Growing Tire Industry in Europe
Carbon black is required majorly in tires of automotive vehicles. It is used as a filler as well as a strengthening reinforcing agent. The tire sector is a growing market dominated by replacement tires in vehicles. In 2016, there was a moderate growth in the European tire market, along with an increase in imports. Replacement consumer tires sales showed positive year-end results with a 2% increase due to a strong performance in the last quarter (4%) of 2016. The original equipment/factory fitted (OE) consumer tires also saw a good performance with a 3% increase in sales due to a 7% increase in new car registrations. The year 2017 started positively for the European tire market. The first quarter sales of consumer, truck, agricultural, and motor tires grew by 4%, 15%, 0.5%, and 8%, respectively, compared to the first quarter of 2016. Additionally, with the increasing demand for lightweight vehicles and electronic vehicles in the region, the demand for carbon black shall further rise during the forecast period.
Furnace Black is expected to have the Largest Share
In 2017, furnace black segment accounted for 95% of the global market and is expected to have the fastest growth during the forecast period. It is the most common type in the production of carbon black in Europe. More than 95% of the manufacturers use this to manufacture carbon black in the market. Furnace black provides reinforcement and superior resilience, tear-strength, and conductivity, and hence, it is used as a rubber reinforcing agent in tires and other rubber goods. It is widely used in industrial rubber production as a filler and as a pigment in plastics, inks, and paints & coatings. Furthermore, the growing use of furnace black as a pigment in the coating and polymers industries is expected to further augment the growth of the market.
Germany Dominates the Market
Germany is the largest consumer of tires in the European market. Tire application accounts for the major share of the German carbon black market. Germany is the fourth-largest vehicle producer in the world, after China, the United States, and Japan. The country has also built a reputation for its high-quality automobile manufacturing. Such factors have positioned Germany as one of most lucrative markets for leading global tire manufacturers. According to OICA data, the production of motor vehicles in the country has increased from 1.9 billion units in 2015 to almost 2.1 billion units in 2016, achieving a growth rate of 5.6% in a year-on-year basis. Such positive attributes are expected to drive the market for carbon black in Germany through the forecast period.
Key Developments in the Market
October 2017: Cabot Corporation has decided to purchase Tech Blend for nearly USD 64 million, a leading manufacturer of black masterbatches.
Major Players: Cabot Corporation, Birla Carbon, Orion Engineered Carbon, Sid Richardson Carbon and Energy Ltd, and Tokai Carbon Co., among others.
Reason to Purchase this Report
- Analyzing various perspectives of the market with the help of Porter’s five forces analysis
- To understand the dominating type in the market
- Countries that are expected to witness the fastest growth during the forecast period
- Identify the latest developments, market shares, and strategies employed by the major market players
- 3-month analyst support, along with the Market Estimate sheet (in Excel)
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1.1 Research Phases
1.2 Study Deliverables
1.3 Scope of the Report
2. Executive Summary
3. Market Insights
3.1 Industry Value-Chain Analysis
3.2 Industry Attractiveness – Porter’s Five Forces Analysis
3.2.1 Bargaining Power of Suppliers
3.2.2 Bargaining Power of Consumers
3.2.3 Threat of New Entrants
3.2.4 Threat of Substitute Products and Services
3.2.5 Degree of Competition
4. Market Dynamics
4.1.1 Rising Demand from Tire industry
4.1.2 Growth in Contruction Sector
4.2.1 Volatility of Raw Material Prices
4.2.2 Environmental Concerns
4.2.3 Substitution by Silica
4.3.1 Increasing Research on Active fibers
5. Market Segmentation and Analysis (Market Size, Growth and Forecast)
5.1 By Type
5.1.1 Furnace Black
5.1.2 Gas Black
5.1.3 Lamp Black
5.1.4 Thermal Black
5.2 By Application
5.2.1 Tires and Industrial Rubber Products
22.214.171.124 Pressure Pipe
126.96.36.199 Film and Sheet
188.8.131.52 Molded Parts
5.2.3 Tonners and Printing Inks
5.2.4 Paints and Coatings
5.2.5 Textile Fibers
6. Regional Market Analysis (Market Size, Growth and Forecast)
6.3 United Kingdom
6.7 Rest of Europe
7. Competitive Landscape
7.1 Mergers & Acquisitions, Joint Ventures, Collaborations, and Agreements
7.2 Market Share Analysis**
7.3 Strategies Adopted by Leading Players
8. Company Profiles (Overview, Financials**, Products & Services, and Recent Developments)
8.1 Birla Carbon
8.2 Bridgestone Corporation
8.3 Cabot Corporation
8.5 Continental Carbon Company
8.6 Himadri Chemicals and Industries Limited
8.7 Imerys Graphite & Carbon
8.8 Mitsubishi Chemical Holdings Corpora
8.9 Nippon Steel & Sumikin Chemical
8.10 OCI Company Ltd
8.11 Orion Engineered Carbons
8.12 OMSK Carbon Group
8.13 Phillips Carbon Black Ltd
8.14 Sid Richardson Carbon & Energy Co.
8.15 Tokai Carbon Co. Ltd
*List not exhaustive
**Subject to availability on public domain
- Birla Carbon
- Bridgestone Corporation
- Cabot Corporation
- Continental Carbon Company
- Himadri Chemicals and Industries Limited
- Imerys Graphite & Carbon
- Mitsubishi Chemical Holdings Corpora
- Nippon Steel & Sumikin Chemical
- OCI Company Ltd.
- Orion Engineered Carbons
- OMSK Carbon Group
- Phillips Carbon Black Ltd.
- Sid Richardson Carbon & Energy Co.
- Tokai Carbon Co. Ltd.