Carbon Black Market By Process (Acetylene Black, Furnace Black, Lamp Black, Channel Black), By Grade (Specialty Grade, Standard Grade), By Application (Tires, Plastics, Coatings, Printing Inks, Toners), By Geography, Segment revenue estimation, Forecast, 2021-2030

Industry Report and Statistics (Facts & Figures) - Material Volume (Metric Ton), Price, Demand & Sales Analysis by Process, Grade & Application

The global carbon black market will witness a robust CAGR of 5.5%, valued at $13.45 billion in 2021, expected to appreciate and reach $21.85 billion by 2030, confirms Strategic Market Research. Asia-Pacific accounted for a sizeable market share of over 55 % in 2021. Carbon black is a substance created when coal, vegetable matter, coal-tar, or petroleum products such as fluid catalytic cracking tar, fuel oil, and ethylene cracking are burned partially. Although lower than activated carbon, carbon black is a type of Para crystalline carbon with a high surface area to volume ratio. It differs from soot because it has a substantially larger surface area to volume ratio and significantly less polycyclic aromatic hydrocarbon (PAH) content (nil and non-bioavailable). However, carbon black is frequently employed in diesel oxidation investigations as a model material for diesel soot. Tires and other rubber products utilize carbon black as a coloring agent and strengthening filler. Plastics, paints, and ink pigment all employ carbon black as a coloring agent and wear-protection ingredient. The majority of carbon black's uses (70%) are as a pigment and reinforcing material in automobile tires.

Additionally, black carbon aids in heat transfer away from the tread and belt region of the tire, minimizing thermal wear and extending tire life. Manufacturing belts, hoses, and other non-tire rubber products account for around 20% of global production. The remaining portion is primarily utilized as a pigment in plastics, coatings, and inks. Because it absorbs U.V. radiation, carbon black is added to polypropylene to prevent the material from deteriorating. After thorough research, it was determined that carbon black could be utilized in products in Canada, including consumer food packaging. This is because carbon black is bound in a matrix and unavailable for exposure in most consumer products, such as plastic and rubber pigment.

The world’s second largest supplier of carbon black is Russia because of its large fossil fuel industry. Around 54 percent of the carbon black supply of Europe comes from Russia. However there has been a carbon black shortage since the Russia Ukraine war because the supply of carbon black has been choked through a combination of logistical problems and manufacturers and producers withdrawing from the country. Due to the above factors the entire carbon black industry is taking a toll.

 

 

Market Drivers - Usage In the Plastics, Coatings, And Manufacturing Industries Are Expanding, And Demand for Carbon Black Is Expected to Increase as The Global Rubber Sector Expands.

• The global market for carbon black is being driven by an increase in demand for the material across various industries, including paints & coatings, rubber reinforcement, battery electrodes, plastics and inks & toners. The market for carbon black is primarily propelled by the rising use of carbon black in the tire sector. The volume of the worldwide tire industry was 1.498 billion units in 2020, down 11.5 percent from 2019, as per Kordsa Teknik Tekstil AS. It is also anticipated that by 2023, the volume of the entire tire sector will be 1.813 billion units. Carbon black is readily utilized as a reinforcement filler in formulations for the rubber used in tires and non tire products. Vehicle manufacturing and sales are increasing globally, which is boosting the entire industry. Rubber in the tires is frequently reinforced with carbon black and it accounts for around 30% of a tire's weight. Automotive rubber parts, including engine mounts, hoses, anti-vibration components, and sealing systems, all include carbon black, a crucial component. From a survey done by SMR, it can be stated that Asia is home to China, India, and Japan, three of the top four tire markets worldwide. In 2020, there were anticipated to be 1.3 billion tires sold in Asia, valued at US$ 97.4 billion. These three nations accounted for 70% of that market. The carbon black market is being driven by urbanization, industrial expansion, and an increase in the number of manufacturing and construction industries worldwide. In addition, carbon black is utilized to improve performance in several end-use industries, including the paint and coatings, ink and pigment, and plastics industries. Because it makes rubber stronger and more durable, carbon black is in high demand in the rubber sector. According to a research conducted by SMR, it can be concluded that the global demand for natural rubber (N.R.) increased by 9.3% year over year to 14.1 million tonnes in 2021. Tires made of rubber are protected from oxidation and U.V. rays by carbon black, another rubber component. As a result, carbon black is used more frequently as a filler in rubber compositions. It gives rubber strength, expands the material, and enhances its physical characteristics, particularly in mechanical rubber products like industrial rubber, membrane roofing, and automotive rubber components, including hoses, anti-vibration parts, and sealing systems. From a survey done by SMR, it can be stated that in both automotive and non-automotive applications, the rubber sector uses carbon black in amounts close to 90%. While only 30% of carbon black is used in non-tire applications, tires account for about 70% of its use.

