“Carbon Felt and Graphite Felt Market”
Expanding Automotive Exhaust Lining Application Will Drive the Carbon Felt and Graphite Felt Market Growth
The carbon felt and graphite felt market globally is forecast to reach US$ 660 million by 2027 growing at a CAGR of 8.3% during 2022-2027. Owing to the high heat resistance and lightweight property of carbon felt, the material is used extensively in the automotive exhaust lining application in cars, two-wheelers, and trucks. The global automotive sector is booming with the increase in production and sales and this increasing demand will catapult the requirement of carbon felt in automotive exhaust lining application which will drive the growth of the market. For instance, as per the data by the European Automobile Manufacturers Association, new registration in the petrol cars in 2019 accounted for 57.8% of all new cars registered in the European region compared to 55.6% in the previous year. Furthermore, carbon and graphite felt is used in huge quantities inside vacuum furnaces for heat insulation application. The implementation of thermal insulation applications is increasing inside the furnaces owing to the increasing production of steel globally and this will drive the growth of the market in the forecast period. For instance, as per the data by World Steel Association 2021 Stainless Steel Figures report, crude steel produced in 2020 globally amounted to 1878 million which was 1869 million tons in 2019. Polyacrylonitrile raw material is projected to witness the highest demand in the forecast period followed by rayon. The high cost associated with carbon melt manufacturing might hamper the growth of the market.
COVID-19 Impact
The carbon felt and graphite felt market was hit by the COVID-19 pandemic with challenges in the form of supply chain disruption, the temporary factory shut down and raw material procurement impacted the market’s growth. The demand in the market reduced with the reduction in the manufacturing activity in many key application sectors such as the automobile and steel industry amid the pandemic. Market players amplified their service process but still incurred losses. As per the March 2021 news report by SGL Carbon, the company