The Increasing Carbon Black Consumption in Automotive and Construction Activities Proliferates the Global Market Expansion
The global carbon black market is anticipated to generate revenues of US$ 13, 849.6 million in 2023. Carbon black demand is anticipated to increase at a CAGR of 4.8% and reach US$ 22,133.52 million by 2033.
The increasing carbon black consumption in automotive and construction activities proliferates the global market expansion. The global need is also increased by applications in the manufacture of consumer products, electronics, and tires. Moreover, carbon black is used as a pigment in paints and coatings.
Manufacturers of carbon black are likely to experience further expansion due to the expanding paints and coatings sector, which is being driven by industrialization.
Adoption of Carbon Black in the Automotive Industry
Turning to the automotive sector, the necessity for tire recycling through the pyrolysis process has increased. This is due to rising concerns regarding how to discard used tires.
The energy that has been wasted has eventually been recovered in the form of heat and other materials. As a result, market expansion is anticipated to be aided by the increased focus on recycling procedures.
The tire industry’s explosive growth and rising carbon black adoption are likely to drive the rubber market during the anticipated period.
Carbon Black Applications in Plastics & Electronics
A substantial percentage of devices produced globally are favored in black. Due to this, carbon black is a popular choice for a wide range of devices. Such as televisions, computers, laptops, and smartphones.
This raises the demand for carbon black from the electronic industry even more. These are a few of the variables that are raising product usage in the production of plastic items and are predicted to drive market expansion.
The demand for carbon black is being hampered by the harmful emissions of several gasses, during the production process, which includes:
- Nitrogen oxide
- Carbon monoxide
- Sulfur dioxide
- Particulate matter
These emissions have an adverse influence on the environment, as well as on people’s health. The governments of different nations have therefore set several strict laws.
For example, the IARC (International Agency for Research on Cancer) expressed worry about the product’s potentially dangerous effects on humans. As a result, these factors are preventing the acceptance of new products and are predicted to slow market expansion.
Carbon Black Industry Historical Analysis and Future Outlook (2018 to 2022) vs (2023 to 2033)
The market is shifting in favor of new applications and technologies. For instance, as tire innovation seeks out new and improved LRR (Low Rolling Resistance) with a focus on tire weight reduction, demand for carbon black is likely to increase.
Short-term Growth (2023 to 2026): During this period, demand is driven by the expanding tire sector. Expanding applications in the fiber and textile sectors, and expanding market penetration of specialty black. Due to this, the market is expected to reach a valuation of US$ 15,941.2 million by 2026.
Medium-term Growth (2026 to 2029): Advanced tires require different grades of carbon black based on their performance. It raises the overall adoption and is projected to reach a valuation of US$ 19,229.4 million by 2030.
Long-term Growth (2029 to 2033): The increasing use of activated carbon black has an impact on long-term growth. Activated carbon black is also used in the manufacturing of medical devices and the purification of pharmaceuticals. The activated carbon black market is anticipated to expand due to the rising demand for pharmaceuticals and medical equipment.
The United States Carbon Black Market Share Benefited from High Production Capacity
In 2021, the product demand in the United States accounted for a share of 74.0% of the market in North America. One of the world’s leading marketplaces for automobiles is found in the United States.
Due to new domestic cost advantages, key automakers have moved production from other nations to the United States. The country has emerged as a leading center for the car industry due to:
- Liberal investment policies
- Sizable consumer market
- Highly qualified labor
- Readily available infrastructure
- Government incentives
As a result, the market is anticipated to gain from a resurgent automobile industry in the United States.
How Carbon Black Industry Competitors Create a Strong Presence in the Market?
Due to the rising demand from numerous industries, several market competitors are concentrating on raising carbon black production, which gives a positive outlook for the carbon black industry. Key market participants aim to seize lucrative opportunities in the industry.
This is possible with increasing research & development activities to find out the effective and inexpensive methods to produce carbon black. The market is further expanding as a result of technological advancement.
Key leaders such as Orion Engineered Carbons S.A. and Cabot Corporation are focusing on ongoing strategies to increase production capacity. As capacity is a central concern for the manufacturers.
Cabot Corporation is a leading manufacturer of specialty chemicals. Its network has expanded worldwide and consists of 42 manufacturing facilities in 20 nations worldwide.
A new sustainable carbon black has been launched by Orion Engineered Carbons S.A. for rubber applications. This product is made utilizing plant-based oils of industrial grade that are non-fossil generated, sustainable, and renewable.
A new low (PAH) Polycyclic Aromatic Hydrocarbon, VULCAN 3-LP carbon black, was launched by Cabot Corporation. This launch aims to assist the business in fulfilling its ongoing commitment to customers. Through constant innovation and effective performance.
Cabot Corporation acquired Tokai Carbon Group in March 2022 to acquire the company’s carbon black production facility in Tianjin, China.