Market growth is fuelled by rising sustainability pressures, escalating CFRP waste, and increasing adoption in automotive, aerospace, and electronics applications. Chopped recycled carbon fibers dominate with a 69.3% revenue share, enabling lightweight, high-strength EV battery trays, aerospace interiors, and 5G radomes. Cross-industry collaborations and closed-loop initiatives, supported by government incentives and circular economy regulations in Europe, are accelerating supply chain integration and industrial-scale recycling.
Chicago, Jan. 22, 2026 (GLOBE NEWSWIRE) — The global recycled carbon fiber market was valued at 96.10 million in 2024 and is expected to reach US$ 263.87 million by 2033, growing at a CAGR of 11.89% from 2025 to 2033.
The carbon fiber industry continues to expand rapidly, boosted by demand from aerospace, automotive, and construction sectors, but its environmental footprint remains a pressing concern. Despite advancements, about 30% of carbon fiber produced globally is discarded as waste, with the aerospace sector alone contributing more than 24,000 tons to landfills or incineration annually.
Request Sample PDF Copy: https://www.astuteanalytica.com/request-sample/recycled-carbon-fiber-market
This waste represents both a significant ecological burden contributing to CO2 emissions during decomposition and an economic loss of high-value material, as virgin carbon fiber production remains energy-intensive. With the global carbon fiber market now valued at US$ 8.5 billion in 2024 and projected to grow at 10.9% through 2033, the urgency to address waste inefficiencies has intensified.
Recycled Carbon Fiber Market Emerges Amid Growing Sustainability Pressures
Recycling initiatives are gaining momentum as the recycled carbon fiber market confronts a surge in waste from carbon fiber-reinforced polymers (CFRP). Annual CFRP waste is anticipated to reach 20,000 tons by 2025, compounded by the impending retirement of 6,000–8,000 commercial aircraft by 2030, which will flood the market with recyclable materials.
While the recycled carbon fiber segment is still nascent, it is projected to grow alongside the broader market, which is anticipated to exceed US$ 17 billion by 2035. Innovations in pyrolysis and solvolysis recycling methods are critical to recovering high-quality fibers, but scalability and cost barriers persist. Meanwhile, industries like automotive are driving demand for lightweight recycled composites to meet sustainability targets, with applications expanding into structural components and battery housings for electric vehicles.
Cross-Industry Collaboration Accelerates Closed-Loop Systems in Recycled Carbon Fiber Market
The change toward circularity has spurred alliances between producers and recyclers to develop closed-loop systems in the recycled carbon fiber market. In 2024, the European Union’s Circular Economy Action Plan allocated €4.3 billion to industrial recycling, with carbon fiber prioritised under its “Sustainable Products Initiative.”
For instance, Toray Industries and Veolia launched a 2024 joint venture to recover 1,200 tonnes/year of carbon fiber from end-of-life aircraft, targeting 90% purity via advanced pyrolysis. Similarly, BMW’s “Secondary First” strategy mandates 50% recycled content in Neue Klasse models by 2027, backed by a €200 million investment in rCF supply chains.
Skeptics argue that scaling closed loops requires solving logistical bottlenecks in the recycled carbon fiber market. A 2024 McKinsey report notes that 65% of carbon fiber waste remains in landfills due to fragmented collection networks. Startups like Carbon Clean in Germany are addressing this via AI-driven sorting systems, achieving 98% material recovery rates.
Cross-industry initiatives like the Carbon Fiber Recycling Facility (CFRF) in Scotland, which processes 500 tonnes/year of composite waste from aerospace and wind sectors, show collaborative potential. Vestas’ 2024 pledge to achieve zero-waste turbine blades by 2040 hinges on such facilities. Meanwhile, regulatory tailwinds like France’s 2024 “AGEC Law,” penalizing virgin carbon fiber use in non-critical applications, are reshaping procurement strategies.
Automotive EV Battery Trays Drive Majority Demand for Chopped Recycled CFRP
The chopped recycled carbon fiber segment in the recycled carbon fiber market holds an ironclad 69.3% revenue share (US$ 3.8 billion in 2024), boosted by its unmatched adaptability in high-throughput industries. Automotive thermoplastic compounding accounts for 58% of its demand, with Toyota, Ford, and Tesla sourcing chopped fibers for EV battery trays, reducing weight by 24% while enhancing crash resistance by 31% versus aluminum.
