Carbon Black Market Size, Share, Growth, Report 2025 to 2034

Carbon Black Market Size and Growth 2025 to 2034

The global carbon black market size was estimated at USD 24.52 billion in 2024 and is expected to reach around USD 40.26 billion by 2034, growing at a compound annual growth rate (CAGR) of 5.1% over the forecast period from 2025 to 2034.

Growth in the carbon black market stems from new applications in the automobile, construction, and electronic industries. We see the highest demand from automotive sector, and it exceeds 65% where carbon black is used in production of tires. Example brands, Michelin and Bridgestone, exemplify premium tire brands which uses carbon black high-performance carbon black grades. Over 63% of the world's demand is fueled from the Asia-Pacific region. In paints, coatings and construction, the region is also increasing demand. Films, cables and packaging in the plastics sector is increasing as well. In these items, carbon black is used for coloration and shield against UV radiation. New environmentally friendly production technologies like Birla Carbon’s low carbon solutions are also fostering growth. The development of new lithium-ion batteries and conductive polymers is expanding application for carbon further opening up channels for its manufacture.

What is carbon black?

Carbon black is a fine black powder which consists elemental carbon and is formed through the controlled incomplete combustion of hydrocarbons. Carbon black is widely used is as a reinforcing agent in tires. Furthermore, carbon black acts as a pigment, a UV stabilizer, and a conductive filler in plastics and paints, as well as in coatings, inks, and in electrical applications. Its characteristics, like particle size, structure, and surface area, are optimized during production by methods like furnace black, channel black, and thermal black. The material is crucial in the automotive, construction, packaging, and energy storage sectors.

Carbon Black Market Report Highlights

• By Region: Asia-Pacific has recorded 63.1% share of carbon black consumption as a result of automotive and industrial production in China and India.
• By Type: Over 80% of furnace black production secures a major share of the market as it is cheaper and more versatile than other types.
• By Grade: Rubber carbon black holds around 70–75% market share, driven mainly by the tire industry.
• By Application: Tires and automotive rubber represent over 65% of global demand, with steady growth from the EV sector.
• By End-Use Industry: Automotive leads with nearly 68% market share, followed by packaging and construction.

Carbon Black Market Trends

• Rising Demand from the Electric Vehicle (EV) Sector: The growth in the electric vehicle sector is increasing the need for specialty carbon black for battery electrodes, conductive polymers, and lightweight tires. The worldwide EV market expanded by 31%, leading to greater consumption of carbon black for lithium-ion battery anode and conductive coating applications. Firms such as Orion Engineered Carbons and Cabot Corporation are formulating low-ash high purity grades of carbon black to enhance battery performance. Furthermore, the requirements for the electric vehicle tires also increase the demand for rubber carbon black since the rubber requires higher tensile strength to cope with the torque. Asia Pacific and more specifically China, are at the forefront of this development where EV sales are estimated to exceed nine million units by 2024. This also increase carbon black demand for tires and energy storage.
• Shift Toward Sustainable & Low-Carbon Production: As with any other market, Environmental, Social, and Governance (ESG) policies are also guiding carbon black manufacturers to adopt low carbon production. Specialty carbon black industry is expected to increase by more than 6% CAGR until 2030, at least partially due to low carbon alternatives. Birla Carbon and Monolith are example of such companies and are pursuing carbon black production strategies based on methane pyrolysis and other renewable energy sources applying up to 90% reduction on COâ‚‚ emissions relative to traditional furnace based methods. Monolith, for example, produced carbon black in Nebraska through a hydrogen based process which also produced clean hydrogen for fuel markets. The initiative is also affecting carbon black purchasers as automotive OEMs are more frequently buying carbon black that is eco certified to fulfill their Scope 3 emissions goals.

Report Scope

Carbon Black Market Dynamics

Market Drivers

• Growing Automotive Production and Tire Demand: As noted in the previous section, the automotive industry is still the greatest consumer of carbon black, using carbon black in tires and rubber components accounting for 65% of the industry’s demand. Tire manufacturers Bridgestone and Michelin are increasing their carbon black procurement to improve the tires' wear and fuel efficiency. Furthermore, electric vehicles, which also require tires of very high durability, are increasing the demand for carbon black grades. This, India’s 12% rise in tire production due to direct and export sales, and the rise in electric vehicles is set to revolutionize the Asia-Pacific region, as it is currently leading in the global tire manufacturing.
• Infrastructure Development and Construction Boom: The construction and carbon black industry are also set to benefit with projected growth. With the Asia-pacific region accounting for more than half of it, carbon black's application in construction also makes it an extremely useful asset. Moreover, carbon black is mostly used as a paint and coating for construction vehicles, making it the backbone building materials used in the public works, which also leads to the carbon black industry's growth. Projects like the National Infrastructure India and the China's New Infrastructure plan, are also big spenders in construction which helps in the growth of other economies.

