for luxury and technologically advanced vehicle cabins is also occurring. In addition, automakers are focusing on strength-to-weight ratios for performance and safety; thus, structural components like chassis parts and body panels are expanding. Furthermore, electric vehicle (EV) components such as battery enclosures and lightweight frames depict new sectors forged towards green mobility solutions.
By Material Type [Value ($M) and Volume (M lbs.) Analysis for 2019 – 2031]:
• SMC
• BMC
• GMT
• SFT
• LFT
• CFT
By Resin Type [Value ($M) and Volume (M lbs.) Analysis for 2019 – 2031]:
• PA Composites
• PP Composites
• Polyester Composites
• Vinyl Ester Composites
• Epoxy Composites
• PBT Based Composites
• Phenolic Composites
• Other Resin Types
By Application [Value ($M) and Volume (M lbs.) Analysis for 2019 – 2031]:
• Power Train Systems/Engine Components
• Exterior
• Interior
• Electrical and Electronics
• Under Body Systems
• Other Applications
By Resin Group [Value ($M) and Volume (M lbs.) Analysis for 2019 – 2031]:
• Thermoplastic Composites
• Thermoset Composites
By Fiber Type [Value ($M) and Volume (M lbs.) Analysis for 2019-2031]:
• Glass Fiber Composites
• Carbon Fiber Composites
• Natural Fiber Composites
By Country [Value ($M) and Volume (M lbs.) Analysis for 2019 – 2031]:
• Germany
• France
• UK
• Italy
• Spain
• Others
Features of European Automotive Composites Market
• Market Size Estimates: European automotive composites market size estimation in terms of value ($M) and volume (M lbs.).
• Trend and Forecast Analysis: Market trends (2019-2024) and forecast (2025-2031) by various segments and countries.
• Segmentation Analysis: Market size by material type, resin type, application type, resin group, fiber type, and countries.
• Country Analysis: European Automotive Composites market breakdown by Germany, UK, Spain, France, Italy, and others.
• Growth Opportunities: Analysis of growth opportunities in different material type, resin type, application type, resin group, fiber type, and country for the European automotive composites market.
• Strategic Analysis: This includes M&A, new product development, and competitive landscape for the European automotive composites market.
• Analysis of competitive intensity of the industry based on Porter’s Five Forces model.
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FAQ
Q1. What is the European automotive composites market size?
Answer: The European automotive composites market is expected to reach an estimated $4 billion by 2031.
Q2. What is the growth forecast for European automotive composites market?
Answer: The European automotive composites market is expected to grow at a CAGR of 4% from 2024 to 2031.
Q3. What are the major drivers influencing the growth of the European automotive composites market?
Answer: The major drivers for this market are increasing automotive production and growing demand for lightweight materials to achieve higher fuel efficiency and reduce greenhouse gas emissions.
Q4. What are the major applications for European automotive composites market?
Answer: Power train system/engine components and exterior are the major applications for European automotive composites market.
Q5. What are the emerging trends in European automotive composites market?
Answer: Emerging trends, which have a direct impact on the dynamics of the European automotive composites industry, includes Incorporating hybrid and electric vehicle (EVs), recycling and sustainability initiatives, smart and connected components, advanced manufacturing technologies, collaboration and research, customization and design flexibility, and regulatory compliance & standards
Q6. Who are the key European automotive composites companies?
Answer: Some of the key European automotive composites companies are as follows:
• BASF
• Magna International
• Lanxess
• Mitsubishi Chemical Group
Q7.Which European automotive composites material segment will be the largest in future?
Answer: Lucintel forecasts that the short fiber thermoplastic (SFT) will remain the largest segment by value and volume due to ease of processing and better capability of making parts in complex geometry.
Q8. Do we receive customization in this report?
Answer: Yes, Lucintel provides 10% Customization Without any Additional Cost.
This report answers following 10 key questions:
Q1. What are some of the most promising, high-growth in the European automotive composites market by material type (SMC, BMC, GMT, SFT, LFT, and CFT), resin type (PP composites, PBT composites, vinyl ester composites, PA composites, epoxy composites, polyester composites, phenolic composites, and other resin types), fiber type (glass composites, carbon composites, and natural fiber composites), resin group (thermoplastic composites and thermoset composites), application (exterior, interior, power train system/electrical components, underbody system, electrical and electronics, and other applications), and country (Germany, Spain, France, UK, and Italy)?
Q2. Which segments will grow at a faster pace and why?
Q3. What are the key factors affecting market dynamics? What are the drivers and challenges of the market?
Q4. What are the business risks and threats to the market?
Q5. What are the emerging trends in this market and the reasons behind them?
Q6. What are the changing demands of customers in the market?
Q7. What are the new developments in the market? Which companies are leading these developments?
Q8. Who are the major players in this market? What strategic initiatives are being implemented by key players for business growth?
Q9. What are some of the competitive products and processes in this area and how big of a threat do they pose for loss of market share via material or product substitution?
Q10. What M & A activities have taken place in the last 5 years in this market?