Green Carbon Fiber Market Size and Outlook 2031

Report Description

Forecast Period	2027-2031
Market Size (2025)	USD 166.59 Million
CAGR (2026-2031)	4.57%
Fastest Growing Segment	Automotive
Largest Market	North America
Market Size (2031)	USD 217.82 Million

Market Overview

The Global Green Carbon Fiber Market will grow from USD 166.59 Million in 2025 to USD 217.82 Million by 2031 at a 4.57% CAGR. Green Carbon Fiber is defined as carbon fiber produced from renewable feedstocks, such as lignin-based precursors, or recovered through the recycling of composite waste to minimize environmental impact. The sector’s growth is fundamentally driven by stringent government regulations mandating lower industrial emissions and the critical necessity for lightweight materials in the automotive and aerospace industries to improve fuel efficiency. Additionally, the establishing of circular economy mandates acts as a primary catalyst, compelling manufacturers to integrate reclaimed materials into their production cycles to ensure regulatory compliance and supply chain sustainability.

However, a significant challenge impeding broader market expansion is the technical difficulty of maintaining mechanical performance consistency in recycled fibers compared to virgin materials, often resulting in high processing costs. This quality gap creates barriers for adoption in high-performance structural applications. According to Composites United e.V., in 2024, the global demand for carbon fibers reached a volume of approximately 126,500 tonnes, underscoring the substantial industrial scale that sustainable and recycled alternatives must successfully penetrate to achieve a meaningful market share.

Key Market Drivers

The Increasing Demand for Lightweight Materials in Automotive and Aerospace Sectors is a primary catalyst propelling the Global Green Carbon Fiber Market. As industries face intensifying pressure to decarbonize, manufacturers are actively transitioning from virgin composites to sustainable alternatives that offer comparable strength-to-weight ratios. This shift is necessitating a rapid scaling of production capabilities to satisfy the industrial appetite for low-carbon reinforcements. For instance, according to Vartega, November 2024, in the 'Providing Recycled Carbon Fiber at Scale' update, the company has secured a production capacity of over 2,000 metric tons and is tripling its output specifically to meet customer demand for sustainable, high-performance plastic reinforcements. Such expansions highlight the direct correlation between corporate lightweighting strategies and the market growth of green carbon fiber solutions.

Technological Advancements in Carbon Fiber Recycling and Recovery Processes are simultaneously eliminating historical barriers related to material quality and processing efficiency. Innovations in pyrolysis and solvolysis are now enabling the recovery of fibers that maintain mechanical integrity, making them viable for structural applications rather than just low-value fillers. These technical strides are critical for managing the surging volume of composite waste; according to ORE Catapult, December 2024, in the 'Gen 2 Carbon – Accelerating the shift to a Circular Economy' article, the volume of carbon fiber in end-of-life components is expected to exceed 40,000 tonnes per year within a decade, necessitating advanced recovery infrastructure. Furthermore, the broader industry push toward lower emissions is evident in major production shifts; according to Toray Industries, in 2024, the company reduced its greenhouse gas emissions by 36% per unit of revenue in Fiscal Year 2023, reflecting the sector-wide commitment to sustainable manufacturing that underpins the green carbon fiber market.

Download Free Sample Report

Key Market Challenges

The primary challenge hampering the growth of the Global Green Carbon Fiber Market is the technical difficulty of maintaining mechanical performance consistency in recycled fibers compared to virgin materials. During reclamation processes, fibers often suffer from reduced length and surface degradation, which significantly compromises their tensile strength and structural integrity. This quality gap forces manufacturers to relegate recycled carbon fiber to non-structural or secondary applications, effectively barring it from the high-value aerospace and automotive sectors that drive the industry's profitability. Consequently, the inability to guarantee standardized performance creates a reluctance among original equipment manufacturers to integrate these materials into critical supply chains where safety and durability are non-negotiable.

