According to a new report published by Allied Market Research, titled, "SiC Fiber Market by Phase and Application: Global Opportunity Analysis and Industry Forecast, 2021–2028," the global SiC fiber market was valued at $0.38 billion in 2020, and is projected to reach $1.47 billion by 2028, growing at a CAGR of 18.6% from 2021 to 2028.
SiC (silicon carbide) fibers are strong and oxidation resistant and are majorly used in high temperature applications. SiC fiber tows is one of the recent developments in the market that are manufactured using rapid processing method. These tows can be used in the previously impossible applications with significant reduction of cost. Microwave sintering furnace is the latest technology used for the production of SiC fiber. This process significantly reduces power requirements, processing temperature, and processing time which in turn reduces overall production cost of silicon carbide fibers.
The crystalline silicon carbide (SiC) fibers possess excellent properties such as high thermal resistance, high modulus, chemical stability, high strength, and other characteristics that make them suitable for nuclear plants, power reactors, and refractories. The utilization of amorphous-based SiC fibers in sectors such as aerospace & aviation, power industries, and metallurgical industries is major growth factor in the global SiC fiber market. SiC fibers are also used in engines, insulation, and alternative to metallic alloys in aircraft body parts. Also, it provides environmental and economic benefits by making lightweight & fuel-efficient aircrafts. For instance, key aircraft manufacturers like Airbus and Boeing become linear toward the use of SiC fibers in various aircrafts such as Airbus A320neo, Boeing 757, Boeing 787, and others. These factors are drive the growth of the global SiC fiber market.
However, the wake of the COVID-19 pandemic has disrupted the entire demand & supply chain of various sectors. More than 100 countries have locked their international borders for transportation and non-essential trade activities. The manufacturing industries are also operating at half capacity during this pandemic situation owing to the risk of infection among the workforce. Furthermore, the liquidity crunch and financial crisis have decreased the demand for silicon carbide (SiC) fibers. This factor is predicted to hamper the market growth during the forecast period.
Non-oxide SiC fibers is predicted to offer new opportunities during the forecast period. The non-oxide silicon carbide fibers are also used in manufacturing composite materials such as metallic super alloys, oxide ceramic composites, carbon fiber composites, and monolithic composites. Thus, the rise in industrial applications of composites, super alloys, and heat-resistant materials are anticipated to create lucrative opportunities for the silicon fibers market.
The SiC fiber market is segmented on the basis of phase, application, and region.
Depending on the phase, the global SiC fiber market is segmented into crystalline and amorphous. The crystalline segment dominated the global market in terms of revenue in 2020, with over four-seventh of the total share in 2020. This is attributed to the fact that high-quality continuous polycrystalline SiC fiber mainly used for high-temperature applications has reported a surge in demand among the aviation & aerospace sectors nowadays.
On the basis of application, the global SiC fiber market is segmented into aerospace & defense, energy & power, industrial, and others. The aerospace & defense segment dominated the global market, with over three-seventh of the total share in 2020, as characteristics such as durability, chemical stability, and heat & creep resistance makes SiC fiber a choice of material for applications such as insulation of engine parts and nanotubes in turbines in aerospace & defense sector.
Region wise, the SiC market is analyzed across North America, Europe, Asia-Pacific, and LAMEA. The Asia-Pacific SiC fiber market size is projected to grow at the highest CAGR during the forecast period and accounted for a major additives market share in 2020.
Key players operating in the global SiC fiber market include American Elements, BJS Ceramics GmbH, Free Form Fibers LLC, GE Aviation, Haydale Technologies Inc., NGS Advanced Fibers Co., Ltd., Nippon Carbon Co., Ltd., Saint Gobain, SGL Carbon SE, and UBE Industries Ltd.
The novel coronavirus is an incomparable global pandemic that has spread to over 180 countries and caused huge losses of lives and the economy around the globe. The silicon carbide (SiC) fibers market has been negatively impacted due to the wake of the COVID-19 pandemic, owing to its dependence on the aerospace & defense sector. According to a report published by the U.S. Aerospace & Defense Industry (A&D), the defense sector in the U.S. has witnessed an enormous revenue loss of around $150,000 million amid the COVID-19 situation. Also, more than 100 countries have locked their international borders for transportation and non-essential trade activities. For instance, the cargo airline volume of American Airlines has witnessed a 68% reduction in the shipment of goods in September 2020. This has hardly hit the performance of SiC fibers among the aerospace industry owing to their use in the insulation & manufacturing of other aircraft components. Furthermore, the temporary shutdowns of industries have reduced the global power consumption (industrial load) amid the COVID-19 pandemic. According to a report published by the International Finance Corporation, the global electricity demand decreased by 2.5% in the first quarter of 2020 and is expected to decrease by 6% at the end due to shutdowns imposed in the various parts of the world. This has severely affected the demand for SiC fibers among the power sectors during the COVID-19 situation where SiC fibers are widely used in various high-temperature applications. However, several key players such as Free Form Fibers LLC, BJS Ceramics GmbH, GE Aviation, and others are constantly engaged in widening their footprints and looking for new investment opportunities amid the COVID-19 situation. For instance, Free Form Fibers LLC has concluded financing of $2.5 million for increasing the production of its rapid laser-driven chemical vapor deposition (R-LCVD) silicon carbide fiber in November 2020. This is expected to enhance the performance of the SiC fibers market post-COVID-19 scenario.
Key findings of the study
- The amorphous segment is estimated to display the highest growth rate, in terms of revenue, registering a CAGR of 19.3% from 2021 to 2028.
- The aerospace & defense segment is estimated to display the highest growth rate, in terms of revenue, registering a CAGR of 19.2% from 2021 to 2028
- Asia-Pacific garnered the highest share of 19.70% in 2020, and is estimated to display the highest growth rate, in terms of revenue, registering a CAGR of 21.50% from 2021 to 2028.