Phenix (City) rising: Continental Carbon, Eco Infinic partner for rCB production at shuttered factory

PHENIX CITY, Ala.—Like a phoenix from the ashes of a previous carbon black production facility, sustainability is rising in eastern Alabama.

Continental Carbon Co., which had operated a tire tread-grade carbon black plant near the Georgia border from the early 1980s until the plant's mandated closure in December 2023, will partner with a Taiwanese firm to produce recovered carbon black at the same facility.

Operations for the joint venture between CCC (35 percent) and Sheico Group (65 percent) are expected to begin sometime in 2026. The plant will employ between 60 and 100 people.

"Continental Carbon North America, in partnership with Sheico and our parent company CSRC, is thrilled to unveil our latest sustainability initiative, which underscores our commitment to environmental stewardship and our continued aggressive moves toward a sustainable solutions marketplace," Continental Carbon President Dennis Hetu told Rubber News May 14 at the International Tire Exhibition & Conference in Akron.

"And that's what we are calling it—'Phenix Rising.' "

Houston-based CCC's parent company, the China Synthetic Rubber Corp., approved the May 13 partnership with Eco Infinic Co. Ltd., a Thai subsidiary of Sheico Group, to produce rCB, oil and steel cord via tire pyrolysis.

"With Sheico as our lead partner, we will further develop our eco-circular offerings in line with our commitment to sustainability as outlined in our Ouroboros circularity program and our commitment to the Science Based Targets Initiative for net zero greenhouse gas emissions," Hetu said. "Combining Continental Carbon's established expertise as a vCB producer, with the industry leading eco-circular rCB producer Sheico, will propel us in the journey of successfully leading by example toward a more sustainable future."

Focused specifically on the North American market for rCB, the JV will form "one of the largest recovered carbon black plants in North America," CCC said in a May 13 release.

The plant is expected to generate 30,000 metric tons of rCB per year; 35,000 metric tons of tire pyrolysis oil per year; and 2,300 metric tons of steel cord per year, all three from end-of-life tire feedstock.

"We have been looking at the rCB market for many years now," Hetu said. "And Sheico is the largest wetsuit manufacturer and wetsuit reprocessor in the world. Eco is focused on the circularity and sustainability markets."

It is no secret that international tire giants like Michelin and Bridgestone have ambitious goals of using at least 40-percent sustainable materials in their tires by 2030 and 100-percent sustainable ingredients by 2050.

As such, these major tire makers have initiated actions calling for the expanded use of rCB.

"What we are doing is in line with Science-Based Target Initiative for net zero," Hetu said. "The big tire guys have made very clear the requirements for circularity programs and science-based initiative targets. We've been on board with this for many years ... and this is another step in the right direction."

While rCB, or a mix of recovered and virgin CB, is likely to play a major role in sustainability in tire manufacturing moving forward, the current rCB market is fragmented and limited.

Depending on the source, between 1 and 2 percent of the rCB produced today finds its way into tire production—precisely because rCB is an amalgam of many different vCBs in tires, and often is not a one-for-one replacement.

The future, however, appears bright for rCB.

According to "Research & Markets," the global market size for rCB is projected to be $492 million in 2023, with an estimated CAGR of 34.8 percent through 2030.

The U.S., in particular, has seen startups and legacy CB producers alike establishing and contributing to advanced pyrolysis technology, evidence that rCB cannot be overlooked in the market.

"One- to two-percent actually is a good start," Hetu said. "It means it can be done. Second is to prove it can be done at a higher level, around the world ... maybe not in passenger tires right away, but with other tires it's been done."

Hetu said initial market response has been good.

"Response has been welcoming," he said. "In some cases it's been a bit overwhelming for us. We are the first true vCB producer that has put a JV together with a leading eco-circular rCB producer like Sheico.

"This is a powerful combination. This is not an off-take or an opportunity for PR. This is a true relationship between vCB and rCB—which we both know how to do very well. And there are many incentives to get it right."

Sheico, based in Yilan, Taiwan, is one of the largest producers in the world of wetsuits and water sports apparel using EOL tires.

According to Hetu, the company has years of experience producing rCB in Taiwan, eliminating about 35,000 tons of waste tires per year.

"The company ventured into the field of waste tire pyrolysis due to its commitment to developing eco-friendly materials for wetsuits," he said. "It has been involved in the rubber and rCB production processes for many years.

"The Thai government recognizes this initiative as a model project for the circular economy."

Both Sheico and CCC will produce the rCB, leveraging each other's expertise at the Phenix City plant.

Sheico says it maintains a "deep commitment and dedication" to a circular economy.

"This resonates well with people's values," Hetu said. "And this aligns perfectly with CSRC's philosophy of sustainable management. The establishment of this joint venture not only aims to enter the U.S. recovered carbon black market, but also helps clients reduce carbon emissions and resource consumption, achieving the goal of carbon neutrality across the industrial chain."

Specifically, the JV melds with CCC's Ouroboros Program, a long-term effort to reduce greenhouse gases and develop low-carbon technologies.

Through the aptly named Ouroboros—the ancient symbol depicts a serpent or snake eating its tail—CCC is developing new grades of eco-circular CB, along with tire pyrolysis oil, and incorporating them into the production process once again.

CCC also employs sustainability initiatives through its Science-Based Target Initiative.

"CCC has been in the market for a long time," Hetu said. "We have brought in new products and got them into the marketplace, in bike tires, prints, coatings, electronics and more.

"And now we are looking to employ Ouroboros in tires."

The Conti Carbon facility, which sits on 10 acres and previously employed about 120 people, closed Dec. 31, 2022, for failing to meet U.S. EPA Clean Air Act standards.

The final order came from the Alabama Department of Environmental Management, and the facility has been shuttered for the year-and-a-half since.

"I do not believe there are any loose ends here (from the EPA) to worry about," Hetu said. "We are actively engaged with (the ADEM) and others to make sure things go smoothly."

Hetu told Rubber News in January 2023 that CCC requested an extension to make the necessary upgrades to comply with the Clean Air Act, however the extension was denied.

Operating at about 80-percent capacity at the time of its closure, the Phenix City plant produced between 40 and 45 kilotons of vCB per year. At full capacity, the plant produced between 50 and 60 kilotons per year, Hetu said.