Furthermore, the complex processing required to restore reclaimed fibers to near-virgin quality incurs high operational costs, often neutralizing the economic benefits of using secondary feedstocks. This price-performance disparity limits the scalability of green carbon fiber solutions and slows their commercial adoption. According to the American Composites Manufacturers Association, in 2024, the global demand for carbon fiber reached nearly 300 million pounds. This massive consumption volume remains heavily reliant on virgin feedstocks because sustainable alternatives have not yet achieved the technical parity and cost-efficiency necessary to penetrate this expanding market significantly.

Key Market Trends

The Adoption of Lignin-Derived Bio-Precursors is fundamentally altering feedstock strategies by decoupling carbon fiber production from volatile petroleum supply chains. Manufacturers are increasingly utilizing lignin, a renewable by-product of the paper and pulp industry, to synthesize high-grade precursors that offer a sustainable alternative to polyacrylonitrile (PAN). This shift not only lowers the carbon footprint of the final material but also addresses the critical industry challenge of high manufacturing expenses, which limits broader market penetration. The economic viability of this trend is significant; according to The University of Manchester, February 2025, in the 'Scaling sustainable carbon fibre production' article, replacing petroleum-based precursors with lignin and ionic liquids can reduce production costs by three-to-five times, effectively positioning bio-based fibers as a cost-competitive solution for industrial applications.

Simultaneously, the Integration of Recycled Fibers in Additive Manufacturing is transitioning green composites from niche prototyping to volume production. This trend capitalizes on the specific material properties of discontinuous recycled carbon fibers, which are ideal for reinforcing thermoplastic filaments used in extrusion-based 3D printing. By leveraging these reclaimed materials, companies can produce lightweight, complex geometries without the expensive tooling required for traditional layup processes, thereby creating a high-value outlet for composite waste. This industrial shift toward functional part production is accelerating; according to Stratasys, March 2025, in the 'Fourth Quarter and Full Year 2024 Financial Results', manufacturing applications accounted for 36% of the company’s total revenue, highlighting the growing commercial appetite for production-grade additive solutions that utilize sustainable reinforcement materials.

Segmental Insights

The Automotive segment stands as the fastest-growing category in the Global Green Carbon Fiber Market, driven by the industry's intensified focus on sustainable lightweighting. Automakers are increasingly adopting recycled and bio-based carbon fibers to decrease vehicle mass, which is crucial for enhancing the range of electric vehicles and optimizing fuel efficiency. This adoption is accelerated by rigorous environmental mandates from institutions like the European Union, which enforce strict fleet-wide emission limits and circular economy goals. Consequently, green carbon fiber has become essential for manufacturers seeking to achieve environmental compliance without compromising structural performance.

Regional Insights

North America leads the global green carbon fiber market, driven by substantial demand from the aerospace and automotive sectors for sustainable lightweighting solutions. This dominance is reinforced by strict regulations from the Environmental Protection Agency, which compel manufacturers to lower vehicle emissions through improved material efficiency. Furthermore, the United States Department of Energy actively supports the development of renewable precursors and recycling technologies, creating a favorable landscape for innovation. The presence of a mature composite manufacturing infrastructure allows for the rapid integration of these eco-friendly materials into industrial applications, solidifying the region's market position.

