Global Natural Fiber Composites Market to Reach $7.8 Billion by 2024

Natural fiber composites (NFCs) are typically characterized by low density and high specific strength, and are stiffer than other types of fibers. The production environment for NFCs entails use of relatively less energy, while absorbing CO2 and releasing oxygen into the environment during the production process. In addition, production of NFCs is characterized by less abrasive damage to processing equipment, low hazard, and low cost compared to the production of synthetic fiber composites. Amid the COVID-19 crisis, the global market for Natural Fiber Composites is projected to reach US$7.8 Billion by 2024, registering a compounded annual growth rate (CAGR) of 11.0% over the analysis period. United States represents the largest regional market for Natural Fiber Composites, accounting for an estimated 30.4% share of the global total. The market is projected to reach US$2.5 Billion by the close of the analysis period. China is expected to spearhead growth and emerge as the fastest growing regional market with a CAGR of 14.5% over the analysis period.

The global market for NFCs is poised to remain firm in the coming years, amid growing awareness about the unique properties of natural fibers that aptly address the key requirements of modern composites in various end-use verticals. Increased importance of low weight materials in automotive and aerospace sectors, growing demand for energy efficient and sustainable building and construction materials, and sustained demand for durable and recyclable electronic, electrical and sporting goods would steer expansion in the NFCs market in the coming years. Building codes and automotive emission norms strongly favor the use of environment friendly, low carbon footprint, and recyclable products, while generating market interest in NFCs in established and new uses in construction and automotive sectors. Robust momentum in automotive sector, healthy trajectory in building and construction sector, and robust demand for top of class sporting goods drives overall growth in NFCs market in developed regions. Factors such as massive expansion in building and construction activity, increased production of automotive vehicles, and sustained growth in electrical and electronic manufacturing, are especially augmenting the demand for NFCs in Asia-Pacific region.

The market for Wood fiber composites is forecast to account for a major share of overall market over the analysis period. Known by different names such as manmade wood, engineered wood or manufactured board, wood fiber composites comprise an array of different derivative wood products, all of which are produced by binding the boards, strands or fibers, together with adhesives and binding materials. A primary advantage with wood fiber composites is that these products can be designed for specific performance requirements or qualities, and can be made into different sizes, grades, thicknesses, and exposure durability. Further, environmental impact of these products remains relatively much less compared to solid wood and thermoplastic materials.