This paper explores the role of carbon fibre reinforced plastic (CFRP) in improving the efficiency, safety and sustainability of modern automobiles. The aim is to determine how beneficial carbon fibre is in making vehicles lighter, cleaner and more energy efficient. It examines CFRP’s advantages over traditional materials such as steel and aluminium, its applications in vehicle design and the manufacturing challenges that limit large-scale use. The paper also discusses recycling methods and environmental improvements that make CFRP more sustainable, along with future prospects for its wider use in the automotive industry.