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Because then freedom-hating Al-Kai-Duh would use the carbon fiber to built INTERCONTINENTAL BALLISTIC MISSILES and TERRORIST FIGHTER JETS threatening PEACE and FREEDOM in GODS OWN COUNTRY.
More serious version: carbon fibers can be used to built aircraft and missile parts and parts for uranium enrichment centrifuges, and therefore a certain unnamed government which asserts the right to have universal jurisdiction tries to control who has access to these (and lots of other) materials on this planet.
Can't have Kim Jong-un drive around Pyongyang in his pimped out carbon ride, that wouldn't be cool.
> Why is it illegal?
Almost every business activity involving IRANSYRIASUDANNORTHKOREA is considered illegal these days. Even if it involves totally harmless goods.
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