Market Trends of Latin America Automotive Carbon Fiber Composites Industry
This section covers the major market trends shaping the Latin America Automotive Carbon Fiber Composites Market according to our research experts:
Electrical Cars Sales Will Drive the Carbon Fiber Automotive Market
Reducing the weight of electric vehicles has significant importance with the greater secondary cost savings associated. However, Composite materials will help to compensate for the extra weight of installing batteries and electrical engines. This allows manufacturers to not only focus on lighter batteries but the entire white body of the vehicle.
For instance, in 2019 the BMW Group has selected SGL Carbon to produce a cover component for battery enclosures. This substantial multi-year order will include creating an innovative glass-fiber-based cover plate for the battery housing for usage in the future plug-in hybrid model of BMW Group.
Many carbon fiber composites companies are offering a solution to reduce the weight of electric vehicles. For instance, Companies like Kordsa are offering new lightweight materials and engineering solutions to produce lightweight cars for future hybrid electrical cars as their sales are expected to boom in the future.
High cost of carbon fiber restricts the usage in high volume vehicles. Additionally, continuous availability and high cycle time remain the major challenges in the expansion of the industry.
Brazil is leading the Latin America Automotive Carbon Fiber Market
Brazil has the largest carbon fiber composites industry in the Latin America region. The recovery of the automotive industry and increased urbanization have resulted in the growth of the region's automotive fiber composites market. However, the country is again seeing a down since the beginning of the COVID-19 pandemic. However, the automotive industry is expected to make a comeback by 2021, promoting sales for automotive carbon fiber composites in the Latin America region.
Brazil's automotive carbon composite industry is characterized by small and large companies such as Elekeiroz, Embrapol, Cromitec, and Fiacbras, ranging in molding, fabrication, and materials suppliers. Brazil has a well-established manufacturing location in the center of Latin America, where goods can be easily exported to neighboring nations as raw materials or finished products needed for automotive fiber carbon composites.
Additionally, low per-capita helps the demand for automotive carbon composites consumption in the Latin region. The rise in the automotive industry in Brazil has resulted in a significant demand for carbon composites manufacturers to reach the need for various customers in the Latin America region.