 

• Apart from this, the rise in usage of recovered carbon black (eco-friendly material obtained from recycling of discarded tyres) , conductive carbon black (widely used for improvisation of thermal, and electric conductivity), radar-absorbent materials (formed by blending carbon black with glass composite, and used commonly for reduction of radar cross-section) , gum vulcanization (used widely for improvisation of physical properties of carbon black filled vulcanized rubber, like elasticity, oil resistance), etc., are also promoting the market growth.

 

Restraints - Higher cost of Carbon Black Market

• The carbon black price has been escalating continuously with time. SMR’s research showed that in 2022, the price increased from almost USD 1415/Mega-ton to USD 1485/Mega-ton from the month of July till September, and in 2021 from nearly USD 1,330/MT to USD 1,365/MT from Jan to March, thereby plummeting market growth.

 

• During the production process of Carbon Black various hazardous gases are released like carbon monoxide, carbon dioxide, sulphur dioxide which is shrinking the overall product demand. These gases when inhaled can cause nausea, dizziness, headache, tightness of chest and many other detrimental health issues. As a result of which, various stringent rules and regulations are imposed by governments of myriad number of countries. International Agency for research on Cancer raised concerns with respect to the health hazards of the product on human beings. Carbon Black is listed by IARC as a Group 2B material which has a high level of carcinogenicity and can be detrimental to human health. The above restraining factors are causing reduced product adoption and is poised to hinder the overall market growth.

 

Market Opportunities - High Demand in the APAC Market, Increasing Need for Conductive Characteristics and U.V. Protection in Polymers

• Asia Pacific led the global market for Carbon Black followed by Europe and North America. Environmental regulations that are too strict could hinder the growth in the markets of Europe and North America. However, the rising demand for tires is anticipated to support the industry. From a research conducted by SMR, it can be concluded that over $15 billion were spent on capital projects in the worldwide tire business in 2020. By 2024, there will be an average annual raise of 3.3 percent, reflecting both production and demand. The growing economy of Asia Pacific have had high economic growth, fast industrialization, and urbanization, increasing regional demand for carbon black. Positive regulatory policies and increasing foreign investment are the factors fostering market expansion. The region is becoming an industrial hub, which has boosted the demand for the material in recent years. Due to the reduced labor costs and government backing in nations like India, China, and Vietnam, major firms are moving their manufacturing operations there.

 

• An efficient and often used U.V. stabilizer is carbon black. The pigment uses particle reinforcement and U.V. absorber in various plastic applications. Before extruding or molding, U.V. stabilizers like carbon black are applied to plastic. The U.V. stabilizers absorb or screen the harmful U.V. rays, and their energy is converted into heat that is harmlessly dispersed throughout the product. When exposed to sunlight, all materials heat up because they absorb the sun's rays. While sunlight has little impact on many materials beyond basic heating, it does cause a breakdown in other materials, most notably polymers. Studies on the deterioration of plastic by sunshine have revealed that the frequencies at the higher energy end of sunlight, in the ultraviolet portion of the spectrum, are the most harmful for plastics. As carbon black absorbs U.V. radiation, it is added to polypropylene or polymers to prevent the material from deteriorating.

 

 

Carbon Black Market Analysis Of Different Segments Covered in the Report

Based on Process

• Acetylene Black

• Furnace Black

• Lamp Black

• Channel Black

 

Based on Grade

• Specialty Grade

• Standard Grade

 

Based on Application

• Tires

• Plastics

• Coatings

• Printing Inks

• Toners

 

Regional Coverage Analysis

North America

 

• The U.S.

