Carbon black is formed when hydrocarbons like oil and natural gas partially burn or decompose under controlled temperature and pressure. The furnace method is most frequently used to generate carbon black because it offers a high yield and extensive control over the output’s particle structure and size, making it perfect for mass production. It is widely used in many industries, including the paint and automobile industries.
In 2021, the market worth of carbon black was USD 13.45 billion, and by 2030 it will reach USD 21.85 billion, growing at a 5.5% CAGR during the forecast period.
The market expansion is primarily driven by rising carbon black utilization in a variety of end-use sectors, including aerospace and automotive. It is also used in various plastics, paints & coatings, and tire manufacturing processes. Car tires are where carbon black is used (70%) the most frequently.
Market Dynamics
Drivers
The rubber industry’s explosive expansion is driving the market’s growth. The rubber industry is expanding swiftly due to increased demand from the building, consumer products, electronics, automotive, and rubber industries. The manufacture of wires and cables, tyres, hoses, air springs, windows and doors, belts, and gaskets strongly rely on rubber products.
Restraints
Many dangerous gases, including carbon monoxide, carbon dioxide, and sulphur dioxide, are emitted while manufacturing carbon black, reducing demand for the finished product. Inhaling these gases can result in various harmful health problems, including nausea, headaches, dizziness, and tightness in the chest. Therefore, governments in a wide range of nations have set several strict laws and restrictions.
Opportunity
Plastic product manufacturing is driven by rising customer demand, which drives market expansion. The main uses of the material are colors, conductive fillers, and particle reinforcers in polymers. It is used as a filler to manufacture several plastic items, such as pipes, films, stretch wraps, containers for photography, and industrial bags. It is in high demand because of its superior strength, thermal conductivity, and antistatic properties. They also absorb UV rays, protecting plastic from fading, chalking, discoloring, and cracking.
Market Segmentation
By Process
On the basis of process, the carbon black market is segmented into lamp black, acetylene black, channel black, and furnace black.
The furnace black segment ruled the entire market. Due to the furnace black process for rubber reinforcing, the market share is predicted to increase. This technique is also used to make color pigments for cosmetics, and its increased utilization will hasten market growth. The Cosmetics sector will bring in $100.50 billion in sales in 2022, and the market will grow by 7% annually. The black furnace segment will grow in the worldwide Carbon Black Market as a result of this expansion in the cosmetics market.
By Grade
On the basis of grade, the market is segmented into standard grade and specialty grade.
The carbon black market in 2021 was ruled by standard grade. This is due to the widespread use of tires, cables, and other standard-grade rubber-based goods in many industrial applications. The specialized grade segment will experience and foster a high growth rate due to the rising utilization in the plastic, inks, and coatings industries.
By Application
On the basis of application, the carbon black market is segmented into toners, tires, plastics, coatings, and printing inks.
The tire segment will expand at a rapid rate due to the rapid growth of the automotive industry. The product makes up about 32% of the entire weight of a tire’s manufacture. The tremendous growth of the vehicle industry has also increased tire usage, supporting product demand.
Regional Overview
In 2021, Asia Pacific held a significant position in the market with 40% of the revenue share. The main driver of this region’s growth is an increase in plastic consumption in important end-use industries like automotive, construction, conductive polymers, and packaging. Over the forecast period, an increase in polymer production is anticipated to continue to be a significant factor in the expansion of the regional market, particularly in China, India, and Southeast Asian nations, including South Korea, Thailand, Malaysia, and Vietnam.
Key Players
- Ralson
- Philips Carbon Black Limited
- Orion Engineered Carbons GmbH
- Himadri Speciality Chemical Limited
- Atlas Organics Private Limited
- International China Oak Investment Holdings Co., Ltd.
- Cabot Corporation
- Tokai Carbon Co., Ltd.
- Continental Carbon Company
- Omsk Carbon Group
- Birla Carbon
In 2021, the market worth of carbon black was USD 13.45 billion, and by 2030 it will reach USD 21.85 billion, growing at a 5.5% CAGR during the forecast period. Rising plastic use in end-user industries, rising tire demand, and rising demand for mechanical rubber goods will support market expansion over the forecast period. The market is experiencing growth opportunities as a result of increased car investment and renovation, as well as an increased industrial building. However, changes in the price of raw materials and production-related hazardous gas emissions may impede market expansion.