Carbon Black Market Size, Share & Industry Analysis, By Process Type (Furnace Black, Thermal Black, Acetylene Black, and Others), By Grade (Standard Grade and Specialty Grade), By Application (Tire, Non-Tire Rubber, Inks & Toners, Plastics, and Others), and Regional Forecast, 2024-2032

The global carbon black market size was valued at USD 27.44 billion in 2023 and is projected to grow from USD 28.76 billion in 2024 to USD 41.28 billion by 2032, exhibiting a CAGR of 4.6% during the forecast period. Asia Pacific dominated the carbon black market with a market share of 57.84% in 2023. Moreover, the carbon black market size in the U.S. is projected to grow significantly, reaching an estimated value of USD 5.38 billion by 2032, driven by the rising adoption of specialty grades in inks & toners application.

Carbon black is obtained from the thermal decomposition of heavy petroleum raw materials such as ethylene cracking tar, coal tar, or FCC tar. It is highly adopted, owing to its beneficial characteristics such as absorption of ultraviolet (UV) light and converting it into heat, improved thermal conductivity, and increased tire tread wear and rolling resistance. Processes, such as oil furnaces and thermal, are mainly used in product manufacturing. A massive quantity of carbon black is used specifically in tires as exceptional rubber reinforcement. Carbon black is likewise an exceptional coloring agent as a black pigment and is extensively used for printing inks, resin coloring, paints, and toners. Furthermore, carbon black is utilized in numerous different applications as an electric conductive agent, consisting of antistatic films, fibers, and floppy disks. Its increasing use in tire manufacturing and other applications is projected to fuel the market growth.

The automotive industry was severely affected by the COVID-19 pandemic. The movement of man and material alike had been affected and this caused disruptions in supply chains. Also, the pandemic led to the closure of production and assembly plants worldwide hampering the demand for tires which resulted low sales of carbon black in 2020.

Carbon Black Market Trends

Rising Product Demand for Manufacturing of Plastic Goods to Drive Market Growth

The product is mainly used in plastics as a conductive filler material, pigment, and particulate reinforcing agent. As a filler, it is used in manufacturing a variety of plastic products such as industrial bags, pipes, photographic containers, films, and stretch wrap. The demand is attributed to its antistatic properties, thermal conductivity, and high strength. Furthermore, they act as a UV light absorber that aids in protecting plastic from discoloration, chalking, fading, and cracking.

Black is the preferred color for most of the electronics produced across the globe. This makes carbon black a preferred choice for most electronics products, including computers, televisions, laptops, and smartphones. This further increases the product demand from the electronic industry. These are some of the factors boosting the product consumption in the manufacturing of plastic goods and are anticipated to fuel market growth.

Carbon Black Market Growth Factors

Rapid Growth in the Rubber Industry to Propel Market Growth

The rubber industry is growing rapidly owing to the increasing demand from the automotive, electronics, consumer goods, and construction industries. In these industries, rubber goods are highly utilized in producing wires & cables, tires, hoses, air springs, windows & doors, belts, and gaskets. Nearly each rubber compound consists of carbon black as a filler to reinforce and enhance its physical characteristics. Additionally, it aids in strengthening the volume and vulcanization of rubber. Besides, it conducts heat away from the tread and belt area of tires. This leads to improving the lifespan of rubber products. They are extensively added to various parts of tires such as inner-liners, sidewalls, and carcasses. The increasing product adoption of rubber products, coupled with rapid growth in the tire industry, will drive the global market during the forecast period.

Rising Demand for Specialty Carbon Black to Fuel Market Growth

Specialty carbon black offers a range of unique properties, such as exceptional UV protection and conductivity, that provide critical values to end-users. It is produced through partial combustion of hydrocarbons to meet application-specific functionalities to end-user performance requirements. Specialty carbon blacks with smaller particle sizes offer darker mass tones, excellent jetness and better UV protection than regular grades, making them suitable for various niche applications. Along with the advantages mentioned above, it delivers high mechanical performance and physical strength. As a result, it is used in various applications, including molded parts, film and sheet, wire and cable, and pipes. Its unique properties and growing demand from various applications will drive market growth. 

RESTRAINING FACTORS

Hazardous Gas Emissions during Production to Hinder Market Growth

The harmful release of various gases, such as nitrogen oxide, carbon dioxide, carbon monoxide, sulfur dioxide, and particulate matter, during the production process is restricting the product demand. These emissions not only impact the environment but also affect human health. The inhalation of these gases can cause dizziness, headache, nausea, difficulty in breathing, and chest tightness. Due to this, several stringent regulations have been imposed by the governments of various countries. For instance, the International Agency for Research on Cancer (IARC) raised concerns regarding the hazardous impacts of the product on humans. Hence, these factors may restrict product adoption over the study period.

Carbon Black Market Segmentation Analysis

By Process Type Analysis

Furnace Black to Remain Most Lucrative Segment Owing to the Surging Demand from Rubber Producers

On the basis of process type, the market is segmented into furnace black, acetylene black, thermal black, and others.

Furnace black is the leading segment and is expected to grow at the fastest rate during the forecast period. This type of product is produced by unfinished petroleum oil or coal oil combustion using an oil furnace. The process allows the mass production of carbon black with different particle structures and sizes. Also, this type is greatly utilized as a strengthening agent in rubber production.