• Mexico

• Canada

 

 

Europe

• UK

• Germany

• Russia

• France

• The rest of Europe

 

Asia-Pacific

• India

• China

• Japan

• Korea

• Rest of the Asia-Pacific

 

LAMEA

• Saudi Arabia

• Brazil

• Rest of the LAMEA

 

 

Segments Analysis & Insights 

The market for carbon black is divided into segments according to process, grade, application, and geography. According to the processing method, it is ramified into lampblack, furnace black, channel black, and acetylene black. The market's largest contributor was the black furnace category. The market share is expected to rise due to the furnace black method for rubber reinforcing. Additionally, this method is also employed to create color pigments for cosmetics, and its expanded usage is anticipated to further accelerate market expansion. Research conducted by SMR concludes that in 2022, the Cosmetics segment will generate $100.50 billion in revenue. The market is anticipated to expand by 7 percent yearly. This expansion in the cosmetic market will result in the expansion of the black furnace category in the global Carbon Black Market.

 

Based on Grade, the market is ramified into speciality and standard grade. In the year 2021, standard grade dominated the carbon black market. This is due to the high adoption rate of standard grade rubber-based products like cables, wires, tires which are readily used for myriad number of industrial applications. Due to the increased usage in the plastic, inks and coatings industries, the speciality grade segment is going to witness and foster a significant growth rate. The rising need for lithium-ion batteries is anticipated to further accelerate market expansion during the forecast period. By 2030, it is anticipated to account for 29.25 percent of the market.

 

In terms of Application, the market is divided into tires, plastics, coatings, printing inks, and toners. The market's largest contributor was the tire segment, but the category for plastics is anticipated to develop and prosper at the highest CAGR throughout the projection period. Carbon dark is a pigment and reinforcing component in automotive tires, accounting for around 70% of its most well-known applications. The capability of carbon black to transfer heat away from the tread and belt region of the tire reduces thermal damage and elongates the useful life of tires. The automotive market is anticipated and poised to grow predominantly as the demand for vehicles rises. The need for carbon black, notably for tires and seat belts, is expected to increase due to the above predominant factor.

 

With a revenue share of greater than 40 percent in 2021, Asia Pacific emerged as the market for specialty carbon black that was expanding the fastest. Increased plastic usage in key end-use industries like automotive, construction, conductive polymers, & packaging is primarily responsible for this region's growth. An increase in polymer manufacturing is poised to continue to be a robust contributor to the regional market expansion during the forecast period especially in countries like China, India, and Southeast Asian nations, like South Korea, Thailand, Malaysia, and Vietnam.

 

In 2021, North America carbon black market also held a sizable portion of around 2.51 billion USD. Demand for products including paints and coatings, molded plastics, wires and cables is projected to be sparked by the U.S. economy's economic recovery and growing commercial and automobile manufacturing activity.

North America has a significant market for conductive grade speciality carbon black used in food packaging due to the expanding packaged and polymer food industries.  One of the world's biggest automotive marketplaces is the United States. Due to newly discovered domestic cost advantages, major automakers have moved production from other nations to the United States. Because of its sizable consumer base, welcoming investment policies, accessible infrastructure, highly qualified labor, and government incentives, the United States has emerged as a global leader in the auto industry. Therefore, the resurgent automobile industry in the U.S. is anticipated to benefit the market. Regarding revenue, Europe was the second-largest geographical category in 2021, and it is predicted to grow at a CAGR of 7.45 percent over the next few years. This is linked to both the general economy's revival and the robust demand from the textile sector.

 

Carbon Black Market Report Coverage

Report Attribute	Details
Forecast Period	2021 – 2030
Market size value in 2021	USD 13.45 Billion
The Revenue forecast in 2030	USD 21.85 Billion
Growth rate	5.5%
The base year for estimation	2021
Historical data	2017 - 2020
Quantitative units	Revenue in USD million/billion and CAGR from 2021 to 2030
Report coverage	Revenue forecast, company ranking, competitive landscape, growth factors, and trends
Segments covered	Process, Grade, Application, Region
Regional scope	Europe, Asia Pacific, North America, LAMEA
Country scope	US, Canada, Mexico, Russia, Germany, UK, France, Rest of Europe, China, Japan, India, South Korea, Africa, Brazil, Middle East, Saudi Arabia Rest of Latin America, Rest of Asia Pacific
Key companies profiled	Birla Carbon, Omsk Carbon Group, Continental Carbon Company, Atlas Organics Private Limited, International China Oak Investment Holdings Co. Ltd., Ralson, Cabot Corporation,  Himadri Speciality Chemical Limited, Tokai Carbon Co Ltd.,  Orion Engineered Carbons GmbH, Philips Carbon Black Limited

