United States Carbon Black Market By Process Type (Furnace Black, Gas Black, Lamp Black, Thermal Black), By Application (Tires, Plastics, Toners, Coatings, Textile Fibers, Others), By Region, Competition 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 6.57 Billion
CAGR (2026-2031)	5.37%
Fastest Growing Segment	Furnace Black
Largest Market	Midwest
Market Size (2031)	USD 8.99 Billion

Market Overview

The United States Carbon Black Market will grow from USD 6.57 Billion in 2025 to USD 8.99 Billion by 2031 at a 5.37% CAGR. Carbon black is a para-crystalline material produced through the incomplete combustion or thermal decomposition of hydrocarbons, functioning primarily as a reinforcing agent in rubber and a pigment in specialty applications. The market is propelled by consistent demand from the automotive sector, particularly for tires and industrial rubber goods such as hoses and belts. According to the U.S. Tire Manufacturers Association, in 2024, total U.S. tire shipments were projected to reach 338.9 million units, underscoring the substantial requirement for reinforcing fillers. This reliance on carbon black for structural integrity in vehicle components remains a fundamental economic driver for domestic producers, ensuring steady consumption volumes despite broader economic fluctuations.

One significant challenge that could impede market expansion is the intensifying pressure from environmental regulations regarding emissions and sustainability standards. Manufacturers must increasingly navigate complex compliance frameworks and invest heavily in emission reduction technologies, which can raise operational costs and constrain production flexibility. This regulatory environment creates financial headwinds that may impact profit margins and slow the pace of capacity expansion within the United States, as companies balance necessary output with rigorous ecological mandates.

Key Market Drivers

The robust expansion of the automotive tire manufacturing sector serves as the primary engine for the United States Carbon Black Market. Domestic producers are heavily reliant on the tire industry, which consumes the vast majority of carbon black output for use as a reinforcing filler to enhance durability and longevity. This dependency is intensifying as automakers prioritize light trucks and utility vehicles, which require larger, more durable tires with higher carbon black loadings. According to the U.S. Tire Manufacturers Association, December 2024, in the '2024 Tire Shipment Outlook', original equipment shipments for light truck tires were projected to increase by 14.6% compared to the previous year. This specific surge in the light truck segment underscores a critical pivot in manufacturing requirements, directly translating to sustained order volumes for high-performance carbon black grades used in these heavier-duty applications.

Simultaneously, the emergence of sustainable and recovered carbon black (rCB) initiatives is reshaping the market's strategic landscape. As environmental regulations tighten, major carbon black manufacturers are compelled to decarbonize their operations and integrate circular materials to maintain their supplier status with top-tier tire brands. This shift necessitates substantial capital for retrofitting facilities and developing lower-emission production technologies. According to Cabot Corporation, June 2024, in the '2024 Sustainability Report', the company successfully reduced its absolute Scope 1 and Scope 2 greenhouse gas emissions by 330,000 metric tons compared to the prior calendar year, illustrating the scale of operational adjustments currently underway. Despite these transitional costs, leading market players continue to secure profitability through strategic pricing and product mix optimization. For instance, according to Cabot Corporation, in 2024, the company’s Reinforcement Materials segment reported an 11% increase in Earnings Before Interest and Taxes (EBIT), reaching $537 million, driven by strong operational execution amidst these evolving industry standards.

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Key Market Challenges

The intensifying pressure from environmental regulations regarding emissions and sustainability standards presents a significant barrier to the United States Carbon Black Market. As federal and state authorities enforce stricter air quality mandates, manufacturers are compelled to divert substantial capital toward compliance mechanisms rather than capacity expansion. This regulatory environment necessitates heavy investment in emission control technologies, which increases operational expenditures and compresses profit margins. Consequently, domestic producers face reduced financial flexibility to scale operations, restricting their ability to align supply with the robust demand from the tire and rubber sectors.

This financial strain is reflected in recent industrial capital trends. According to the American Chemistry Council, in 2024, capital spending by U.S. chemical manufacturers rose by 4.1% to reach $34 billion, a surge largely attributed to the funds required for regulatory compliance and sustainability infrastructure. Such significant allocation of resources toward non-revenue-generating mandates limits the industry's potential to invest in new production lines. This dynamic effectively hampers market growth by constraining domestic output capabilities, creating a supply-demand imbalance despite steady consumption needs.

Key Market Trends

The development of ultra-conductive grades for lithium-ion battery electrodes is rapidly accelerating as domestic manufacturers pivot to support the burgeoning electric vehicle (EV) supply chain. Unlike traditional tire reinforcement, these specialized carbon black forms—such as conductive additives and carbon nanotubes—are engineered to maximize energy density and electrical conductivity in battery cathodes and anodes. This trend is driving significant localized infrastructure investment to reduce reliance on Asian imports and integrate with the U.S. battery belt. According to Cabot Corporation, September 2024, in the 'Cabot Corporation Selected for Award Negotiation' announcement, the company was chosen for a grant of up to $50 million from the U.S. Department of Energy to aid in the construction of a $181 million commercial-scale facility in Michigan dedicated to producing battery-grade conductive materials.

