Recovered Carbon Black Market Size, Trends and Growth Analysis by 2027

The market for recovered carbon black is anticipated to grow significantly, reaching an estimated US$ 8,760.62 million by 2028, up from US$ 4,037.76 million in 2021. This growth represents a compound annual growth rate (CAGR) of 11.7% from 2021 to 2028.

Recovered carbon black is a sustainable material primarily derived from the pyrolysis process of waste tires during recycling. Its eco-friendly nature provides both environmental and economic advantages by repurposing unused tires. This material is widely utilized as a reinforcing agent in the production of various non-tire rubber products, including hoses, conveyor belts, gaskets, rubber sheets, seals, geomembranes, and roofing materials. Additionally, recovered carbon black is employed in coatings, plastic masterbatches, inks, and other applications. The market for recovered carbon black is ripe with opportunities, driven by the growing demand for green alternatives aimed at reducing carbon footprints.

The global recovered carbon black market is categorized based on application into segments such as tire, non-tire rubber, plastics, and others. Notably, the non-tire rubber segment is projected to experience the highest CAGR during the forecast period. Recovered carbon black serves as a crucial reinforcing agent in the manufacturing of various non-tire rubber products, enhancing their abrasion resistance and elasticity. Its low ash content contributes to the strength of mechanical rubber products, making it a preferred choice in the industry. The expansion of the non-tire rubber application segment is closely linked to the growth of the rubber sector and the increasing demand for environmentally friendly products.

Geographically, the recovered carbon black market is divided into regions including North America, Europe, Asia Pacific (APAC), South America (SAM), and the Middle East & Africa (MEA). Europe is projected to exhibit the fastest CAGR during the forecast period. Key economies in Europe, such as Germany, France, Italy, the UK, and Russia, present substantial growth opportunities for players in the recovered carbon black market due to the high volume of waste tire generation annually. Furthermore, the region's stringent environmental and safety regulations have led to a significant import of new carbon black, making its production more costly. The European tire industry also demands large quantities of carbon black. In Europe, numerous businesses, governmental bodies, municipalities, and academic institutions are increasingly collaborating and innovating to support a circular economy, creating potential growth avenues for the recovered carbon black market.

The COVID-19 pandemic has profoundly impacted the industrial sector, adversely affecting the growth of the recovered carbon black market. Measures implemented to curb the virus's spread have exacerbated the situation, disrupting various industrial sectors. Industries such as automotive, oil and gas, chemicals, aerospace, and others have faced operational inefficiencies and supply chain disruptions due to sudden national and international lockdowns. For instance, an article from ACEA highlighted the severe impact of COVID-19 on the automotive sector, noting a 25% drop in car sales in Europe, which directly correlates with the demand for recovered carbon black.

Moreover, the recovered carbon black market remains in its early stages, with manufacturers working on developing products with varying grades and technological advancements. The pandemic has led to disruptions in orders and deliveries, resulting in cancellations and backlogs. The significant decline in growth across several industrial sectors has adversely affected the global demand for recovered carbon black. Disruptions in sourcing raw materials and temporary manufacturing closures due to lockdowns have further hindered market growth during this period. However, as economies begin to recover and resume operations, the demand for recovered carbon black is expected to rise globally. The increasing need for recovered carbon black across various applications, including tire, non-tire rubber, plastics, coatings, and inks, coupled with substantial investments from leading manufacturers, is likely to propel market growth.

Key players in the global recovered carbon black market include Black Bear Carbon B.V., Bolder Industries, ENRESTEC, Klean Carbon, Radhe Group Of Energy, Scandinavian Enviro Systems AB, SR2O Holdings, LLC, Delta Energy LLC, Pyrolyx AG, and Alpha Carbone. These established companies are actively contributing to the market's development.

The overall size of the global recovered carbon black market has been determined through a combination of primary and secondary research methods. The research process began with extensive secondary research utilizing both internal and external sources to gather qualitative and quantitative data related to the market. Additionally, numerous primary interviews were conducted with industry participants and experts to validate the data and gain deeper analytical insights. Participants included industry professionals such as VPs, business development managers, market intelligence managers, and national sales managers, as well as external consultants like valuation experts, research analysts, and key opinion leaders specializing in the recovered carbon black market.