Thermoplastic Composites Market to Reach $22.8 Billion by 2027

According to a new report published by Allied Market Research, titled,Thermoplastic Composites Market by Fiber Type, Product Type, Resin Type, and End-User Industry: Global Opportunity Analysis and Industry Forecast, 2020-2027," 

The global thermoplastic composites market size was valued at $15.2 billion in 2019, and is projected to reach $22.8 billion by 2027, growing at a CAGR of 6.1% from 2020 to 2027.

The glass fiber was the industry's largest segment, and holds a substantial market share. It is expected to experience exponential growth in the coming years. Whereas, the carbon fiber segment is expected to be the fastest growing consumer commodity. The main applications of the global thermoplastic composite market are in aerospace & defense, automotive, and wind energy sectors. There is a huge scope for thermoplastic composites in the automobile industry due to the need for lightweight materials to reduce the overall weight of the vehicles and increase fuel efficiency. This coupled with the fact that the automotive industry is growing at a very fast pace makes this segment attractive for investmentComposite materials are formed by combining a resin matrix, armature and operational additives. There are two types of composites – thermoset and thermoplastic composites. Thermoplastic composites developed from structural polymer composites. They are solidified through a reversible thermal curing process. The thermoplastic composite market is witnessing significant growth in the aerospace sector due to the replacement of traditional materials in an aerospace sector with thermoplastic composites with superior mechanical properties. Moreover, governments in different parts of the world have imposed stringent environmental laws fueling the need for sustainable energy, increasing the demand for fuel efficient vehicles, and thus, escalating the demand for thermoplastic composites.

The global thermoplastic composites market is segmented into fiber type, product type, resin type, end-user industry, and region. 

Based on fiber type, the thermoplastic composites market is divided into carbon, glass, mineral, and others. The glass fibers segment held the largest revenue share in the global thermoplastic composites market in 2019. It is used extensively in aerospace & defense, automotive, sporting goods, and wind turbine blades. 

Based on resin type, the market is divided into PEEK, PP, PA, Hybrid, and others. The PEEK segment held the largest thermoplastic composites market share in 2019. Thermoplastic PEEK composites are increasingly being used in the aerospace, sporting goods, wind energy, and automotive end-use industries. Compared to other resin types, PEEK offers excellent thermal stability; hence- they are used for high temperature applications.

The applications of thermoplastic composites include oil & gas, automotive, aerospace & defense, construction, military, and others. Presently, the aerospace industry held the largest revenue share in the global thermoplastic composites market. Thermoplastic composites are used to make structural and non–structural components such as seat structures, bumpers, hoods, and fuel tanks. Automotive composite materials enable designers to improve durability, meet load–bearing requirements, and achieve reduction in vehicle weight.

Region-wise, the market is studied across North America, Europe, Asia-Pacific, and LAMEA. Presently, Asia-Pacific accounts for the largest share of the market, followed by Europe and North America.

The major companies profiled in this report include BASF SE, Celanese Corporation, DSM, DuPont, Hanwha, laxness, Mitsubishi Chemical Advanced Materials, PPG Industries, SABIC, and Solvay S.A. 

New product launches are expected to offer fresh opportunities for the global thermoplastic composites market during the forecast period. For instance, Polyone Corporation, a key player in the thermoplastic composites market, launched new thermoplastic composite products at CHINAPLAS 2019. It introduced Complete LFT formulations, which is a thermoplastic composite with PEEK and PP as a base resin, to meet highly demanding design and performance requirements.

Further, use of composite parts as a replacement for metal and plastic parts reduces the weight of vehicles, while at the same time, improving its electrical and mechanical properties. In addition, in the automotive sector, the push demand for hybrid vehicles and electric vehicles is expected to see high growth in the coming years. Which in turn, to drive the thermoplastic composites demand. However, the COVID-19 pandemic has negatively affected the key sectors such as automotive, aerospace, construction, and wind energy. This is expected to hamper the growth of the global thermoplastic composites market.’’

Key Findings Of The Study

• The North America thermoplastic composites market is projected to grow at the highest CAGR of nearly 6.4%, in terms of revenue, during the forecast period.
• By fiber type, the glass fibers segment accounted for the largest market share in 2019.
• By resin type, the PA segment accounted for the largest market share in 2019.
• Based on product type, the glass mat thermoplastics (GMT) segment accounted for the largest market share in 2019
• On the basis of application, the aerospace & defense segment garnered the largest market share in 2019.

Impact of COVID-19 on the global thermoplastic composites market

Some of the major economies suffering the COVID-19 crises include Germany, France, Italy, Spain, the UK, Norway, and others. The virus outbreak has made many industries to shut down due to lack of raw material availability and disruptions in the supply chain. The worldwide lockdown has suspended the activities of construction and many other industries which results in declining the demand for thermoplastic composite.

For many countries the economy has dropped due to the halt of several industries, especially transport and supply chain. The product’s upcoming demand is hindered, as there is no development. The demand-supply gap, disruptions in raw material procurement, price volatility, and many other factors are expected to hamper the growth of the chemical industry during the COVID-19 pandemic. 

Gaps in demand-supply, price volatility, and changing government policy will affect the growth of the various end-use industries. In terms of its immediate and long-term effect on industry and consumers, the COVID-19 pandemic has outpaced any headwind ever encountered. The world economy of thermoplastic composite industries has been experiencing a rapid slowdown due to the constraints of the COVID-19 pandemic on economic activity.

Advanced materials such as carbon fiber composites and glass fiber composites are used in the production of medical devices and other equipment. Thermoplastic composite are primarily used in manufacturing, aerospace & defense, automotive, and wind energy; and as a reaction to the national lockdown, these sectors were experiencing a sudden decline in growth rates. The COVID-19 crisis has affected the chemical industry supply chain to a major extent; thus, having a major impact on raw material procurement