The Asia Pacific Carbon Black Conference 2024 – Perspectives in Asia Pacific, one of the largest and most acknowledged global carbon black industry events, unfolded in Kolkata, India, marking a historic moment for the city. The 15th edition welcomed a record-breaking 252 delegates and featured compelling discussions on the future of the carbon black market, which is projected to reach USD 30.15 billion by 2029. Over three days, industry leaders explored key trends, sustainability efforts and technological innovations, underscoring the sector’s dynamic evolution and the growing importance of India in shaping its future.

The sprawling banquet of a renowned hotel in the City of Joy was attuned to the murmuring of delegates from across the globe when the speaker on the dais invited the International Advisory Committee Chairman Amit Choudhary to address the crowd. With utter excitement, the chairman ascended the stage and opened the 15th Asia Pacific Carbon Black Conference doors to the curious assembly. Over the next three days, the event featured – workshops, intriguing sessions and panel discussions on the global carbon black market, which is slated to reach USD 30.15 Billion by 2029, according to Mordor Intelligence.

From sessions on the latest trends within the space to the use of recovered carbon black and sustainability issues, the conference was a boiling cauldron of information, coupled with an exhibition spanning different makers and associated suppliers to the industry.

Speaking to Tyre Trends exclusively, Choudhary said, “Key takeaways from the conference were impactful for both participants and delegates, with a record-breaking 252 attendees from around the globe. The exhibition, featuring 36 stalls, marked the largest in the Asia-Pacific region in the event’s 31-year history. The conference kicked off with two workshops on day one, focusing on the technical aspects of carbon black and its applications across the tyre and other industries. About 70 attendees engaged in a robust discussion, addressing numerous technical queries from leading players in the carbon black industry, including Birla Carbon, Tokai Carbon, Himadri Speciality Chemical Ltd, Epsilon, PCBL, and so on.”

He added, “For the first time in its history, the conference featured panel discussions on different topics of the carbon black industry covering marketing, raw materials, application, technology and the future of carbon black, which fostered intense engagement from participants. These sessions provided valuable insights and sparked in-depth discussions, impacting all those who attended.”

Many companies attending the conference were not direct carbon black producers but played key roles in the carbon value chain, either as suppliers to the carbon black industry or as technological collaborators or customers. This diverse representation highlighted the industry’s interconnected nature, with attendees gaining exposure to the latest technologies and processes shaping the sector.

“The conference brought together a global audience, fostering collaboration and providing significant opportunities for local suppliers to engage with emerging technologies. Carbon black production in this region, particularly in India, is experiencing rapid growth.

Companies across the country, from Gujarat and Maharashtra in the west to the east and south, are expanding their operations to meet increasing demand. This growth presents ample opportunities for suppliers of essential equipment and consumables to the carbon black industry, such as refractory manufacturers, bag suppliers and packing material providers. Ultimately, the entire supply chain stands to benefit from the increased collaboration and knowledge exchange fostered at the conference,” averred Choudhary.

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George Haines, Global Product Director and Avijit Sasmal, Chief Sustainability Officer at Himadri Speciality Chemical Limited, highlighted the carbon black industry’s progress in sustainability and circularity. They emphasised advancements such as the use of recycled pyrolysis oil and reclaimed carbon black and achievements like EcoVadis and ISCC+ certifications. Himadri already achieved the milestones and is maintaining Zero Liquid Discharge (ZLD) across plants. Innovations like LFP Cathode Active Material for EV batteries and renewable energy showcased Himadri’s future readiness. This session set a benchmark for aligning industry practices with global climate goals.

Senior Manager - Technology, K. Arun Kumar, and Manager, Technology and Business Development, Dr. P.M. Sivaram, at CUMI Super Refractories, discussed enhancing reactor life in the carbon black industry through condition monitoring and refractory solutions. They emphasised the need for failure analysis, material characterisation, and data-driven strategies to predict failures, improve productivity, and reduce downtime, ultimately leading to more efficient and sustainable operations in the industry.

The workshop by Himadri Speciality Chemicals Limited Plant Head Kingshuk Bose, on ‘Recent Advancements in Carbon Black Technologies’ provided an overview of carbon black, its applications, and recent technological innovations in its manufacturing processes. He discussed new technologies such as plasma and nanotechnology, which enhance production efficiency and product characteristics. Additionally, AI and machine learning were highlighted to optimise processes, improve quality and predict maintenance needs, ultimately advancing carbon black manufacturing and packaging strategies.

