ASIA-PACIFIC CARBON BLACK MARKET FORECAST 2023-2032

However, the carbon black market growth in Asia-Pacific is hindered by the rising raw material prices due to increased investments toward environmental protection, raising the production cost for carbon black manufacturers. 

The Asia-Pacific carbon black market growth analysis includes the assessment of Australia & New Zealand, Thailand, China, Vietnam, Japan, Indonesia, India, South Korea, and Rest of Asia-Pacific. China is the largest global exporter of carbon black. The country generates carbon black through the Carbon Black Oil (CBO)/Coal Tar pathway, which is costlier than CBFS. Also, the increasingly aggressive environmental protection program has resulted in plant closures, leading to higher prices. The prices reached their peak in May 2021. It was also attributed to the growing production costs, limited product availability, and logistics issues post the shutdown of Jinneng Science & Technologies and Shandong OCI Jinyang. 

Further, some of the leading local manufacturers of carbon black are Longxing Chemicals, Shanxi Anlun Chemicals, Jiangxi Black Cat, Liaobin Carbon Black, and Shanxi Yongdong Chemicals. In addition, the rail and road infrastructure development has benefitted China’s construction industry. The construction sector is backed by private and government investments, with private and state-owned enterprises dominating the industry. Subsequently, the growing demand for coatings in the construction sector offers growth opportunities for carbon black in pigment applications. 

In South Korea, the carbon black market is highly export-oriented. It is the sixth-largest producer of carbon black worldwide, backed by the presence of eminent market players like Tokai Carbon Korea Co Ltd, Orion Engineered Carbons SA, Birla Carbon Korea Co Ltd, OCI Company Ltd, etc. These companies are expanding their production lines to offer higher value-added products for technically demanding and specialty rubber applications. For instance, in October 2021, Monolith and SK Inc announced plans to form a joint venture in South Korea to produce carbon black and clean hydrogen goods. Such factors propel market growth in these countries.

The Asia-Pacific carbon black market segmentation includes process type and application. The process type segment includes thermal black, lamp black, gas black, and furnace black. 

Thermally-processed carbon black is one of the purest forms of carbon black available on an industrial scale since it is derived from natural gas. It is made by the thermal decomposition of liquid hydrocarbons, coke-oven gas, or natural gas in the absence of air or flames. Also, its economic production needs inexpensive natural gas. 

Furthermore, thermal carbon black is majorly used for graphite, concrete, insulation, plastics, metallurgy, and rubber applications. It is an expensive carbon black used regularly in rubber goods. It has specific applications in the plastic and rubber industries, like inner tire liners, hoses, O-rings and seals, and cross-linked polyethylene for electrical cables.

Some of the key firms operating in the Asia-Pacific carbon black market are OCI Company Ltd, Imerys Graphite & Carbon, Mitsubishi Chemical Corporation, Tokai Carbon Co Ltd, etc.

Tokai Carbon Co Ltd is engaged in selling and manufacturing industrial furnaces, friction materials, fine carbon, graphite electrodes, and carbon black. The company has a business presence in the United States, Canada, the United Kingdom, Italy, Poland, Germany, Japan, etc., with headquarters in Tokyo, Japan. 

One of its key products, SEAST, is a carbon black variety added to rubber to make it stronger and more resistant to wear.