Unlocking Growth Opportunities in the Bio-Composite Materials Market

11 Jan 2024

Bio-composites constitute a distinct segment within the composite materials industry, emphasizing the use of natural fibers and matrices sourced from renewable materials like agricultural byproducts, wood, and bio-based polymers. This approach aims to develop cutting-edge composite materials that are both innovative and environmentally sustainable.  

The global bio-composite materials market was valued at $11.90 billion in 2022, and it is expected to grow at a CAGR of 17.03% and reach $55.93 billion by 2032.   

The global bio-composite materials market is set to grow due to increased awareness and adoption of eco-friendly and biodegradable materials across various industries such as automotive, construction, packaging, and consumer goods.  

Bio-Composite Materials Market Segments: Overview 

As of 2022, the International Energy Agency (IEA) reports the sale of over 10 million electric vehicles. The increasing adoption of electric vehicles is boosting the demand for bio-composite materials.  By 2032, it is expected that the automotive sector will dominate the market share, driven by the rising use of bio-composites in manufacturing a diverse range of trucks and cars.  

In terms of material, wood fiber composites emerged as the frontrunner in the bio-composite materials market in 2022. These bio-composites are produced in diverse forms, encompassing decking, railings, balusters, fences, and other applications.  

Anticipated in the years ahead, substantial growth is foreseen in the global bio-composite materials market, with significant contributions expected from regional markets including China, Asia-Pacific and Japan, Europe, and North America. In the realm of revenue generation, Asia-Pacific and Japan are poised to uphold their status as the leading market for bio-composite materials through 2032.  

Key Trends in the Bio-Composite Materials Market

Recent advancements in bio-composite materials, including natural and wood fibers, along with increased construction projects, automotive industry demand, renewable energy needs, and growth in electronics and consumer goods, are globally driving the adoption of bio-composite materials.   

  • In February 2023, AZEK Company launched a new line of outdoor living products under the TimberTech brand, featuring two stylish composite deck board colors: French White Oak and Dark Cocoa. Renowned for its industry leadership, AZEK Company excels in designing and producing aesthetically pleasing, low-maintenance, and environmentally sustainable outdoor living products, including TimberTech decking, Versatex, and AZEK Trim. 

  • In July 2022, BASF SE introduced a groundbreaking biopolymer, Verdessence RiceTouch, derived from rice for use in mattifying skin care products. This innovative cosmetic ingredient is crafted from non-GMO rice grown in the European Union as part of BASF SE's care creation business. It is designed to efficiently absorb various oils, helping eliminate oily or greasy sensations in cosmetic products and on the skin. 

  • In February 2023, Loop Industries, SUEZ, and SK geo-centric selected the Grand Est region of France as the designated manufacturing site for producing virgin-quality polyethylene terephthalate (PET) plastic made entirely from 100% recycled content. This collaborative project is scheduled to commence construction in early 2025, with the plant expected to be operational in 2027. 

Analyst Note 

According to the BIS Research analyst, “The global bio-composite materials market is likely to grow multi-fold in the coming years during the forecast period, owing to the rapidly growing demand for renewable energy sources for power generation, automotive industry, construction projects, electronics, and consumer goods, among others.”