July 18, 2024

Global Recovered Carbon Black Market Is Estimated To Witness High Growth Owing To Increasing Adoption of Sustainable Technologies

The global Recovered Carbon Black Market is estimated to be valued at US$ 55 million in 2018 and is expected to exhibit a CAGR of 55.0% over the forecast period of 2018-2023, as highlighted in a new report published by Coherent Market Insights.

A) Market Overview:

Recovered carbon black is produced from the recycling of end-of-life tires. This process helps in reducing the environmental impact of tire waste and offers unique advantages over virgin carbon black. Recovered carbon black possesses similar characteristics and performance as virgin carbon black, making it suitable for various applications such as tires, rubber products, and plastics. The need for sustainable alternatives to traditional carbon black and the increasing focus on environmental regulations are driving the demand for recovered carbon black.

B) Market Key Trends:

One key trend in the Recovered Carbon Black Market is the increasing adoption of sustainable technologies. As environmental concerns become more prominent, industries are shifting towards sustainable practices. Recovered carbon black offers a greener alternative to virgin carbon black by utilizing waste tires. This not only reduces the environmental impact of tire waste but also conserves natural resources. For example, the automotive industry, which is one of the major users of carbon black, is increasingly adopting recovered carbon black in tire manufacturing to reduce their carbon footprint.

C) Porter’s Analysis:

– Threat of new entrants: With the increasing demand for recovered carbon black, the threat of new entrants in the market is moderate. Established players have strong distribution networks, customer relationships, and considerable experience in the industry, making it difficult for new entrants to compete.

– Bargaining power of buyers: The bargaining power of buyers is moderate. The market is characterized by a few key players, giving them some control over pricing. However, the increasing popularity of recovered carbon black and the rising demand for sustainable products give buyers some leverage.

– Bargaining power of suppliers: The bargaining power of suppliers is moderate. The supply of recovered carbon black is dependent on the availability of waste tires. However, suppliers of waste tires have limited options for recycling or disposing of these tires, providing some bargaining power to recovered carbon black manufacturers.

– Threat of new substitutes: The threat of new substitutes is low. Recovered carbon black offers similar characteristics and performance as virgin carbon black at a lower cost, making it a preferred choice for various applications.

– Competitive rivalry: The competitive rivalry in the recovered carbon black market is moderate. The market is fragmented with several key players, competing based on product quality, price, and customer relationships.

D) Key Takeaways:

– The global recovered carbon black market is expected to witness high growth, exhibiting a CAGR of 55.0% over the forecast period, due to increasing adoption of sustainable technologies. The demand for recovered carbon black is driven by the need for greener alternatives to traditional carbon black and the rising focus on environmental regulations.

– Regionally, North America is expected to dominate the recovered carbon black market due to the presence of major tire manufacturers and the increasing adoption of sustainable practices in the region.

– Key players operating in the global recovered carbon black market include DVA Renewable Energy JSC, Klean Industries, Delta-Energy Group, Pyrolyx, Black Bear Carbon, Scandinavian Enviro Systems AB, Bolder Industries, Radhe Group of Energy, Alpha Carbone, Integrated Resource Recovery, DRON Industries, Enrestec, and SR2O Holdings. These players are focusing on product innovation and strategic collaborations to gain a competitive edge in the market.