Composites Market Report 2026

The composites market size has grown strongly in recent years. It will grow from $114.49 billion in 2025 to $125.61 billion in 2026 at a compound annual growth rate (CAGR) of 9.7%. The growth in the historic period can be attributed to early adoption in aerospace and defense, growth of automotive and transportation sectors, demand for corrosion-resistant and durable materials, development of advanced carbon and glass fiber technologies, early use in wind energy and construction applications.

The composites market size is expected to see strong growth in the next few years. It will grow to $178 billion in 2030 at a compound annual growth rate (CAGR) of 9.1%. The growth in the forecast period can be attributed to rising demand in automotive lightweighting, increasing renewable energy projects, expansion in marine and pipe & tank applications, growing investments in smart and multifunctional composites, increasing adoption in electrical and electronics sectors. Major trends in the forecast period include rising use of lightweight and high-strength composites, increasing adoption of automated composite manufacturing processes, growing demand for smart composites with embedded sensors, expansion of digital twin and iot integration in composites production, rising application of ai in material design and process optimization.

The growing demand for renewable energy is anticipated to drive the expansion of the composites market in the coming years. Renewable energy refers to power generated from environmentally replenished and inexhaustible sources such as sunlight, water, wind, geothermal heat, and biomass. The unique characteristics of composites, including high strength, corrosion resistance, lightweight properties, and durability, make them a preferred choice for various components and structures used in renewable energy applications. For example, in March 2025, according to the International Renewable Energy Agency (IRENA), a UAE-based international organization promoting cooperation, renewable power capacity increased in 2024, reaching 4,448 gigawatts (GW). Additionally, the 585 GW addition last year accounted for 92.5% of the total capacity expansion and marked a record annual growth rate of 15.1%. Consequently, the rising demand for renewable energy is fueling the growth of the composites market.

Leading companies in the composites market are prioritizing technological advancements, focusing on lightweight and high-strength composite materials to serve industries such as aerospace, automotive, and renewable energy. One example is HexForce 1K woven reinforcement fabric, a high-performance composite material designed for superior strength and durability, commonly used in industrial applications within the aerospace and automotive sectors. For instance, in September 2024, Hexcel Corporation, a US-based manufacturer of reinforcement products, composite materials, and engineered products, launched its new HexForce 1K woven reinforcement fabric. This lightweight fabric utilizes Hexcel's proprietary HexTow AS4C 1K carbon fiber, facilitating the production of high-strength, low-weight composite materials. These fabrics are ideal for various industrial applications, including golf shafts, hockey sticks, and automotive components.

In December 2025, Cambium Networks Corporation, a US-based manufacturing company, acquired SHD Group for an undisclosed amount. Through this acquisition, Cambium intends to integrate its AI-driven materials discovery and molecular design capabilities with SHD’s agile, certified global composites manufacturing to speed up time-to-market, scale production, and broaden its addressable markets across aerospace, defense, energy, high-performance automotive, and other industrial sectors. SHD Group Holding GmbH is a Germany-based firm that supplies high-performance composite materials for aerospace, defense, automotive, energy, and industrial applications.

Major companies operating in the composites market report are SGL Carbon Graphite Technic Co. Ltd., Axiom Materials Inc., Mitsubishi Rayon Carbon Fiber & Composites Inc., Johns Manville International Inc., Asahi Fibreglass Company, Owens Corning Fiberglass Company, China Fibreglass Company, Teijin Limited, Taishan Fibreglass SA, Kuraray Co. Ltd., Formosa Plastic Corp., Toray Industries Inc., DuPont de Nemours Inc., KCC Corporation, SAERTEX Wagener GmbH & Co. KG, Taiwan Glass Industry Corporation, Solvay SA, BASF SE, Huntsman Corporation LLC, TPI Composites Inc., Gurit Holding AG.

Asia-Pacific was the largest region in the composites market in 2025 and is also expected to be the fastest-growing region in the forecast period. The regions covered in the composites market are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the composites market are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The composites market consists of sales of natural fiber, aramid fiber, ceramic fiber, and metal fiber. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

This product will be delivered within 1-3 business days.