According to a new report published by Allied Market Research, titled, " Carbon Black Market by Process, Grade, and Application: Global Opportunity Analysis and Industry Forecast, 2019-2026," the global Carbon Black market was valued at $17.5 billion in 2018 and is projected to reach $23.0 billion by 2026, growing at a CAGR of 3.5% from 2019 to 2026.
Carbon black is a form of para crystalline carbon which contain 95% of pure carbon. Carbon black is a material produced by the incomplete combustion of heavy petroleum products. Carbon black can also be defined as para crystalline carbon, which has high surface-area-to-volume ratio. Surge in use of carbon black in manufacturing tires, plastics, mechanical rubber goods, printing inks, and toners is expected to drive the growth of the market.
Carbon black possess properties such as conducting heat away from the tread and belt area of the tire, reducing thermal damage, and increasing service life of tires, which make it a preferred solution for manufacturers involved in manufacturing automotive components, such as tires. The Electric Vehicles International sets a target of production of 20 million electric cars globally by 2020. These factors are expected to drive the market growth of the automotive industry, thereby augmenting the demand for tires. This, in turn, propels the need for carbon black, which significantly contributes toward the market growth. Furthermore, the U.S. Department of Energy (DOE) announced an investment of $19.7 million for the Vehicle Technologies Office to support R&D of advanced vehicle technologies, including batteries and lightweight & low-cost carbon fiber for the development of energy-efficient automobiles. Thus, the development of the automotive industry is expected to drive the growth of the carbon black market.
The global carbon black market is segmented on the basis of process, grade, application, and region. By process, it is classified as furnace black, channel, acetylene black, and lampblack. The furnace black segment was the highest contributor to the market, and is estimated to grow with the CAGR of 4.23% during the forecast period.
Based on grade, it is divided into specialty and conductive. The specialty grade segment was the highest contributor to the market and is estimated to grow with the CAGR of 3.63% in the grade based carbon black market share.
On the basis of application, it is categorized into tires, coatings, plastics, printing inks, and toners. The tires segment was the highest contributor to the market, and is estimated to grow at a CAGR of 3.26% during the forecast period. The plastics segment is estimated to be the fastest growing segment, growing with a CAGR of 4.08%.
By region, the global carbon black market is analyzed across North America, Europe, Asia-Pacific, and LAMEA. Asia-Pacific was the highest revenue contributor, and is estimated to grow with a CAGR of 4.00%. China and U.S. account for the highest revenue contribution, owing to surge in demand for carbon black for tire and construction & manufacturing industries across countries.
Major market players operating in the global carbon black market are BASF SE, Dow Inc., Mitsubishi Chemical Holdings, Nouryon, Dominion Colour Corporation, Asahi Carbon Co., Ltd., Birla Carbon Public Company Limited, Phillips Carbon Black Limited, Cabot Corporation, and SABIC.
Key Findings of the Study:
- In 2018, the Asia-Pacific market held a share of over 55.0% in the market.
- The furnace black segment is expected to hold a dominant position in the carbon black market size during the forecast period.
- The specialty grade segment is projected to grow at a CAGR of 3.63% by 2026.
- The plastic segment is expected to grow with the highest CAGR during the forecast period.
- The qualitative data in the report aims on the carbon black trends, dynamics, and developments in the industry while the quantitative data provides information about the market share and market size in terms of revenue and volume.