Carbon fiber has long been the go-to material for automakers aiming to build vehicles that are both lightweight and structurally strong. Valued especially by performance and electric car manufacturers, this material plays a key role in improving efficiency and durability. However, the European Union is now pushing to classify carbon fiber as a hazardous substance — a move that could significantly disrupt global automotive production.
A proposed amendment within the European Parliament seeks to add carbon fiber to the EU’s official list of restricted substances, placing it alongside materials such as lead, cadmium, mercury, and hexavalent chromium. These chemicals, although still used in limited capacities within the automotive and aerospace sectors, are heavily regulated due to their environmental and health risks.
Why Is Carbon Fiber Being Targeted?
The proposal is part of a revision to the End-of-Life Vehicles Directive, the EU legislation focused on managing the recycling and disposal of old vehicles. Lawmakers argue that fine carbon fiber filaments, once airborne, could potentially pose risks to human health, particularly if they come into contact with skin. This marks the first time any government has attempted to label carbon fiber as a hazardous material.
If the amendment passes into law, the classification would take effect starting in 2029. From that point, companies operating within the EU would be required to eliminate carbon fiber from their production lines. Given that automotive manufacturing alone consumes roughly 20% of the world’s carbon fiber supply, the implications could be far-reaching.
Industry Reaction and Potential Fallout
The financial markets responded swiftly. Shares of Japan’s leading carbon fiber producers, including Teijin, Toray Industries, and Mitsubishi Chemical, saw steep declines following the news, according to a report by Nikkei Asia. These three companies dominate over half of the global carbon fiber market, and Asian manufacturers as a whole are expected to be hit hardest by the proposed restrictions. Europe, meanwhile, is home to most of the remaining production capacity.
The automotive sector — particularly the high-performance and electric vehicle segments — stands to face the greatest disruption. Brands like BMW, Hyundai, Tesla, and Lucid rely heavily on carbon fiber components to achieve weight reduction, aerodynamic efficiency, and enhanced structural performance. Sports car and supercar makers will also feel the pinch, as carbon fiber is deeply embedded in their design philosophies.
However, the industry may not go down without a fight. With the global carbon fiber market estimated at $5.5 billion as of 2024, strong resistance from both the aerospace and automotive sectors is expected before any final decisions are made. The outcome of this debate could reshape how future vehicles are designed — and what materials they’re allowed to use.