Recent Developments

In July 2024, Toray Composite Materials America, Inc. executed a memorandum of understanding with Elevated Materials to repurpose carbon fiber prepreg waste. Under this agreement, the partner company will provide repurposing services for scrap prepreg materials, including slit-edge and full-width sheets, generated at the Tacoma, Washington facility. The collaboration aims to divert significant amounts of carbon fiber waste from landfills by transforming it into press-cured sheets and blocks for various industries. This strategic move supports the company's vision of achieving net-zero emissions and managing resources sustainably.
In April 2024, UBE Corporation launched new composite products that incorporate recycled carbon fiber with full traceability. Leveraging technologies from its engineering plastics development and a partnership with another firm, the company utilizes high-quality carbon fiber extracted from used parts. These new composites are designed to reduce greenhouse gas emissions and environmental impact by minimizing energy use and reusing waste materials. The product launch targets applications in the automotive and sports sectors, offering a sustainable alternative that maintains functionality while addressing the challenge of increasing carbon fiber waste.
In February 2024, Syensqo entered into a partnership with Trillium Renewable Chemicals to develop sustainable raw materials specifically for carbon fiber applications. The collaboration focuses on evaluating bio-based acrylonitrile for use in carbon fiber manufacturing processes. This initiative targets the advancement of sustainable solutions derived from renewable sources, addressing the growing market demand for environmentally responsible high-performance materials. The partnership represents a significant step in the supply chain to reduce the carbon footprint of carbon fiber production through the adoption of renewable feedstocks.
In January 2024, Teijin Limited announced the commencement of production and sales for its Tenax Carbon Fiber made with sustainable acrylonitrile. The material utilizes waste and residue from biomass-derived products or recycled raw materials and has received ISCC PLUS certification. The company produces this sustainable carbon fiber at its Mishima plant in Japan using a mass balance approach. This launch aims to allow customers to easily substitute bio-based or circular materials, thereby reducing greenhouse gas emissions throughout the product lifecycle without compromising performance compared to petroleum-derived equivalents.

Key Market Players

Procotex Corp SA
Vartega Inc.
Sigmatex (UK) Ltd
Shocker Composites LLC
Carbon Conversions Co
SGL Carbon SE
Toray Industries Inc
Gen 2 Carbon Ltd
Catack-H Co Ltd
Innovative Recycling FC

By Source	By Application	By Region
Automotive Scrap Aerospace Scrap Others	Aerospace Automotive Wind Energy Sporting Goods Others	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Green Carbon Fiber Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

Green Carbon Fiber Market, By Source:

Automotive Scrap
Aerospace Scrap
Others

Green Carbon Fiber Market, By Application:

Aerospace
Automotive
Wind Energy
Sporting Goods
Others

Green Carbon Fiber Market, By Region:

North America

United States
Canada
Mexico

Europe

France
United Kingdom
Italy
Germany
Spain

Asia Pacific

China
India
Japan
Australia
South Korea

South America

Brazil
Argentina
Colombia

Middle East & Africa

South Africa
Saudi Arabia
UAE

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Global Green Carbon Fiber Market.

Available Customizations:

Global Green Carbon Fiber Market report with the given market data, TechSci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

Company Information

Detailed analysis and profiling of additional market players (up to five).

Global Green Carbon Fiber Market is an upcoming report to be released soon. If you wish an early delivery of this report or want to confirm the date of release, please contact us at [email protected]

