Recovered carbon black is a form of recycled carbon black that is obtained from tire pyrolysis or the combustion of tire rubber. It possesses properties similar to virgin carbon black such as reinforcing filler, ultraviolet protection and conductivity. Recovered carbon black provides an eco-friendly and cost-effective solution for recycling waste tires. Its production helps in mitigating environmental issues associated with used tire stockpiling.
The recovered carbon black market is estimated to be valued at US$ 279.52 Mn in 2023 and is expected to exhibit a CAGR of 32% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
With growing environmental awareness, governments across the globe have implemented stringent regulations regarding waste tire disposal and recycling. This has significantly boosted the rates of tire recycling in recent years. According to data, Europe processed over 3 million metric tons of scrap tires through recycling in 2020 alone. Furthermore, recovered carbon black production enables reduction in carbon footprint as it curbs the need for extraction of virgin carbon black from petroleum. Leading recovered carbon black producers are actively focusing on expanding their production capacities to cater to the rising demand from tire as well as other rubber product industries. This trend is expected to continue driving the recovered carbon black market over the forecast period.
Porter’s Analysis
Threat of new entrants: Low level due to high capital requirement in establishing Recovered Carbon Black manufacturing facilities.
Bargaining power of buyers: Moderate as recovered carbon black manufacturers have bargaining power due to specialized manufacturing process.
Bargaining power of suppliers: Low as recovered carbon Black manufacturers source raw materials from tire pyrolysis plants at large scale.
Threat of new substitutes: Low as recovered carbon black has cost advantages over virgin carbon black and provides sustainability benefits.
Competitive rivalry: High among the major established recovered carbon black producers globally.
SWOT Analysis
Strength: Eco-friendly in nature, provides cost saving over virgin carbon black, demand driven by regulatory pushes for sustainable tire recycling.
Weakness: High dependence on tire pyrolysis industry, requires large infrastructure for production.
Opportunity: Increasing adoption in tire, plastics, coatings industries driven by sustainability goals, growth in regions like Asia Pacific.
Threats: Development of alternative sustainable materials, fluctuation in raw material prices from tire pyrolysis plants.
Key Takeaways
The global Recovered Carbon Black market is expected to witness high growth, exhibiting CAGR of 32% over the forecast period, due to increasing sustainability regulations pushing adoption of recycled materials. The market size for 2023 is US$ 279.52 Mn.
Regional analysis: Asia Pacific dominates currently with China being the largest producer globally backed by presence of key players and government support for sustainable industries. The region is expected to witness fastest growth during forecast period.
Key players operating in the Recovered Carbon Black market are Pyrolyx AG,SR2O Holdings,Alpha Carbone,Scandinavian Enviro System AB,Integrated Resource Recovery,Delta-Energy Group,Bolder Industries,Black Bear Carbon B.V,DVA Renewable Energy JSC,Others.