Market Restraints

• Environmental Regulations and Carbon Emissions: The production of carbon black is particularly targeted by stricter environmental policies as it is energy-intensive and emits notable carbon dioxide and particulates. Tight emission standards that were put in place in 2023 by the U.S. Environmental Protection Agency (EPA) have affected several major players in the industry. The emission standards are costly for the carbon black industry which already emits more than 30 million metric tons of COâ‚‚ annually. This obliges firms to upgrade production systems to more sophisticated emission control technologies. Companies like the Cabot Corporation are increasing operational expenses by investing heavily in pollution abatement systems due to stricter regulatory compliance. These developments are likely to stall further fissile expansion in developed regions, and there is the possibility of production shifting to nations with more lenient environmental policies.
• Volatility in Raw Material Prices: Decant oil, the primary carbon black feedstock, is a byproduct of heavy petroleum and is directly linked to crude oil markets. Manufacturing costs and carbon black business profitability are directly impacted by price volatility. In 2024, the Brent crude oil price ranged from 72 to 92 USD per barrel, greatly increasing production costs. Price fluctuations also make it more difficult to maintain stable prices for the downstream clients, such as tire and rubber manufacturers. Emerging market companies, including smaller and mid-sized producers, experience more intense financial pressure, which in some cases, forces them to cut production or rely on lower-quality feedstock.

Market Opportunities

• Expansion in Specialty Carbon Black for High-Value Applications: The demand for specialty carbon black, which serves as feedstock for carbon black produced for plastics, coatings, inks and electronics, is expected to reach over USD 4.5 billion by 2030 at a CAGR 6-6.5%. This segment is characterized by higher profit margins. This is due to the strong demand for conductive polymers, advanced coatings, lithium-ion batteries, and specialty carbon black. Orion Engineered Carbons increases specialty carbon black production in Europe to serve the plastics and electronics industries. The automotive and packaging industries are also encouraging this demand due to their need for lightweight, durable, and UV resistant plastics. China and South Korea are leading Asia-Pacific as a bulge market for conductive grade carbon black owing to their growing electronics manufacturing industry.
• Adoption of Sustainable and Low-Carbon Production Methods: The need for eco-friendly carbon black is opening up opportunities for producers due to the global decarbonization drive. Carbon black produced using methane pyrolysis and renewable-powered production methods, is claimed to cut up to 90% of CO2 emission compared to traditional furnace methods. For example, Monolith in the U.S. produces carbon black while simultaneously generating clean hydrogen, and Birla Carbon has introduced the Continua™ line of sustainable carbon materials aimed at automotive OEMs to help reduce Scope 3 emissions. Net-zero commitments are increasing the pace of adoption, especially in Europe and North America, where green procurement policies are more stringent. This also creates sustainable carbon black products opportunity for premium pricing.

Market Challenges

• Competition from Alternative Materials: Carbon black faces increasing competition from other fillers, and pigments. Silica, titanium dioxide, and bio-based materials are all vying for carbon black’s dominance in various applications. In the tire industry, precipitated silica is expected to capture more than 15% market share among high-performance passenger car tires by 2024. This is due to its increasing use in green tires due to improvement in fuel economy and wet traction. Michelin, for example, and Continental are adopting silica-rich compounds in eco-tire lines to comply with stringent emissions and fuel economy standards.
• Supply Chain Disruptions and Regional Dependence: The concentration of carbon black production hinders the ability to adapt to supply chain shocks, especially in the Asia-Pacific region where over 45% of global output is located. For example, Europe experienced a reliance spike of 15-20% during the 2020 shipping delays as a result of COVID-19 lockdowns. Equally, the Russia-Ukraine conflict intruded and suspended feedstock provision in Eastern Europe which in turn disrupted a handful of local carbon black plants. Such dependencies force manufacturers to broaden sourcing regions, increase domestic production, or raise buffer stock, all of which compound operational costs and supply chain difficulties.

Carbon Black Market Segmental Analysis

Type Analysis

Furnace Black: Over 80% of global production share thoroughly dominates the market due to the cost-effective nature and versatility furnace black offers. It is extensively utilized in tires, mechanical rubber goods, plastics, and coatings as a reinforcement and pigment. For instance, Cabot Corporation furnaces black supplied Michelin with high-performance passenger and truck tires boosting furnace black production. Carefully tailored particle sizes and structures make furnace black a common choice in industrial production, specifically in automotive, construction, and packaging industries, enabling demand stability in the midst of market volatility.