Concurrently, the market is witnessing the adoption of methane pyrolysis as a distinct low-emission production technology, moving beyond simple emission retrofits toward fundamentally cleaner manufacturing processes. This method splits natural gas into solid carbon and hydrogen without combustion, offering a supply of virgin-quality carbon black with a near-zero carbon footprint, which is critical for end-users seeking to decouple from oil-based feedstocks while maintaining material purity. This technological shift is gaining financial momentum as producers scale operations to meet industrial decarbonization goals. According to Monolith Materials, September 2024, in the 'Monolith Announces Additional Funding from Investor Consortium' press release, the company closed a new funding round to advance its commercial operations, supporting a facility expansion strategy associated with a conditionally approved $1.04 billion Department of Energy loan for clean material production.

Segmental Insights

The Furnace Black segment represents the fastest growing category in the United States Carbon Black Market, primarily due to robust demand from the tire manufacturing sector. This method is favored for producing grades that significantly enhance rubber durability, a key factor in meeting safety protocols established by the National Highway Traffic Safety Administration. The ongoing need for high-performance automotive components drives this expansion, as furnace black remains the most cost-effective and adaptable solution for reinforcement. Thus, the segment sustains its leading growth position by satisfying essential industrial requirements.

Regional Insights

The Midwest maintains the leading position in the United States carbon black market due to the high concentration of automotive and tire manufacturing industries in the region. States such as Ohio and Michigan serve as major industrial hubs where carbon black is extensively utilized as a reinforcing filler for tires and various rubber components. This significant local demand from established automotive manufacturers reduces logistical costs and ensures a steady supply chain for producers. Consequently, the region benefits from direct proximity to key end-users, solidifying its status as the primary center for carbon black consumption.

Recent Developments

• In November 2025, Tokai Carbon Co., Ltd. disclosed a significant reorganization of its subsidiaries operating within the United States to improve business efficiency and governance. The company announced the integration of Tokai Carbon U.S.A., Inc., KBR, Inc., and MWI, Inc. into a single consolidated entity named Tokai Carbon GS, Inc., effective January 1, 2026. This merger is intended to streamline the management of its fine carbon and related businesses in the North American market. By unifying these operations under one holding company, the firm aims to strengthen its competitive position and optimize its corporate structure to better serve its U.S. customer base.
• In July 2025, Orion S.A. announced a strategic decision to discontinue production at multiple carbon black lines across its facilities in the Americas and EMEA regions. The specialty chemicals company revealed plans to shut down three to five underperforming lines by the end of the year to consolidate maintenance investments into more efficient and high-performing assets. The Chief Executive Officer of Orion S.A. stated that this move was designed to enhance free cash flow and rationalize the company's global footprint. The decision came amidst a market environment influenced by new tariffs and shifting demand dynamics in the tire manufacturing sector within the United States and Europe.
• In September 2024, Monolith, a leader in clean hydrogen and carbon black production, secured a new round of funding from a consortium of investors to support its expansion in the United States. The company, which utilizes a methane pyrolysis process to produce carbon black with significantly reduced emissions compared to traditional methods, received backing from firms such as TPG Rise Climate and Warburg Pincus. This financial injection is intended to advance the company's operations in Nebraska, where it is scaling up its technology to supply tire manufacturers with sustainable materials. The funding follows the company’s engagement with the Department of Energy’s Loan Programs Office for its Olive Creek expansion.
• In June 2024, the board of directors of a Taiwan-based carbon black manufacturer approved a joint venture plan to establish a large-scale recovered carbon black (rCB) plant in Phenix City, Alabama. This project involves a partnership with Eco Infinic Co., Ltd. to construct a facility at the site of the Continental Carbon Company, capable of producing 30,000 tons of rCB and 35,000 tons of tire pyrolysis oil annually. The initiative aims to address the growing demand for sustainable materials in the United States tire industry, with production expected to commence in 2026. The collaboration highlights a strategic shift toward circular economy solutions within the domestic market.

Key Market Players

• Cabot Corporation
• Birla Carbon (Aditya Birla Group)
• Continental Carbon Company
• Phillips Carbon Black Ltd
• Tokai Carbon Co., Ltd.
• Columbian Chemicals Company
• Orion Engineered Carbon
• Sid Richardson Carbon & Energy Company
• Cancarb Limited
• Mitsubishi Chemical Corporation

By Process Type	By Application	By Region
Furnace Black Gas Black Lamp Black Thermal Black	Tires Plastics Toners Coatings Textile Fibers Others	Northeast Midwest South West

Report Scope:

In this report, the United States Carbon Black Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• United States Carbon Black Market, By Process Type:

• Furnace Black
• Gas Black
• Lamp Black
• Thermal Black

• United States Carbon Black Market, By Application:

• Tires
• Plastics
• Toners
• Coatings
• Textile Fibers
• Others

• United States Carbon Black Market, By Region:

• Northeast
• Midwest
• South
• West