The former Chief Advisor of Research and Development at Apollo Tyres, P K Mohamed, an industry stalwart, addressed the future of the tyre industry, focusing on advancements in carbon black technology in his key note address. He noted that pneumatic tyres, essential for load support, require optimal structures to endure operational pressures. The industry faced megatrends such as mobility, digitisation, electrification, and the shift toward renewable materials. Key customer expectations centre on rolling resistance, traction, durability, and sustainability improvements. Enhancements in carbon black properties, including particle size and surface chemistry, are vital for achieving these goals. The industry’s evolution towards higher sigma levels indicated a commitment to quality and performance, necessitating collaborative efforts in research and development to meet future demands.

Notch Consulting Inc. Founder and President Paul Ita spoke on the outlook for 2024 and highlighted significant developments in the global carbon black and tyre industries. He noted a projected total investment of INR 27.3 billion in new tyre capacity from 2023 to 2028, with Asia, especially China and India, leading in new projects. He also discussed the impacts of EU sanctions on Russian carbon black imports. These sanctions are shifting trade flows, with India emerging as a key supplier to replace Russian volumes. The analysis included production capacity and utilisation trends with a forecast for growth in carbon black production despite current disruptions.

The AGM Strategy at Epsilon Carbon, Sagar Mathur, noted that geopolitical shifts, rapid urbanisation, climate change, sustainability, and technological advancements are shaping the future of the carbon black industry. Key trends included the growing demand for Electric Vehicle (EV) tyres, increased focus on circularity and recycling technologies, and the need for advanced speciality products. He highlighted that urbanisation is expected to strain resources while geopolitical conflicts are reshaping supply chains. The industry must adapt to these changes while addressing environmental concerns, leading to new product development, particularly in sustainable materials.

Vice President of Sales and Marketing (CBD), Kane Hanneke and Vice President of Business Development and Sales (CBD), Surge Klunder, at Himadri Specialty Chemical Ltd, focused on the current demand and supply dynamics of carbon black in North America and the European Union as of October 2024. In their presentations, they highlighted key economic indicators such as GDP growth, inflation, and the Manufacturing Purchasing Managers’ Index (PMI), while discussing challenges faced by domestic producers, including import duties, geopolitical tensions, and rising oil costs. Kane also mentioned a notable production increase among leading carbon black producers, particularly in China and India, and addressed the impact of new tariffs on Mexican imports.

Executive Vice-President and Regional Head of Sales and Marketing at Birla Carbon, Shashank Awasthi, discussed the dynamics of the carbon black market in Asia and Europe with a focus on growth plans and regional capacities. He highlighted that China dominates the market with a capacity share of 47 percent and a demand share of 37 percent. He also covered competition in India, where local producers faced challenges from imports, particularly from China, Korea, and Russia. His analysis indicated a projected CAGR of 5 percent for the Southeast Asia carbon black market from 2022 to 2027, driven by rising disposable incomes. It increased automotive production, with Asia accounting for approximately 60 percent of global automobile manufacturing.

The presentation by Zircoa Managing Director Thomas Bohm focused on the role of zirconia refractories in enhancing reactor performance during carbon black production. Zirconia, a unique ceramic material, offers exceptional properties such as high thermal resistance, lower thermal conductivity, and erosion resistance, making it suitable for high-temperature applications in reactors. The advantages of zirconia include increased reactor efficiency, improved product yields, and the ability to withstand aggressive process gases. However, challenges such as degradation from thermal shock and alkali attacks were noted, emphasising the importance of proper alignment and operational practices to maximise the lifespan of zirconia linings.

In his virtual keynote session, Zhu Zilong, deputy director of design at Doright, discussed the emerging supply trends in equipment manufacturing, particularly focusing on the shift from individual equipment supply to comprehensive equipment packages.

The landmark event saw the attendance of dignitaries and industry stalwarts, including the Chief Secretary to the Government of West Bengal, Dr Manoj Pant, Himadri Speciality Managing Director Anurag Choudhary, Tokai Carbon President Hagime Hagasaka, Group Country Head, Aditya Birla Group Thailand, and Chief Expansion Officer Birla Carbon Asia, Sanjeev Sood, among others.

Key Speakers included Aditya Birla Group’s Chief Sustainability Officer Deeksha Vats, Former President at ALSTOM Power Energy Recovery CP Natarajan, Vidhitech Solutions Founder Vinod Taneja, ABG Trading President John Kennelly, Senior Manager Research and Development of Compound Development at CEAT Limited Dr Pranab Dey, Head - Projects Business at Thermax Limited Naveen Sadhu and Rathi Group Director Ravi Rathi among others.

The event was attended by delegates from leading carbon black producers, such as Thai Tokai Carbon Product Company Limited, Hyundai OCI, Aegean First Company, Zircoa Inc., Phillips Carbon Black Limited, CITGO Corp and others.

Curtain Call

Amit Choudhary commented about the conference, “Conferences like this serve as crucial platforms for advancing technological progress in the industry. They provide insights into global trends, revealing which players are exploring new technologies and how different governments are approaching industry expectations. These events create an opportunity for stakeholders to understand evolving needs as well as the requirements of end customers.”

