The carbon black market is growing and expanding due to increasing demand from the tire and rubber industries. The rising wave of usage of renewable carbon black, specialty carbon black, and recovered carbon black is creating significant potential in various transportation, industrial, printing and packaging, building and construction, and other industries. The major growth drivers for this market are increasing tire production and growth in the plastic and coating markets.
The carbon black market is divided into several segments, such as tire rubber, non-tire rubber, plastics, ink, coatings, and others. Key players in the carbon black market include Birla Carbon, Cabot Corporation, China Synthetic Rubber (CSR), Orion Engineered Carbons Holdings, Omsk Carbon Group, Tokai Carbon, and Philips Carbon Black. These have been working on different strategies to drive sales using highly influential marketing approaches; however, as we examine the challenges and opportunities ahead in this market, companies can benefit from a strategy of developing renewable carbon black and specialty carbon black, along with the key target market trends we have identified. Lucintel predicts the global carbon black market will be valued at $24.1 billion by 2026, with an expected CAGR of approx. 9.9% between 2020 and 2026.
Lucintel identifies four trends set to influence the global carbon black market. Most of the industry players and experts agree that these four trends will accelerate developments in the carbon black industry in the near future. In terms of the widespread knowledge about the carbon black market already on the horizon, there is still a lack of unified perspective on the direction the industry is moving to proactively address developments. To help bring more clarity to this gap, our study aims to provide insights concerning the direction that changes are taking and how these changes will impact the carbon black market.
1. Growing Use of Renewable Carbon Black
Renewable carbon black has been developed by Orion Engineered Carbons for rubber applications, utilizing plant-based oils. The renewable carbon black ECORAX® Nature is produced by using a sustainable and renewable, non-fossil-derived feedstock. The ECORA® Nature 100 product is said to be the first highly reinforcing carbon black grade product made using renewable feedstocks. The Orion Engineered Carbons product seeks to reduce the CO2 emissions created by the tire industry supply chain.
2. Increasing Demand for Specialty Carbon Black
Specialty carbon black is a high-end refined chemical manufactured by burning hydrocarbons in a limited air supply. Specialty carbon black, or pigment black, is the purest form of carbon black, having a lower level of ash, sulfur, metals, and other impurities. Specialty carbon black is an important industrial raw material, and is incorporated into the production processes for various industries, including the polymer, printing, and coating industries. Specialty carbon black products are outstanding in their tinting strength, conductivity, dispersibility, and UVresistance. They also perform as viscosity control additives and provide electro-magnetic shielding.
3. Growing Use of Recovered Carbon Black
Recovered carbon black is used for both rubber and specialty black products. Recovered carbon black is used in various industrial rubber applications, such as extruded profiles, molded parts, rubber sheets, conveyor belts, and also for inner liners and tubes of tires. It can be used to create extruder plastics, fibers, rubber manufacturing and filtration mechanisms, and even batteries. Recovered carbon black is helpful in preventing consumption of various natural resources such as tons of feedstock oil, coal tar, and ethylene, and it supports reduction of carbon emissions. Recovered carbon black is cost-effective and provides a sustainable alternative for use in a variety of plastic and rubber applications.
4. Conductive Carbon Black for Electrically Conductive Polymer Applications
Conductive carbon black is incorporated into polymers for permanent electrostatic discharge protection, explosion prevention, and in polymer applications that require electrical volume resistivity. Typically, conductive carbon black is used, since grades that belong to this specialty carbon black family impart electrical conductivity to polymers at lower critical volume fractions than conventional carbon black. Hence, conductive carbon black materials influence to a lower degree the mechanical properties of the resulting conducting polymer compound. Conductive carbon black grades are produced by furnace black processes and by specially designed processes such as the ENSACO® process, or they are obtained as byproducts from the gasification of hydrocarbons; these processes are based on the thermal-oxidative decomposition of hydrocarbons.
Strategic Considerations for Key Players in the Carbon Black Market
The carbon black industry is dynamic and ever-changing. Successful industry players are necessarily masters of innovation, change, and adaptation. To retain this status, they need to be attentive to current trends. We believe there will be promising opportunities for carbon black in the transportation, industrial, and building and construction sectors. As per Lucintel’s latest market research report (Source: https://www.lucintel.com/carbon-black-market.aspx), the carbon black market is expected to grow with a CAGR of approx. 9.9% between 2020 and 2026, and reach $24.1 billion by 2026. This market is primarily driven by increasing tire production and growth in the plastic and coating markets.
Whether you are new to the carbon black market or an experienced player, it is important to understand the trends that impact the development process, as these trends as listed above will lead players to create long-term strategy formulation that will allow them to remain competitive and successful in the long run. For example, to capture growth, some of the strategic considerations for players in the carbon black market are as follows:
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Carbon black market players can increase their capabilities to develop renewable carbon black by using renewable feedstocks.
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Players can focus on specialty-grade carbon black, which is expected to lead future trends.
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Investment to increase competencies in the development of recovered carbon black, as it is cost-effective and provides a sustainable alternative
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Research and development activities for development of low-cost carbon black
Note: In order to gain better understanding, and learn more about the scope, benefits, and companies researched, as well as other details in the carbon black market report from Lucintel, click on https://www.lucintel.com/carbon-black-market.aspx. This comprehensive report provides you in-depth analysis on market trends and forecast, segment analysis, regional analysis, competitive benchmarking, and company profiling of key players. In addition, we also offer strategic growth consulting to meet your customized needs. We have worked with many PE firms and corporate customers in the process of their market entry and M & A initiatives.Enable GingerCannot connect to Ginger Check your internet connection
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