Sustainability in focus as carbon black market normalizes

BERLIN—Carbon black pricing has returned to pre-COVID-19 levels in Europe, according to Martin von Wolfersdorff of Berlin-based industry consultancy Wolfersdorff Consulting Berlin.

"There is no disruption of supply," except for a small hiccup in the supply chain at the end of 2020, von Wolfersdorff said in a written comment about the current market situation to European Rubber Journal.

The blip, he said, happened when the largest carbon black oil distributor, Tauber Oil, was short of volumes after ExxonMobil decided to sell directly instead of via distributors.

Meanwhile, issues around sustainability and decarbonization are to the fore in the carbon black industry, though "the pathway to sustainability appears not yet defined clearly," said von Wolfersdorff.

Recent developments in this area include Birla Carbon's new collaboration with recovered carbon black producer Circtec—as well as its stated target to achieve carbon neutrality by 2050.

Also of potential significance for the analyst is Orion Engineered Carbons' recently announced move to focus on bio-based and recycled feedstocks.

Meanwhile, he said, a project by U.S. methane pyrolysis company Monolith Materials could shake up the 'old boys club' of established furnace carbon black producers.

Von Wolfersdorff noted Monolith is offering of a range of semi-reinforcing carbon blacks that have low grit, low PAH and an incrementally improved carbon footprint.