Asia Pacific Automotive Composites Market Report (2021-2031) by Scope, Segmentation, Dynamics, and Competitive Analysis

The Asia Pacific Automotive Composites Market is projected to reach USD 16.65 billion by 2031, growing from USD 7.33 billion in 2024. This market is estimated to experience a compound annual growth rate (CAGR) of 12.9% from 2025 to 2031.

Executive Summary and Market Analysis:

The automotive composites market in Asia Pacific is witnessing substantial growth, driven by the region's significant automotive production and rising demand for lightweight, durable, and fuel-efficient vehicles. Asia Pacific is a crucial player in the global automotive industry, hosting some of the world's largest manufacturers, such as Toyota, Honda, Hyundai, and Tata Motors. The demand for composites in this area is fueled by the need to reduce vehicle weight, enhance fuel efficiency, and comply with stringent environmental regulations, which are increasingly important in countries like China, India, Japan, and South Korea.

According to a report by Fastener World Inc., Asia Pacific's automotive production volume rose significantly, increasing from over 46 million units in 2021 to over 50 million units in 2022 and exceeding 55 million units in 2023. The region is rapidly expanding in the automotive market due to a growing middle-class population and increased disposable income. It is the largest regional base for automobile production and the home of the largest vehicle buyers. The top five automobile-producing countries are China (over 30 million vehicles), Japan (nearly 9 million vehicles), India (approximately 5.9 million vehicles), South Korea (over 4 million vehicles), and Thailand (nearly 1.9 million vehicles).

Market Segmentation Analysis:

Key segments contributing to the analysis of the automotive composites market include product type, resin type, technology, vehicle type, and application.

Product Type: The market is divided into glass fiber composites, carbon fiber composites, and others. In 2024, the glass fiber composites segment dominated.

Resin Type: The market segments include thermoset resins (polyester, epoxy, vinyl ester, polyurethane, and others) and thermoplastics (polyethylene, polypropylene, polycarbonate, polymethyl methacrylate, and others). The thermoplastics segment held a larger market share in 2024.

Technology: The market is segmented into pultrusion, injection molding, compression molding, and others. In 2024, the injection molding segment led the market.

Vehicle Type: The market covers passenger cars, commercial vehicles, two-wheelers, and others. In 2024, the passenger cars segment represented the largest share.

Application: The market is segmented by application into structural assembly, powertrain components, interior, and exterior. The interior segment dominated in 2024.

Market Outlook:

The automotive composites market in Asia Pacific is expanding due to the increasing demand for electric vehicles (EVs) and hybrid vehicles. These vehicles require lighter components to counterbalance the weight of heavy batteries, prompting automotive manufacturers to turn to composites to reduce overall vehicle weight. Composites, such as carbon fiber, glass fiber, and thermoplastic materials, offer an excellent strength-to-weight ratio, making them suitable for various applications in EV bodies, interiors, and powertrains. The growth of the EV market, particularly in China, is expected to continue driving demand for composite materials throughout the forecast period as manufacturers aim to enhance range and performance while minimizing environmental impact. The automotive industry is growing rapidly in emerging economies within Asia Pacific, such as India and Southeast Asia. Local manufacturers are seeking to meet the rising demand for affordable, fuel-efficient, and sustainable vehicles. Government policies promoting lightweight materials, lower emissions, and sustainable production processes are encouraging the adoption of composites. For instance, India’s Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) scheme is boosting EV adoption and increasing the demand for composites in the automotive sector.

Country Insights:

The Asia Pacific automotive composites market is further segmented into countries including China, India, South Korea, Japan, Australia, Indonesia, Malaysia, Philippines, Singapore, Thailand, and Vietnam. In 2024, China held the largest market share.

China’s automotive composites market is growing rapidly, driven by the expanding automotive industry and increasing demand for lightweight, high-performance materials. As China transitions towards electric vehicles and enforces stricter emissions regulations, automakers are increasingly adopting composites such as carbon fiber, fiberglass, and natural fibers to boost fuel efficiency and meet regulatory standards.

Company Profiles

Key players in the Asia Pacific automotive composites market include Gurit Holding AG, Hexcel Corporation, Mitsubishi Chemical Group Corporation, SGL Carbon SE, Solvay SA, Teijin Ltd, DuPont de Nemours Inc., Toray Industries Inc., Atlas Fibre, and Elaghmore Advisor LLP. These companies employ various strategies, such as expansion, product innovation, and mergers and acquisitions, to maintain competitiveness and provide innovative products to their consumers. Show more