Skip to content
MarketScale
‹ Back to Industries

Engineering & Construction

Carbon Fiber Prices Drop, Impact to Automotive Industry Is Huge

In the automotive industry, carbon fiber, a composite material, is important to production. It’s also often more expensive than steel. But the growing use of carbon fiber over steel represents the industry’s pursuit of lighter cars that are more fuel efficient in order to bring more value to their customers. This need coincides with the…

This story was produced through MarketScale. See how Engineering & Construction teams put it to work with Partner & Channel Enablement.

Share
Carbon Fiber Prices Drop, Impact to Automotive Industry Is Huge

In the automotive industry, carbon fiber, a composite material, is important to production. It’s also often more expensive than steel. But the growing use of carbon fiber over steel represents the industry’s pursuit of lighter cars that are more fuel efficient in order to bring more value to their customers. This need coincides with the expected price decrease of the material by as much as 90 percent within the coming years. This dramatic decrease, determined by a MAI Carbon Cluster Management GmbH study and reported by Composites Manufacturing Magazine,[1] is poised to have a huge impact on automotive manufacturing.

As the manufacturer’s demand for carbon fiber grows, they’ll need necessary tools to meet those demands. Tools, such as those provided by Magnum Venus Products (MVP). As part of the carbon fiber ecosystem, it is crucial to further discuss what is happening in the market and the growing evolution therein.

Carbon Fiber Will Become the Choice Over Metals

Carbon fiber-reinforced plastics (CFRPs) have exceptional strength to weight ratio, meaning it is both lightweight and durable. Due to this, the use of CFRP over heavier metals is gaining popularity.

With more carbon fiber usage at lower costs, auto manufacturers will have the opportunity to increasingly replace traditional steel parts more and more. Replacing steel with these materials makes the car lighter and able to achieve better gas mileage, which in turn reduces the amount of carbon dioxide in the atmosphere. This urgency to build lighter cars for better gas economy is prompted by the need to meet Corporate Average Fuel Efficiency (CAFE) standards of 54.5 mpg by 2025.

Leveraging carbon fiber allows for new, creative innovation in car manufacturing. With this need to be creative in replacing metals and other materials, new molds and tools will become necessary. MVP is here to meet that need.

What Will Carbon Fiber Replace?

The reduction in weight by using carbon fiber could be as much as 25 to 70 percent compared to metals. Now and for the immediate future, carbon fiber is best suited for closures like doors, lift gates, and hoods, although other structures that could see an influx of carbon fiber usage include seats and instruments as well. By 2020 and beyond, the volume of CFRP used in cars and trucks could well outpace any other applications, according to the study Carbon Fibers: History, Players and Forecast 2020.[2]

Making the Shift by 2020

For the automotive industry to shift to lighter weights and better fuel mileage, heavier parts need to be replaced with comparable materials. In looking at what is light in weight but still robust, carbon fiber and other composites materials are a great choice as replacements. With prices coming down for this material, automotive manufacturers will increasingly use it more and more.

MVP, as a provider of composite application equipment, is excited for what this means for the future of car manufacturing. As the automotive sector continues to increase its carbon fiber usage, MVP will have the tools necessary to best meet those needs.

Read more at mvpind.com

[2] http://www.jeccomposites.com/e-store/carbon-fibres-history-players-and-forecast-to-2020-digital-edition

New to MarketScale?

MarketScale is the platform Engineering & Construction companies use to turn their own experts into content like this. Want the short overview?

Free workspace

You just read one expert. Imagine publishing your whole team.

This article was produced through MarketScale. Create a free workspace and turn your own team's expertise into articles, video, and social posts. No credit card, no demo required.

NPS +73 · 1,000+ creators · 38+ countries

What you get, free

Your own MarketScale Studio workspace
One video edit a month, on us
AI writing, editing, and publishing tools
In-platform coaching to learn the system

More Engineering & Construction Insights

May CRE sales hit $42B as M&A activity surges 205%

May CRE sales hit $42B as M&A activity surges 205%

Commercial real estate sales in May 2026 reached $42 billion, fueled by a dramatic 205% increase in merger and acquisition activity. The surge indicates strong investor confidence and a competitive marketplace in the commercial real estate sector. This trend reflects broader economic dynamics impacting the real estate industry.

  • 01Commercial real estate sales hit $42 billion in May 2026.
  • 02Merger and acquisition activity increased by 205%.
  • 03Strong investor confidence is driving the market.

Jun 28, 2026

AI and automation fuel a new wave of real estate and property tech investment

AI and automation fuel a new wave of real estate and property tech investment

Proptech startups are securing new investments as AI advancements provide novel solutions in real estate, from construction robotics to property tax management. This trend signals a significant shift in the industry, driven by technology's transformative power. The integration of automation and AI brings efficiency and innovation to traditional real estate processes.

  • 01Proptech startups are attracting fresh capital due to AI advancements.
  • 02AI is transforming various real estate operations, including robotics and tax appeals.
  • 03Automation is driving efficiency and innovation in the real estate sector.

Jun 28, 2026

The reshoring boom that wasn't: U.S. factory construction keeps falling despite tariff push

The reshoring boom that wasn't: U.S. factory construction keeps falling despite tariff push

New factory construction in the U.S. has been on the decline since 2024, despite tariffs and political efforts encouraging reshoring. The trend contradicts expectations that such measures would boost domestic manufacturing facilities. This ongoing decrease indicates broader challenges in the U.S. construction and manufacturing sectors.

  • 01U.S. factory construction has fallen since 2024.
  • 02Tariffs and reshoring efforts have not increased domestic manufacturing.
  • 03Challenges remain in the U.S. construction and manufacturing sectors.

Jun 25, 2026

Explore More Engineering & Construction Insights

Read more expert perspectives from across Engineering & Construction.

Browse Engineering & Construction Hub