Carbon Fiber Prices Surge 10000 Yuan as Drone Boom Drives 52 Percent Sales Growth

A sudden 10,000 yuan per ton price hike on Jilin Chemical Fiber’s 3K wet-spun carbon fiber sent shockwaves across China’s advanced materials market on May 13. The increase comes amid skyrocketing demand from the low-altitude economy, with booming orders for drones and flying vehicles tightening supply.

Following the announcement, shares of Jilin Chemical Fiber Co. hit the daily trading limit, closing at 4.10 yuan on May 14. Company officials emphasized that this price adjustment targets only 3K wet-spun carbon fiber, a niche yet high-performance product, and represents a 4% increase based on previous price ranges between 150,000 to 400,000 yuan per ton.

While carbon fiber is not the firm’s primary revenue stream—viscose fiber remains dominant—the company has been strategically investing in the carbon fiber sector, viewing it as a second growth engine. This year alone, Jilin Chemical Fiber raised prices multiple times, including a March hike affecting both wet and dry-spun fiber grades.

3K carbon fiber is one of the most commonly used formats, prized for its exceptional strength-to-weight ratio and thermal resistance. The wet-spinning process allows for deep resin bonding and flexible application in irregular structures, making it ideal for components such as drone arms and eVTOL rotors.

Carbon fiber’s tensile strength exceeds 3500 MPa, and its elastic modulus can surpass 230 GPa, making it up to nine times stronger than steel at a fraction of the weight. As eVTOL aircraft and drones demand ultralight yet durable materials, carbon fiber now dominates structural components, comprising over 63% of eVTOL composite materials.

Jilin Chemical Fiber has aligned itself with major players like Xpeng, EHang, and DJI, forming a dual-market strategy covering both drones and flying cars. The firm now controls over 50% of China’s drone-grade carbon fiber market and nearly 95% in wind power applications.

In Q1 2025, the company reported a 52% year-over-year increase in carbon fiber sales, continuing the momentum from 2024. This surge aligns with China’s drive to establish the low-altitude economy as a pillar of new productive forces, with policy tailwinds expected to accelerate industry adoption further.