Thermal Black: Roughly 7% of the global share is held by thermal black, which is defined with a low structured large particle size. It is somewhat flexible and provides resilience in rubber goods. Segments that utilize rubber for industrial purposes include seals, gaskets, hoses, and rubber linings requiring elasticity and minimal hysteresis. Orion Engineered Carbons produces thermal black grades specifically for heavy-duty rubber used in the mining and oil sectors. Furthermore, thermal black is appropriate for specialized coatings and insulation materials with lower furnace black requirements due to its high thermal stability.

Channel Black: This grade also has the lowest market share with roughly 4–5% due to its ultra-fine particle size and deep jet-black pigmentation. Its primary application is in high-end printing inks, paints and industrial coatings, and other decorative finishes that rely on the precision dispersion of color as well as its intensity.

Acetylene Black: This is the market's smallest segment with under 3% market share. However, its electrical conductivity and purity make it highly valued.

Grade Analysis

Rubber Carbon Black: This grade accounts for 75% of the market share, primarily due to tires. Rubber carbon black improves the tensile strength, abrasion resistance, and fatigue life of rubber parts. This grade is used by major tire manufacturers such as Bridgestone and Goodyear in their passenger, truck, and specialty tires for safety and performance. Its use is also found in rubber parts like belts and hoses as well as in vibration damping components. The expansion of demand is closely linked with global automotive manufacturing along with the replacement tire industry, both of which are anticipated to perform well, particularly in developing markets with growing levels of vehicular demand.

Specialty Carbon Black: Specialty carbon black comprises 25% of the market share. This product is utilized in plastics, inks, coatings, and even as a conductive material. It is also used for pigmentation and provides excellent protection against UV radiation, in addition to electrical conductivity. Specialty grades fuels strong growth with more than 6% CAGR forecasted through 2034 due to electronics, packaging, and renewable energy markets. For example, Birla Carbon specialty grades for automotive coatings improves gloss and durability. Additionally, Orion Engineered Carbons provides conductive carbon black used in polymer-based electronics. This segment provides sharpe increases in profits relative to investment, making it the concentrate region for the producers.

Application Analysis

Tires & Automotive Rubber: Making up more than sixty five percent of the global demand for carbon black, this is the largest segment of application. It tires improves wear resistance and fuel efficiency. The demand is sustained by the global vehicle production projected to exceed ninety five million units by the year 2025. Goodyear, for instance, makes high performance EV tires that use advanced carbon black and are made to endure higher torque loads. The replacement tire demand is significant as well ensuring consistent consumption during automotive market downturns.

Carbon Black Market Share, By Application, 2024 (%)

Plastic: This segment is about 15% of the market and uses black carbon for product pigmenting, for outdoor films and automotive interiors and for UV stabilization and as a conductor in cables. A good example would be, Dow Inc. which uses specialty carbon black for added weather resistance to polyethylene films used in outdoor packaging. The shift towards more lightweight and durable materials in construction and automotive is expected to drive demand for plastics, primarily in the Asia-Pacific and Middle East regions that are expanding their infrastructure and manufacturing undertakings.

Others: Paints and coatings constitute around 8% of the market share due to their pigments, which are valued for their deep pigmentation and weather although preservatives and UV filter resistance. In addition, Inks and toners hold a 5% share due to the requirement of ultra-fine particle carbon black for sharp and consistent printing. It is Important in the packaging, publishing, and office printing markets. Specialty grades of carbon black are used by HP in laser printer toners for clear and durable prints. Concerning shares (~7–8%) conductive material and batteries are the fastest growing segments with >8% CAGR driven by electronics, fuel cells and EV batteries. Conductive carbon black is used to improve performance by improving electrical pathways which enhances performance.

End User Analysis

Automotive: The automotive sector accounts for roughly 68% of carbon black consumption through tires, belts, hoses, gaskets and other battery components. Moreover, EV Adoption is making new uses in conductive materials for batteries. Tesla’s suppliers use Acetylene black in battery anodes to improve the range and efficiency of the vehicles. The expansion in the sector is based on the global vehicle manufacturing and aftermarket tire replacement supporting the carbon black demand.

Construction: This industry accounts for 12–14% of the market utilizing carbon black in sealants, roofing, asphalt, and protective coatings. With India’s USD 1.4 trillion National Infrastructure Pipeline, there is growing need for carbon black-based coatings in weatherproof construction materials. Its use is critical for UV resistance and durability in long lasting infrastructure components.

Others: Packaging claims 8–10% share in packaging plastics and containers carbon black adds UV stability and strength. Electronics account for 5% of the industry’s share with conductive carbon black utilized in wires, semiconductors, and energy storage devices. Enhanced conductivity and lifespan due to the use of acetylene black in EV battery electrodes is offered by Samsung SDI. The rest of “Others” (3–5%) is printing, aerospace, and industrial machinery. Carbon black filled composites are used by Boeing for super Lightweight, durable parts for aircrafts.