A 2024 McKinsey study confirms recycled chopped fibers lower production costs by US$ 18.50/kg compared to virgin carbon fiber, a key factor as automakers target US$ 2.30/kg price parity with steel by 2030. BASF’s 2024 launch of Ultramid CFRT (40% recycled content) with 2.1 GPa tensile strength has disrupted aerospace interiors, cutting Airbus A320 seat frame weights by 17%.
Electronics applications are surging in the recycled carbon fiber market, with 5G (base stations) integrating 22% chopped carbon fiber in radome composites for Huawei and Nokia, improving RF shielding by 15 dB. In North America, Siemens’ collaboration with Vartega to develop recycled CFR-PEEK filaments for 3D-printed drone frames has cut material waste by 43%.
Regionally, North America leads with 41% market share, fueled by DOE grants of US$ 47 million for composite recycling R&D, while APAC grows at 14.2% CAGR due to China’s push for 30% recycled content in wind turbine blades. However, competition from recycled glass fibers in construction applications (priced 68% lower) threatens market penetration below the US$ 75/kg threshold.
Europe Sets Benchmark for Industrial Circular Economy in Composite Materials
Europe’s 39% revenue share in the recycled carbon fiber market stems from its aggressive regulatory framework and cross-industry collaboration. The EU’s 2024 Circular Economy Action Plan mandates a 65% composite recycling rate for automotive and aerospace sectors by 2030, with fines of €40–€90/ton for non-compliance, pushing manufacturers like BMW and Airbus to integrate recycled CFRP.
Germany leads with 43% of Europe’s recycled fiber demand, boosted by its €1.2 billion federal investment in composite recycling hubs like the Carbon Circle Alliance in Leipzig, which processes 8,500 tons/year of aerospace scrap. France’s REACH-compliant tax incentives slash R&D costs by 22% for companies like Arkema, which now produces PA66 composites with 50% recycled fiber for Stellantis EVs. Airbus’s “Waste2Wing” initiative, sourcing 30% recycled carbon fiber from retired A350s for new cargo door hinges, demonstrates industrial circularity. Also, the EU Carbon Border Adjustment Mechanism (CBAM) penalizes virgin carbon fiber imports, encouraging local recyclers like ELG Carbon Fibre to expand capacity by 18% in 2024.
Recycled Carbon Fiber Market Major Players:
- Carbon Conversions Inc.
- Saint Gobain S.A.
- AGC Inc.
- Alpha Recyclage Composites
- Nippon Sheet Glass Co. Ltd.
- Procotex Corporation SA
- Shocker Composites LLC
- Carbon Fiber Remanufacturing
- Carbon Fiber Recycling, Inc.
- SGL Carbon
- Toray Industries, Inc.
- Central Glass Co. Ltd.
- Vartega Inc.
- Other Prominent Players
Key Market Segmentation:
By Type
- Chopped recycled carbon fiber
- Milled recycled carbon fiber
By Sources
- Automotive
- Aerospace
- Others
By Processes
- Pyrolysis
- Solvolysis
By Application
- Automotive
- Wind Energy
- Civil Engineering
- 3D Printing
- Energy Storage
- Sporting Goods
- Marine
- Thermoplastic Compounding
- Oil & Gas
- Pressure Vessels
- Aerospace and Defense
- Others
By Region
- North America
- Europe
- Asia Pacific
- Middle East and Africa
- South America
For more information about this report visit: https://www.astuteanalytica.com/industry-report/recycled-carbon-fiber-market
About Astute Analytica
Astute Analytica is a global market research and advisory firm providing data-driven insights across industries such as technology, healthcare, chemicals, semiconductors, FMCG, and more. We publish multiple reports daily, equipping businesses with the intelligence they need to navigate market trends, emerging opportunities, competitive landscapes, and technological advancements.
With a team of experienced business analysts, economists, and industry experts, we deliver accurate, in-depth, and actionable research tailored to meet the strategic needs of our clients. At Astute Analytica, our clients come first, and we are committed to delivering cost-effective, high-value research solutions that drive success in an evolving marketplace.
Contact Us:
Astute Analytica
Phone: +1-888 429 6757 (US Toll Free); +91-0120- 4483891 (Rest of the World)
For Sales Enquiries: sales@astuteanalytica.com
Website: https://www.astuteanalytica.com/
Follow us on: LinkedIn | Twitter | YouTube
CONTACT: Contact Us: Astute Analytica Phone: +1-888 429 6757 (US Toll Free); +91-0120- 4483891 (Rest of the World) For Sales Enquiries: sales@astuteanalytica.com Website: https://www.astuteanalytica.com/
Disclaimer: The above press release comes to you under an arrangement with GlobeNewswire. IndiaShorts takes no editorial responsibility for the same.