Table of content

1. Product Overview

1.1. Market Definition

1.2. Scope of the Market

1.2.1. Markets Covered

1.2.2. Years Considered for Study

1.2.3. Key Market Segmentations

2. Research Methodology

2.1. Objective of the Study

2.2. Baseline Methodology

2.3. Key Industry Partners

2.4. Major Association and Secondary Sources

2.5. Forecasting Methodology

2.6. Data Triangulation & Validation

2.7. Assumptions and Limitations

3. Executive Summary

3.1. Overview of the Market

3.2. Overview of Key Market Segmentations

3.3. Overview of Key Market Players

3.4. Overview of Key Regions/Countries

3.5. Overview of Market Drivers, Challenges, Trends

4. Voice of Customer

5. Global Green Carbon Fiber Market Outlook

5.1. Market Size & Forecast

5.1.1. By Value

5.2. Market Share & Forecast

5.2.1. By Source (Automotive Scrap, Aerospace Scrap, Others)

5.2.2. By Application (Aerospace, Automotive, Wind Energy, Sporting Goods, Others)

5.2.3. By Region

5.2.4. By Company (2025)

5.3. Market Map

6. North America Green Carbon Fiber Market Outlook

6.1. Market Size & Forecast

6.1.1. By Value

6.2. Market Share & Forecast

6.2.1. By Source

6.2.2. By Application

6.2.3. By Country

6.3. North America: Country Analysis

6.3.1. United States Green Carbon Fiber Market Outlook

6.3.1.1. Market Size & Forecast

6.3.1.1.1. By Value

6.3.1.2. Market Share & Forecast

6.3.1.2.1. By Source

6.3.1.2.2. By Application

6.3.2. Canada Green Carbon Fiber Market Outlook

6.3.2.1. Market Size & Forecast

6.3.2.1.1. By Value

6.3.2.2. Market Share & Forecast

6.3.2.2.1. By Source

6.3.2.2.2. By Application

6.3.3. Mexico Green Carbon Fiber Market Outlook

6.3.3.1. Market Size & Forecast

6.3.3.1.1. By Value

6.3.3.2. Market Share & Forecast

6.3.3.2.1. By Source

6.3.3.2.2. By Application

7. Europe Green Carbon Fiber Market Outlook

7.1. Market Size & Forecast

7.1.1. By Value

7.2. Market Share & Forecast

7.2.1. By Source

7.2.2. By Application

7.2.3. By Country

7.3. Europe: Country Analysis

7.3.1. Germany Green Carbon Fiber Market Outlook

7.3.1.1. Market Size & Forecast

7.3.1.1.1. By Value

7.3.1.2. Market Share & Forecast

7.3.1.2.1. By Source

7.3.1.2.2. By Application

7.3.2. France Green Carbon Fiber Market Outlook

7.3.2.1. Market Size & Forecast

7.3.2.1.1. By Value

7.3.2.2. Market Share & Forecast

7.3.2.2.1. By Source

7.3.2.2.2. By Application

7.3.3. United Kingdom Green Carbon Fiber Market Outlook

7.3.3.1. Market Size & Forecast

7.3.3.1.1. By Value

7.3.3.2. Market Share & Forecast

7.3.3.2.1. By Source

7.3.3.2.2. By Application

7.3.4. Italy Green Carbon Fiber Market Outlook

7.3.4.1. Market Size & Forecast

7.3.4.1.1. By Value

7.3.4.2. Market Share & Forecast

7.3.4.2.1. By Source

7.3.4.2.2. By Application

7.3.5. Spain Green Carbon Fiber Market Outlook

7.3.5.1. Market Size & Forecast

7.3.5.1.1. By Value

7.3.5.2. Market Share & Forecast

7.3.5.2.1. By Source

7.3.5.2.2. By Application

8. Asia Pacific Green Carbon Fiber Market Outlook

8.1. Market Size & Forecast

8.1.1. By Value

8.2. Market Share & Forecast

8.2.1. By Source

8.2.2. By Application

8.2.3. By Country

8.3. Asia Pacific: Country Analysis

8.3.1. China Green Carbon Fiber Market Outlook

8.3.1.1. Market Size & Forecast

8.3.1.1.1. By Value

8.3.1.2. Market Share & Forecast

8.3.1.2.1. By Source

8.3.1.2.2. By Application

8.3.2. India Green Carbon Fiber Market Outlook

8.3.2.1. Market Size & Forecast

8.3.2.1.1. By Value

8.3.2.2. Market Share & Forecast

8.3.2.2.1. By Source

