Carbon black is a material produced by incomplete combustion of heavy petroleum products such as FCC tar, coal tar or ethylene cracking tar. Carbon black is a deep black powder with tinting and conductive properties which are utilised across various sectors. However global carbon black market size is witnessing oncoming of a speciality carbon black which provides sharp colour and enhanced conductivity, viscosity and UV protection.

On the basis of type, the carbon black market can be segmented into furnace black, channel black, thermal black and acetylene black. Furnace black is the fastest-growing type in overall carbon black market share. The use of furnace black is increasing as its manufacuring process enables mass production with different particle size and structutres. In addition furnace black has several applications ranging from rubber reinforcement to coloring.

On the basis of application, the carbon black market can be segmented into tyres, high performance coatings, plastics and others.Tyre industry is the largest customer of carbon black, wherein it is used to improve strength and longetivity of automotive tyres by increasing tensile strength and abration resistance. Demand for carbon black in in paints and coatings, and inks is likely to show an increase. Another emerging application area for carbon black is metallurgy.

The key market driver for the global carbon black market is the increase in the demand for carbon black majorly from tyre industry. In addition, construction and manufacturing sectors which use carbon black to provide strength to industrial rubber compounds are also major factors in increasing demand for carbon black.

Key market restraint for the global carbon black market is the volatility of raw material prices and the environmental concerns provide major challenges on the global carbon black market. Substitution by other materials such as Silica is seen as another major market restraint for the market.

Key Players Covered:

Some of the notable companies in global carbon black market are Birla Carbon, Cabot corporation, Tokai Carbon Co. Ltd., Himadri Chemicals and Industries Ltd., Mitsubishi Chemical Holdings Corporation, Nippon Steel Carbon, Asahi Carbon Co. Ltd, Jiangxi Black Cat Carbon Black Co. Ltd., and others.

Regional Analysis:

The global carbon black market has been segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. The carbon black market is dominated by Asia Pacific region. China being the major producer of carbon black due to increasing demand of tyres in India and China’s automotive sector. The carbon black market in Asia Pacific region is projected to witness highest growth due to easy availability of feed stocks such as petroleum based crude oil, coal tar, acetylene gas and natural gas in the region.

In North American region, the demand for carbon black is expected to grow due to rise in refurbishing of automobiles. Refurbishing of automobiles has raised the demand for high performance coatings in automotive industry. Stringent environmental regulations by the European countries may have negative impact on the market in the region. In Latin America, Mexico has highest growth in the region but the move to greater shale oil has led to reduced quantities of quality carbon black feed stock.

Segmentation

Key Industry Developments

• In October 2017, Cabot Corporation decided to purchase Tech Blend, a leading manufacturer of black masterbatches.


• In October 2018, ADNOC commissioned a carbon black unit in Ruwais, UAE, becoming one of the largest carbon black producer in Middle east.