Automotive Materials

Automotive Materials are the bedrock of vehicle production innovation, due to increasing lightweighting needs, sustainability requirements, and electrification directions, redefining material choice across automotive use. The U.S. light-duty body-in-white (BiW) automotive steel demand totals around 3.9 million tons annually. In comparison, total automotive steel demand in the U.S. was around 11 million tons in 2023. The growth is led by a sustained uptick in global vehicle production, while manufacturers increasingly balance traditional material performance with emerging lightweight alternatives.

Our study of automotive materials includes three main subcategories that are transforming car design. The Metals segment plays a vital role in structural uses while responding to the need for lightweight materials. Automotive manufacturers are increasingly using high-strength steels and aluminum alloys to reduce weight without compromising safety. Metal uses range from chassis components, engine blocks, and body panels to structural reinforcement, requiring toughness and crash protection characteristics.

Polymers and Plastics exhibit remarkable growth potential, with the automotive plastics market expected to grow at 11% CAGR during the forecast period from 2024 to 2032, driven by the growing consumer need for high-performance and lightweight plastics in vehicles. Driving this growth, the plastic additives market stood at USD 8.09 billion in 2023 and is expected to witness close to 5.4% CAGR during the forecast period from 2024 to 2032, driven by high adoption in the automotive segment.

The Textiles and Fabrics segment demonstrates strong growth in interior and functional uses. The automotive fabric market hit USD 36.7 billion in 2023, expected to grow at a 3.7% CAGR between 2024 and 2032, driven by the need for luxury cars with fashionable interior designs. The market for automotive nonwoven fabrics was valued at USD 3.1 billion in 2023, expected to grow above 4% CAGR between 2024 and 2032, driven by growth in lightweight applications.