The thermal black segment is the second largest segment in the global market. The growth is attributed to its UV absorbent properties, which propels the demand in the plastic industry. Acetylene black is produced from acetylene gas using a thermal decomposition process. The product’s extreme conductivity and high purity aid its usage in producing silicon products, electric power cables, and dry cells.

By Grade Analysis

Standard Grade Segment to Hold Dominant Share due to Increasing Industrial Applications

Based on grade, the market is bifurcated into specialty grade and standard grade. The standard grade segment accounted for the dominant carbon black market share in 2022. This dominance is due to the surging adoption of standard grade rubber-based products, such as tires, wires, and cables, for several industrial applications. The specialty grade segment is anticipated to have a significant growth rate due to its rising use in ink & toners and plastic industries.

By Application Analysis

Tire Segment to Remain Largest Due to Rapid Growth in Automotive Industry

Based on application, the market is segmented into tire, non-tire rubber, inks & toners, plastics, and others. The tire segment is likely to dominate the market over the study period. The product accounts for about 30% of the overall weight of a tire produced. Moreover, rapid growth in the automotive industry has fueled the consumption of tires, helping in product demand.

The non-tire rubber segment is anticipated to showcase significant growth, owing to high product demand as a shock absorbent and reinforcing material in the manufacturing of several industrial rubber goods. Industrial rubber products, such as conveyor belts, soles of shoes, rubber roofing, rubber mats, seals, hoses, gaskets, and cables, primarily consist of carbon black.

The demand for black pigment from the end-users, such as printing inks, plastics, paints and coatings, is expected to increase due to consumer preference for black-colored products. This will increase carbon black consumption as a pigment in plastics and ink & toner applications.

REGIONAL INSIGHTS

The Asia Pacific market size stood at USD 15.87 billion in 2023 and is likely to dominate the global market during the forecast period. China is the largest producer and consumer of this product. The carbon black market growth in China is attributed to the increasing use of the product in tire and plastic goods production. Furthermore, rising research & development activities, coupled with advancements in the product, will boost the consumption of the product in the region.

In North America, the market growth is due to the rising adoption of specialty grades in ink & toner applications. Further, the rising use of furnace black in belts, vibration isolation devices, air springs, and hoses will fuel the market growth in this region.

Moreover, rapid growth in the automotive industry will surge the demand for carbon black in Europe. The higher adoption of the product can be seen in different parts of tires such as carcasses, inner-liners, treads, and sidewalls. The growing demand for tires and other rubber products from the automobile industry will boost the market in Latin America and the Middle East & Africa.

List of Key Companies in Carbon Black Market

Capacity Expansion to be the Key Strategy of Leading Companies

Capacity expansion is an important strategy employed by key market leaders, such as Cabot Corporation and Orion Engineered Carbons S.A., to maintain their position in the market. Cabot Corporation is a producer of specialty chemicals and performance materials. Its global network consists of 42 manufacturing facilities in 20 countries worldwide. Moreover, Birla Carbon Thailand Public Co. Ltd. is another prominent company operating in the market. Globally, the company holds 13% of the share in the production of the product. The company has 16 manufacturing sites and two technology centers. Birla Carbon operates in North America, Europe, and Asia Pacific.

LIST OF KEY COMPANIES PROFILED:

• Birla Carbon Thailand Public Co. Ltd. (Thailand)


• Cabot Corporation (U.S.)


• Orion Engineered Carbons SA (Germany)


• Phillips Carbon Black Limited (India)


• CSRC Group (Taiwan)


• Omsk Carbon Group (Germany)


• OCI COMPANY Ltd. (South Korea)


• Himadri Speciality Chemicals Ltd. (India)


• Longxing Chemical Industry Co., Ltd. (China)


• Mitsubishi Chemical Holdings Corporation (Japan)

KEY INDUSTRY DEVELOPMENTS:

• May 2023: Orion Engineered Carbons expanded its production capacity for gas black in Germany in 2023. With this capacity expansion, the company strengthened its leadership in the specialty carbon black market.


• December 2022: International CSRC Investment Holdings Co., Ltd has a short term (2022-2024) goal to invest in research & development to develop various types of specialty carbon black such as antistatic, static dissipative, and conductive carbon blacks. This strategic product development will allow the company to increase its market share in the global market.


• October 2021: Cabot Corporation launched VULCAN 3-LP carbon black, a new low Polycyclic Aromatic Hydrocarbon (PAH) product for rubber applications. The launch would help the company demonstrate its ongoing commitment to providing innovative solutions in response to the product performance needs of its customers.


• June 2021: Orion Engineered Carbons S.A. launched ECORAX Nature, a new renewable carbon black product for rubber applications. The solution is produced using plant-based oils of industrial-grade that are non-fossil derived and renewable.


• May 2021: Birla Carbon partnered with Circle, a key producer of Sustainable Carbonaceous Materials. The partnership will create the single largest source of Sustainable Carbonaceous Materials for tire, mechanical rubber goods, and plastic industries.

REPORT COVERAGE

The global market research report provides detailed market analysis and focuses on crucial aspects such as leading companies, types, grades, and applications. Also, the report offers insights into market trends and highlights vital industry developments and the competitive landscape. In addition to the factors mentioned above, the report encompasses various factors that have contributed to the growth of the market in recent years.

Report Scope & Segmentation