Lignin-based carbon fibres may replace both glass fibres and fossil-based carbon fibres. The objective of this study was to determine the environmental impact of the production of lignin-based carbon fibres using life cycle assessment. The life cycle assessment was done from cradle to gate and followed an attributional approach. The climate impact per kg of lignin- based carbon fibres produced was 1.50 kg CO2,eq. In comparison to glass fibres, the climate impact was reduced by 32% and the climate impact of fossil-based carbon fibres was an order of magnitude higher. A prospective analysis, in which the background energy system was cleaner, showed that the environmental impact of lignin-based carbon fibres will decrease and outperform the glass fibres and fossil-based carbon fibres from a climate impact point-of-view. The constructed LCA model can be applied in further studies of products that consist of or use lignin-based carbon fibres.