8.3.2.2.2. By Application

8.3.3. Japan Green Carbon Fiber Market Outlook

8.3.3.1. Market Size & Forecast

8.3.3.1.1. By Value

8.3.3.2. Market Share & Forecast

8.3.3.2.1. By Source

8.3.3.2.2. By Application

8.3.4. South Korea Green Carbon Fiber Market Outlook

8.3.4.1. Market Size & Forecast

8.3.4.1.1. By Value

8.3.4.2. Market Share & Forecast

8.3.4.2.1. By Source

8.3.4.2.2. By Application

8.3.5. Australia Green Carbon Fiber Market Outlook

8.3.5.1. Market Size & Forecast

8.3.5.1.1. By Value

8.3.5.2. Market Share & Forecast

8.3.5.2.1. By Source

8.3.5.2.2. By Application

9. Middle East & Africa Green Carbon Fiber Market Outlook

9.1. Market Size & Forecast

9.1.1. By Value

9.2. Market Share & Forecast

9.2.1. By Source

9.2.2. By Application

9.2.3. By Country

9.3. Middle East & Africa: Country Analysis

9.3.1. Saudi Arabia Green Carbon Fiber Market Outlook

9.3.1.1. Market Size & Forecast

9.3.1.1.1. By Value

9.3.1.2. Market Share & Forecast

9.3.1.2.1. By Source

9.3.1.2.2. By Application

9.3.2. UAE Green Carbon Fiber Market Outlook

9.3.2.1. Market Size & Forecast

9.3.2.1.1. By Value

9.3.2.2. Market Share & Forecast

9.3.2.2.1. By Source

9.3.2.2.2. By Application

9.3.3. South Africa Green Carbon Fiber Market Outlook

9.3.3.1. Market Size & Forecast

9.3.3.1.1. By Value

9.3.3.2. Market Share & Forecast

9.3.3.2.1. By Source

9.3.3.2.2. By Application

10. South America Green Carbon Fiber Market Outlook

10.1. Market Size & Forecast

10.1.1. By Value

10.2. Market Share & Forecast

10.2.1. By Source

10.2.2. By Application

10.2.3. By Country

10.3. South America: Country Analysis

10.3.1. Brazil Green Carbon Fiber Market Outlook

10.3.1.1. Market Size & Forecast

10.3.1.1.1. By Value

10.3.1.2. Market Share & Forecast

10.3.1.2.1. By Source

10.3.1.2.2. By Application

10.3.2. Colombia Green Carbon Fiber Market Outlook

10.3.2.1. Market Size & Forecast

10.3.2.1.1. By Value

10.3.2.2. Market Share & Forecast

10.3.2.2.1. By Source

10.3.2.2.2. By Application

10.3.3. Argentina Green Carbon Fiber Market Outlook

10.3.3.1. Market Size & Forecast

10.3.3.1.1. By Value

10.3.3.2. Market Share & Forecast

10.3.3.2.1. By Source

10.3.3.2.2. By Application

11. Market Dynamics

11.1. Drivers

11.2. Challenges

12. Market Trends & Developments

12.1. Merger & Acquisition (If Any)

12.2. Product Launches (If Any)

12.3. Recent Developments

13. Global Green Carbon Fiber Market: SWOT Analysis

14. Porter's Five Forces Analysis

14.1. Competition in the Industry

14.2. Potential of New Entrants

14.3. Power of Suppliers

14.4. Power of Customers

14.5. Threat of Substitute Products

15. Competitive Landscape

15.1. Procotex Corp SA

15.1.1. Business Overview

15.1.2. Products & Services

15.1.3. Recent Developments

15.1.4. Key Personnel

15.1.5. SWOT Analysis

15.2. Vartega Inc.

15.3. Sigmatex (UK) Ltd

15.4. Shocker Composites LLC

15.5. Carbon Conversions Co

15.6. SGL Carbon SE

15.7. Toray Industries Inc

15.8. Gen 2 Carbon Ltd

15.9. Catack-H Co Ltd

15.10. Innovative Recycling FC

16. Strategic Recommendations

17. About Us & Disclaimer

Report Description

Table of content

Figures and Tables

Frequently asked questions

What was the market size of the Global Green Carbon Fiber Market in 2025?

Which is the dominating region in the Global Green Carbon Fiber Market?

Which is the fastest growing segment in the Global Green Carbon Fiber Market?

What is the expected growth rate of the Global Green Carbon Fiber Market?