Carbon Black Market Overview

The global Carbon Black Market Size is projected to grow from USD 23 Billion in 2024 to USD 42 Billion by 2034, registering a CAGR of 6.7% between 2025-2034. The rising demand for Carbon Black from tire application, will further drive the Carbon Black demand in the forecast period. Carbon black, produced from incomplete thermal decomposition of hydrocarbons, find it use in various end-use industries such as tire, rubber, paints, inks and dyes and plastics. Majority of carbon black produced globally, is consumed by tire and rubber industries and thus, its growth is very closely related to growth of the automotive sector. The largest application of carbon black is as a reinforcing agent in automobile tires and rubber products while other applications include printing ink, paint, plastics & coatings, UV stabilizer, batteries, fuel cells, and resistors for electronic circuits. Carbon black possess predominant wear and abrasion resistance properties, due to which it is widely used as a reinforcing filler.

In 2024, the global Carbon Black capacity stood at around 20,800 kilo tons, an increase around 2500 kilo tons since 2018 with majority of carbon black capacity expansion Asia. The global Carbon Black capacity is slated to reach 28000 kilo tons by 2034 resulting in an average of 4% growth in capacity year on year basis. During this period, most of the capacity additions will be in China while around 500-600 kilo tons will be in India. 

Phillips Carbon Black. Cabot, Birla, Orion, Black Cat, CSRC, and OMSK are some of the major Carbon Black manufacturer in the world. Global operating rates have averaged around 75% between 2018 and 2024. However, capacity utilization rates are forecast to remain between 75% - 85% in the long-term forecast till 2034. The global carbon black production facility is largely located in Asia Pacific, accounting for more than 65% of the global capacity. North America is the second biggest Carbon Black producer accounting for around 15%, followed by Western Europe at 8%. While all other regions including South America, Central & Eastern Europe and Middle East & Africa together accounted for remaining share.  Asia-Pacific is anticipated to witness a major addition of new Carbon Black capacity (excluding speculative) with majority of which will be in China followed by India. The top manufacturing enterprises in Asia-Pacific are Jiangxi Black Cat Carbon Black Co, Cabot Chemical (Tianjin) Co., Suzhou Baohua Carbon Black Co. Ltd, Longxing Chemical Stock Co., Shanxi Sunshine Huatai, Anlun Chemical, Continental, Birla Carbon India Private Limited, Phillips Carbon Black and Birla Carbon Jining.

Asia is largest market for carbon black (specifically China) followed by Central & Eastern Europe. In term of carbon black consumption, China leads the volume growth followed by United States and Russia respectively. Russian market is profited by sufficient supply of raw materials for carbon black production, which allows it to export carbon black especially to other European countries. Japanese carbon black production is declining as tyre and rubber manufacturers are shifting to other countries due to flat market outlook of the country.

Automotive manufacturers are also looking to shift towards greener cars as governments in developing countries are providing them with rebates on green vehicles. In order to suffice the rising demand for tires, tire manufacturers around the world are embarking on massive capacity expansion programs. Companies like CEAT, JK Tires and Apollo Tires are some prominent companies that have unveiled expansion plans recently, total investments amounting in millions of dollars. Continued investments by tire manufacturers to start and expand their production capacities presents a robust opportunity for increased carbon black consumption in these industries.

Phillips Carbon Black Limited, Thai Carbon Black Public Company Limited, China Synthetic Rubber Corporation, Mitsubishi Chemical Corporation, Orion Engineered Carbons S.A., Cabot Corporation, SID Richardson Carbon & Energy Co., Asahi Carbon Co Ltd, Omsk Carbon Group OOO, Jiangxi Black Cat Carbon Black Inc., Tokai Carbon Co., OCI Company Ltd., OJSC Kremenchug, Epsilon Carbon Private Limited (ECPL) , and Balkrishna Industries Limited (BKT) are some of the key players in the global carbon black market.

India reverted its status to a net exporter of carbon black in 2021, after years of being a net importer. This can be attributed to the Epsilon Carbon Private Limited (ECPL)’s new 115 kilo tons plant started in 2021 at Bellary, Karnataka. The company further announced its plans to invest over €70 million to expand capacity by 100 kilo tons, expected to be fully operational by 2025. Other major plant arrivals and expansions planned during the forecast period in the country include Philipps Carbon Black’s 142 kilo tons plant at Thervoy Kandigai, Tamilnadu in 2023 and a 15 kilo tons expansion at its Mundra facility in Gujarat. Continental Carbon Eco. Tech (CCET) has unveiled plans to start a 150 kilo tons plant at Galenda, Gujarat, expected to commence production in 2025. Madura Carbon India also expects its 230 kilo tons facility at Valsad to start production by 2025.

Carbon black market in India is valued at an estimated USD 1680.1 million in 2024 and it is poised to rise with a CAGR of 9.6% during the forecast period to be valued at USD 3,590.2 million in 2034. Tire application is currently valued at USD 1260 million, expected to reach USD 3029.3 million by 2034. Carbon black demand in the country is expected to remain robust, primarily owing to a booming tire industry. With the shutting down of plants in USA, Europe and Japan, the country has huge export potential. Easy access to raw materials, lower logistics costs, easy grid connectivity and lower risk of business interruption are major factors on the back of which consumption in India is expected to thrive during the forecast period. India is expected to see new investment of over 1.1 billion USD in the next 3-5 years. Majority of investments are from Apollo Tires, BKT, Bridgestone, Goodyear, MRF, and Yokohama. JK Tires & Industries have also announced its plans to invest about 11,000 million USD over next two years for expanding its production capacity. To cater the growing domestic tire demand, Continental Tires, have expanded its capacity by 15%.