United States Recycled Carbon Fiber Market Projected to Reach US$ 2.46 Billion by 2031, Driven by EV Light weighting and Advanced Pyrolysis Technologies

Leander, Texas and TOKYO, Japan - Dec.10.2025 - "The Recycled Carbon Fiber Market is projected to grow at a CAGR of 11.7% during the forecast period 2024-2031."

The Recycled Carbon Fiber Market is driven by stringent global regulations on emissions and waste reduction, coupled with the need for cost effective, lightweight composites in high performance industries. Market growth is supported by advancements in pyrolysis and solvolysis recovery methods, increasing availability of recovered from aerospace and automotive sectors, and expanding applications in consumer goods, marine, and sporting equipment for enhanced sustainability.

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☛ Recent Industry Developments:
United States:
✅ December 2025:
Vartega Inc. launched its ReForm rCF thermoplastic composites for automotive interiors, featuring 50% recycled content for improved crash energy absorption. The initiative includes a US$ 60 million investment in expansion of its Colorado facility, targeting partnerships with U.S. OEMs like Ford for electric vehicle components.

✅ November 2025:
Carbon Conversions Inc. introduced a high volume pyrolysis process for milled rCF, reducing production costs by 25% for aerospace applications. The company secured a US$ 45 million grant from the U.S. Department of Energy to scale operations in South Carolina for defense grade materials.

✅ October 2025:
Shocker Composites LLC expanded its chopped rCF line for pressure vessels in hydrogen storage, following FAA certification. This involves a US$ 35 million R&D commitment to integrate AI-optimized fiber sorting for enhanced purity.

Global:
✅ December 2025:
Toray Industries Inc. announced a joint venture with a European wind energy firm for rCF in turbine blades, committing US$ 70 million to recycling plants in Germany, focusing on circular economy compliance for renewable sectors.

✅ November 2025:
ELG Carbon Fibre Ltd. unveiled its global solvolysis platform for aerospace recovered recovery, backed by a US$ 55 million investment in UK and Chinese facilities to achieve 95% fiber retention for composite preforms.

✅ October 2025:
FAIRMAT raised an additional US$ 25 million for its automated rCF textile production, acquiring a French startup to boost capacity for marine and sporting goods applications in APAC.

☛ Core Catalysts Behind Market Growth:
Escalating environmental regulations and corporate sustainability goals are propelling the shift from virgin to recycled carbon fibers, reducing landfill waste and carbon footprints in manufacturing.

Growing demand for lightweight materials in EVs, aircraft, and renewables is accelerating adoption of rCF for its comparable strength and 30% cost savings over new fibers.

Technological innovations in non destructive recovery processes like pyrolysis are improving fiber quality and scalability, addressing supply chain challenges.

Expansion of end markets in Asia-Pacific, coupled with government incentives for recycling, are driving investments and global supply integration.

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☛ Market Segmentation :
By Type :
Chopped recycled carbon fiber dominates the market with 62% share, driven by its widespread use in automotive parts, consumer products, and electronic housings where excellent strength to weight ratio and ease of processing are essential. Milled recycled carbon fiber holds 38% share, supported by its growing use in thermoplastics, coatings, and 3D-printing applications where enhanced conductivity, reinforcement, and surface modification properties are required.

By Source :
Aerospace recovered leads the market with 48% share, as aircraft manufacturing generates high quality carbon fiber waste that is ideal for recycling and reuse in performance driven applications. Automotive recovered accounts for 34% share, fueled by increased adoption of carbon fiber composites in electric vehicles, lightweight automotive components, and structural reinforcements. Other sources including wind turbine blades, industrial components, and sporting goods waste contribute 18% share, driven by expanding recycling initiatives and circular economy programs.

By End-User :
Automotive & transportation dominate the market with 30% share, driven by rising demand for lightweight composites to improve fuel efficiency and extend EV battery range. Consumer goods hold 14% share, with recycled carbon fiber increasingly used in electronics, appliances, and lifestyle products. Sporting goods account for 12% share, benefiting from adoption in bicycles, racquets, helmets, and performance gear. Industrial applications capture 18% share, including construction materials, tooling, and chemical processing equipment. Marine applications hold 8% share, supported by corrosion resistant and lightweight composites in boats and marine structures. Aerospace & defense represent 12% share, using recycled fibers for secondary structures, interiors, and non-critical components. Other applications make up 6% share, including 3D printing, energy storage, and custom composite manufacturing.

☛ Competitive Landscape:
The global Recycled Carbon Fiber market is highly competitive, characterized by strategic acquisitions, technology licensing, and collaborations to scale production and meet quality standards for high value applications.

Toray Industries Inc. leads with an estimated 20% share, renowned for its integrated virgin to recycled fiber ecosystem serving automotive and aerospace giants worldwide.

ELG Carbon Fibre Ltd. holds approximately 18% market share, excelling in large scale recovered processing with pyrolysis tech dominant in Europe and North America.

SGL Carbon captures around 16%, leveraging its carbon expertise for milled rCF in industrial and energy storage applications.

Vartega Inc. commands nearly 14% share, focusing on thermoplastic rCF innovations for U.S. based automotive and consumer segments.

Procotex Corporation SA maintains close to 12% market share, expanding in chopped fibers through global partnerships for textile reinforcements.

Other Key Players:
Carbon Conversions Inc., FAIRMAT, Shocker Composites LLC, Karborek Recycling Carbon Fibers, Alpha Recyclage Composites.

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☛ Regional Analysis :
North America :
North America accounts for 35%, driven by advanced recycling infrastructure, EPA regulations, and high demand from aerospace and automotive sectors in the U.S. and Canada.

Europe :
Europe holds 28%, supported by EU Green Deal targets, automotive light weighting in Germany and France, and circular economy initiatives.

Asia-Pacific :
Asia-Pacific captures 25%, as the fastest growing region fueled by industrialization, EV booms, and recovered availability in China, India, and Japan.

Latin America :
Latin America represents 7%, with emerging opportunities in Brazil and Mexico through automotive partnerships and sustainability pilots.

Middle East & Africa :
Middle East & Africa account for 5%, propelled by diversification in UAE renewables and South African industrial applications.

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