Carbon Black Market Regional Analysis

Asia-Pacific is leading in the carbon black market

• The Asia-Pacific carbon black market size was estimated at USD 15.47 billion in 2024 and is anticipated to reach around USD 25.40 billion by 2034.

The Asia-Pacific region leads the market. The region’s automotive, construction and plastics industries propel both demand and supply in China and India. For example, Birla Carbon is located in India to serve the growing demand from the tire industry, and Jinzhou Petrochemical manufactures furnace black for the domestic and export market. The region is also driving the demand for specialized carbon black for EV batteries and conductive materials which, in turn, spurs the demand for specialty carbon black for batteries and conductive materials. The region also drives infrastructure construction in high-demand for coatings and sealants with the National Infrastructure Pipeline.

North America Carbon Black Market Trends

• The North America carbon black market size was valued at USD 3.532 billion in 2024 and is projected to hit around USD 5.80 billion by 2034.

The carbon black market constitutes roughly 15% in North America, where the US leads as the primary contributor. The region's tire replacement sales, automotive manufacturing, and petrochemical specializations drive the demand. For instance, Cabot Corporation produces specialty conductive carbon black used by EV battery magnates such as Tesla and General Motors. The construction industry in the US, projected to exceed USD 2.1 trillion in 2024, creates a requiremnt for carbon black used in construction paints, coatings, and asphalt modifiers. Also, Monolith’s carbon black plant in Nebraska which produce carbon black using hydrogen showcases the regions effort toward sustainable manufacturing and EPA emission compliance.

Europe Carbon Black Market Trends

• The Europe carbon black market size was reached at USD 3.09 billion in 2024 and is forecasted to grow around USD 5.07 billion by 2034.

Europe market is rising with the highest demand coming from Germany, France, and Italy. The region is working on high-performance tires, their specialty, along with eco-friendly coatings and sustainable manufacturing methods. For instance, Orion Engineered Carbons has specialty carbon black plants in Germany which supply to automotive OEMs such as BMW and VW. The EU green regulations like carbon targets and emission caps are pushing low emission production processes.

Carbon Black Market Share, By Region, 2024 (%)

Latin America Carbon Black Market Trends

• The LAMEA carbon black market was valued at USD 2.43 billion in 2024 and is anticipated to reach around USD 3.99 billion by 2034.

Brazil and Mexico are the most important countries for the industry in Latin America. They regionally account for 9% of the global carbon black demand, owing to the automotive and manufacturing industries. As an example, Orion Engineered Carbons has a business in Brazil because the region's tire producers such as Pirelli and Bridgestone are furnace black consumers. Carbon black consumption in Brazil grew steadily, with tire exports surpassing USD 1 billion in 2024. These expenditures were primarily for carbon black utilized in tire production. In construction, infrastructural value investments under the Growth Acceleration Program (PAC) of Brazil are supporting the expansion of carbon black demand in coating and asphalt industry. There is similar steady demand in rubber carbon black for tires and sealing systems for Mexico's automotive exports to the US.

Carbon Black Market Top Companies

• Cabot Corporation
• Orion Engineered Carbons S.A.
• Birla Carbon
• Continental Carbon Company
• Tokai Carbon Co., Ltd.
• Phillips Carbon Black Limited (PCBL)
• Mitsubishi Chemical Corporation
• Omsk Carbon Group
• Denka Company Limited
• Jiangxi Black Cat Carbon Black Co., Ltd.
• Longxing Chemical Stock Co., Ltd.
• Asahi Carbon Co., Ltd.

Recent Developments

• July 2025: Orion S.A. expanded its production facilities by opening a new plant in Texas, USA, to manufacture conductive carbon black used in lithium-ion batteries and super-critical coatings in July 2025. The plant is strategically placed to cater to the growing demand in the North American EV and electronics markets.
• May 2025: At the Tire Technology Expo 2025, Birla Carbon showcased its Continua™ products which are optional sustainable carbon black and showcased improvements in sustainability and carbon emission reductions in tires showcased by the automotive industry.
• April 2025: A milestone in the rubber industry was achieved: Sumitomo Rubber Industries and Mitsubishi Chemical initiated the world’s first commercial-scale production of recycled carbon black from end-of-life tires through the coke oven chemical recycling method, focusing on race and passenger car tires.

Market Segmentation

By Type

• Furnace Black
• Channel Black 
• Thermal Black
• Acetylene Black

By Grade

• Specialty Carbon Black
• Rubber Carbon Black

By Application

• Tires and Automotive Rubber
• Plastics
• Others (Paints & Coatings, Inks & Toners and Batteries & Conductive Materials)

By End User

• Automotive
• Construction
• Others (Packaging, Electronics)

By Region

• North America
• APAC
• Europe
• LAMEA