 

Carbon Black Market Competitive Landscape Analysis

Participants in the market are targeting their efforts on creating new carbon black that is sustainable over the long run. Competitive factors significantly affecting market growth include regulatory approvals, product portfolio, pricing, and manufacturing technology. The market is experiencing massive capital expansions as businesses compete for future market share. The steps taken by businesses like Continental Carbon & Birla Carbon show that the market is anticipated to grow more quickly. As the demand for packaged foods rises across several nations, businesses in the Asia Pacific region concentrate on expanding their manufacturing capabilities. Players are also concentrating on raising their investments to expand their manufacturing capabilities and meet the growing demand for the items on a global scale. Some significant participants in the international specialty carbon black market are:

 

• Birla Carbon

• Omsk Carbon Group

• Continental Carbon Company

• Tokai Carbon Co, Ltd.

• Cabot Corporation

• International China Oak Investment Holdings Co., Ltd.

• Atlas Organics Private Limited

• Himadri Speciality Chemical Limited.

• Orion Engineered Carbons GmbH

• Philips Carbon Black Limited 

• Ralson

 

 

Recent Developments:

• On June 2022, Birla Carbon announced an increase in capacity in important markets. Strategic markets in Europe, India, and China will be included in the growth. According to the growth ambitions of its clients, Birla Carbon will expand by 80 kMT in India, 40 kMT in Hungary, and 80 kMT in China. By market trends driven by sustainability, the company will also increase its capacity for the surface treatment of high-value specialty materials in India to better serve customers in crucial applications like water-based coatings.

 

• VULCAN 3-LP carbon black, a new low polycyclic aromatic hydrocarbon compound for rubber use, was introduced by Cabot Corporation in October 2021. With this launch, the business showcased that it is dedicated to continue and offer creative solutions to the consumers' demands for high-performing products.

 

• Orion Engineered Carbons S.A. introduced a new renewable carbon black product called ECORAX Nature in June 2021 for rubber applications. Industrial-grade, plant-based oils not derived from fossil fuels which are renewable are used to make this product.

 

• Circle (A significant supplier of Sustainable Carbonaceous Materials) and Birla Carbon collaborated in May 2021. Thanks to this agreement, the tire, mechanical rubber goods, and plastic industries will now access the single largest supply of sustainable carbonaceous materials.

 

• At its manufacturing location in Franklin, United States, Cabot Corporation completed a significant air pollution reduction project in April 2021. This technology enhances air quality by significantly reducing NOX, and SO2 emissions, as a result of which over 20 tonnes of total pollutants are reduced daily. Additionally, Cabot's plant waste heat is collected and used to produce up to 50 megawatts of electricity without adding to greenhouse gas emissions.

 

Various Devices that Market Leaders are Manufacturing

Name	Feature	Key Player
Industrial Rubber Carbon Black	A variety of product qualities are offered by Industrial Rubber Carbon Black, each specific to the particular use. Carbon black offers the necessary characteristics for many of your everyday rubber applications, including resistance for weather stripping & commercial roofing, as well as abrasion resistance for footwear & flex strength for the conveyor belts and hoses.	Continental Carbon Company
N115	Under super abrasion black, it is a high fineness grade with a medium structure and surface activity. It has good capabilities for cut and chipping as well as tear strength. It works well for truck tyres and off-road tread compounds.	Himadri Speciality Chemical Ltd.
N121	Excellent fineness, high structure grade, and good surface activity. All are present in this black with super abrasion. It provides exceptional traction, treadwear, and durability. It is utilised in truck, bus, and passenger tyre formulations.	Himadri Speciality Chemical Ltd.