Impact of Composite Fabrication Technology Trends on Raw Materials

The Impact of the Top 3 Strategic Imperatives on the Composite Fabrication Industry

Transformative Mega Trends

• Why: Discussions around sustainability are increasingly gaining momentum throughout the composites industry.As the demand for composites increases in never and existing applications, replacing conventional materials, end users also want to understand how this switch will help them achieve net zero beyond lightweighting and fuel savings.
• Frost Perspective: Performing a life-cycle assessment (LCA) helps quantify sustainability metrics for specific materials. As the composites industry matures, sizeable efforts towards circularity should be undertaken to avoid dumping / incineration of composites and to ensure a smooth transformation. Emphasis should also be laid on procuring recycled material and devising end-of-life strategies.

Disruptive Technologies

• Why: The high costs associated with composite fabrication are due to considerable energy requirements and significant reliance on skilled labor.These limit the use of composites in high value-low volume applications, which in turn restrict the scope of cost reduction through economies of scale.
• Frost Perspective: Companies in the composites industry are using a range of strategies to overcome these challenges. The implementation of automated processes and disruptive technologies such as out-of-autoclave (OOA) curing can potentially control the labor costs associated with fabricating composite components. Introducing preforming further reduces the cycle times, significantly boosting the production capacity.

Industry Convergence

• Why: Industry convergence represents consolidation among stakeholders operating in the composites industry, redefining boundaries across value chain. Strong integration is observed across fiber manufacturing and composite manufacturing nodes of the value chain, strengthening the entry barriers in this industry, and increasing competition for companies that have not integrated in this way.
• Frost Perspective: Composites are rapidly penetrating a variety of end industries. Manufacturers and regulatory authorities are concerned about the sustainability initiatives in this industry. Considering the industry's close-knit operations, inorganic activities among manufacturers and recyclers can be expected as companies penetrate the closed-loop recycling of composites.

Scope of Analysis

Overview

• Composite fabricated products are used in every industry and the industry is growing at a rapid pace.
• This study analyzes the different fabrication techniques used to manufacture composite products and the subsequent impact on the raw materials required upstream.
• Choosing the right fabrication technique—from mold selection to curing and up to finishing—is essential to deciding the product quality.
• The study covers open mold and closed mold fabrication techniques. These mainly cover hand layup, spray-up, resin infusion—covers Resin Transfer Molding (RTM), light RTM, Vacuum-assisted RTM (VaRTM) and other variations of RTM—compression molding, injection molding, filament winding, pultrusion and prepreg, among others.
• This study assesses the current status and future prospects of the fabrication techniques in aerospace, automotive, marine, energy, and construction industries. These industries account for more than 70% of revenue in the composite industry.
• The study considers shipment volumes and revenue generation from 2020 to 2030 and records revenue and prices at the raw material manufacturer level.
• Prices denote the median price because price variation in the market is high.

Scope

Segmentation

Composite Fabrication Technologies, By End Industry

Aerospace

• Composite materials are used in military and commercial applications as well as space exploration initiatives.

Automotive

• Application covers different automotive vehicles ranging from passenger vehicles to commercial vehicles.
• The segment also includes 2 wheelers as well as recreational vehicles.

Marine

• This segment covers the use of composites in recreational boats, military vessels as well as cargo ships.
• In addition, the segment also covers offshore structures, except wind farms which are covered under ‘Energy Segment’

Energy

• This segment mainly encompasses the use of composites in renewable sources of energy.
• This covers equipment used in applications ranging from power generation to transmission and its subsequent transmission.

Construction

• Construction segment covers composite structures used in civil infrastructure, architectural, residential, bridges, and retrofit projects.
• Specific components include towers, pipes, tanks santawaryare, fixtures and fittings, and so on.

Others

• This segment covers relatively smaller end-industries such as electrical and electronics (E&E), consumer goods, sports and leisure, and so on.
• The study does not discuss trends in these industries separately because they cumulatively account for less than one-third of the market share of the composites industry.
• However, the market share of fabrication technologies in this segment is included to provide a holistic view of the overall market.

This Study Analyzes the Use of Different Fabrication Technologies and Related Trends Across Industries that Use Composite Materials.

Growth Drivers

• Stringent regulations pertaining to carbon emissions spur a rising demand for lightweight materials, such as composites.
• Declining prices of carbon fiber pave the way for a larger volumetric growth.
• The rising global demand for renewable sources of energy drive demand for wind turbines.
• The adoption of composite materials allow a greater flexibility in design.

Growth Restraints

• The cost of composite materials restricts wider adoption.

• Industry's preference on performance optimization over cost optimization limits cost control up to a certain extent, thereby restricting adoption.

• The requirement for skilled labor or automation to fabricate components increases the cost of composites.
• Intellectual properties are closely guarded, increasing barriers to entry and limiting knowledge sharing, thereby obstructing a growth potential in the industry.
• Tedious testing and regulatory approval processes delay the adoption of composite materials across industries.
• Concerns surrounding recyclability of composites hamper growth amid rising focus on sustainability.