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Sep 16, 2019 7:00 PM ET

Carbon Black Market size proceeds market growth with CAGR of 4.51% during 2019-2025 | OGAnalysis

iCrowd Newswire - Sep 16, 2019


Carbon Black Market is amidst the emerging market with strong influences drawn from ever innovating automotive and transport industry. Carbon black is employed in a wide range of automotive assembling applications in order to enhance their performance in terms of physical, electric, and optical properties.


Major OEMs of aerospace and automotive are relying on carbon black market to impart durability and strength to tires and other automotive parts. Carbon black accounts for 80 percent of the cost of every tire manufactured.


In addition, carbon black is the predominant reinforcing agent used to improve the processing, strength and durability of elastomer-based composites in most rubber applications.

Carbon Black Market Growth Rate Through Forecast Period , 2019-2025

Globalization, shifts in the manufacturing base for low-cost production and consolidation of key vendors with regional expansion are amidst the emerging market trends contributing towards medium to long term market growth.


Key carbon black market players include Asahi Carbon Co. Ltd, Birla Carbon (Aditya Birla Group), Phillips Carbon Black Ltd, Orion Engineered Carbon, Cabot Corporation, Jiangxi Black Cat Carbon Black Co. Ltd, Abu Dhabi National Oil Company (ADNOC), Himadri Chemicals and Industries Ltd, Longxing Chemical Stock Co. Ltd, and Nippon Steel Carbon Co. Ltd


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Growth in alternatives and hike in prices hindrances carbon black market growth


The ongoing innovation in tire technology directs to growing trend of substituting carbon black with silica and other silanes large and hence slows down the market growth. Silica and Silanes are adapted on a larger scale to meet the criteria of green tires production. The reinforcing of tires with silica and silanes reduces fuel consumption by 7-5 % and thus lowers CO2 emissions.


Crude oil price fluctuation also has a major impact on the pricing of carbon black market, following this crude oil prices increases the cost of production and reduces the profit margins of manufacturers of carbon black.


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Demand for specialty carbon black strengthens the market value


The strong market penetration of specialty carbon blacks from key end-users such as Plastics, Inks, and Paints & Coatings as well as emerging applications in the field of metallurgy is propelling specialty carbon black market growth.


In addition, the OEMSs of rubber and motor vehicle industries are increasingly targeting the use of specialty carbon black over benefits of higher profit margins and no cyclical risks.


Recycled carbon black is also entering market share to cater the demand for cost-effective and sustainable alternative to petroleum carbon black. In particular carbon black recycled from pyrolysis is in the range of 30-35% fulfils the demand of tire manufacturers.


Tire and industrial rubber product applications hold the macro market share


Tire manufacturing remains a leading market share holder, followed by processing of rubber compounds with high performing properties of end-use product. The presence of broad portfolio of low carbon black products for conductive, reinforcing and semi-reinforcing to cater the needs of stringent performance specifications and quality certifications is building long run market opportunity.


Cabot Corporation offers semi-reinforcing products for tire carcass and general-purpose industrial rubber product applications such as Sterling, Spheron and Regal carbon black.


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Robust market growth across APAC region is observed through the forecast period


Asia Pacific is observed to contribute towards major carbon black market share with China and India as the frontier player. The key players across the region are undergoing strategic changes such as revising product pricing based on sources of carbon black. For instance, in July 2019, Birla Carbon, a leading supplier of carbon and flagship businesses of US$ 48.3 billion changed all North America contract price formulas of carbon black sourced from marine fuel.


Further, continued expansion in the tire and auto locomotive industries, high economic growth along with rapid industrialization in the emerging regions of Asia PAcific is boosting carbon black market growth.


The carbon black market is growing at a rapid rate in China, with increasing downstream demand, the booming construction, automotive, and industrial sectors which, in turn, is expected to drive the carbon black market, during the forecast period.


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Anil Kumar
Phone: +91-7337 01 3757
Email: [email protected]

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