He added, “For instance, during our recent conference, several customers presented compelling insights, with both in-person and online interactions offering a deeper understanding of the tyre industry’s future. The rise of EVs is a key development demanding a shift in tyre technology and manufacturing processes. Current tyres are general-purpose, but as EV adoption accelerates, specialised tyres will become necessary. In the near future, we will see the emergence of EV-specific tyres alongside innovations in related non-tyre markets.”

He also noted that India, with its significant market share, is poised for substantial growth. Established markets in the US and Europe are facing challenges with plant closures and shifting demands. The ongoing geopolitical landscape, including tensions in China and Russia, is influencing market dynamics. However, India remains in a favourable position for investment and is set to experience impressive growth in the sector.

Looking ahead, the next conference is set to take place in 2026.

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Mumbai-headquartered leading carbon black manufacturer Epsilon Carbon has reported a 10 percent reduction in carbon dioxide equivalent emissions across its upstream transportation operations during FY2025–26. The reduction was achieved through the deployment of an electric and liquefied natural gas freight fleet.

An independent third party certified the emissions data. The reductions achieved in transport logistics equate to carbon absorption figures associated with approximately 29,000 trees. The verified figures allow supply chain partners to include these reductions within Scope 3 emissions reporting frameworks and environmental disclosures.

Gaurav Mathur, Chief Executive Officer, Epsilon Carbon, said, “Decarbonising logistics is central to our climate strategy. What makes this milestone meaningful is that the results are independently verified with a 10 percent reduction in CO2e emissions within the upstream transportation category over a single financial year, driven by the adoption of electric and LNG fleets. These carbon reductions strengthen our own sustainability disclosures and those of our customers, and we intend to scale this model across our supply chain.”

Following Phase 1 operations, Epsilon Carbon intends to expand the number of electric and LNG vehicles in its transport fleet during FY 2026–27 to scale low-carbon freight transport across its supply chain network.

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Czech billionaire Michal Strnad has acquired a 14 percent stake in Pirelli from Chinese state-owned group Sinochem, in a transaction valued at about EURO 1 billion, according to a report by Italian daily Corriere della Sera.

The report said the acquisition was made through Lumina Crown, Strnad's investment vehicle, making the 33-year-old businessman the tyre maker's third-largest shareholder.

Following the transaction, Sinochem's holding in Pirelli has been reduced from 34.1 percent to 20.1 percent, while MTP, the holding company controlled by Marco Tronchetti Provera, has become the company's largest shareholder with a 26.5 percent stake, the newspaper reported.

According to Corriere della Sera, BNP Paribas advised Sinochem on the transaction, while Jefferies acted as adviser to Lumina Crown.

Strnad is the controlling shareholder of Czechoslovak Group (CSG), a defence manufacturer that owns the Italian brands Fiocchi Munizioni and Perazzi. He controls about 85 percent of CSG, which is listed in Amsterdam with a market capitalisation of around EURO 16.6 billion.

The investment in Pirelli was made in a personal capacity through his holding company, Lumina, the newspaper said.

Commenting on the investment, Strnad said, "We are pleased to make this long-term investment in Pirelli, a company that has long been a global leader in its sector, distinguished by its unique history, strong premium positioning and proven capacity for innovation. We have great confidence in Pirelli's strategy, its management team and the company's ability to continue generating sustainable long-term value for all stakeholders. Our investment reflects our strategy of supporting outstanding companies that combine leadership positions in their respective markets, durable competitive advantages, world-class brands and strong growth prospects. It also demonstrates our ability to identify and execute highly attractive investment opportunities globally, acting with conviction and discipline."

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Pirelli reported a 13.3 percent increase in first-half net profit as the premium tyre maker benefited from continued growth in its High Value business, despite persistent geopolitical uncertainty and a volatile economic environment.

Net profit for the six months ended 30^TH June rose to EURO 299 million from EURO 264 million a year earlier, supported in part by lower financial charges. Revenue was broadly unchanged at EURO 3.49 billion, although organic revenue increased 2.5 percent after excluding the effects of foreign exchange movements, hyperinflation accounting and changes in the scope of consolidation.

Adjusted earnings before interest and tax (EBIT) were EURO 557.8 million, broadly unchanged from €558.3m a year earlier, while the adjusted EBIT margin remained stable at 16 per cent.

High Value products accounted for 82 percent of total sales, up from 80 per cent in the first half of 2025, reflecting the company's continued focus on premium and prestige segments.

The company generated a net cash outflow before dividends and the consolidation of Xushen Tyre of EURO 556.9 million, compared with EURO 547.1 million in the corresponding period of 2025, excluding the positive impact from the disposal of Däckia AB. Net financial debt stood at EURO 1.92 billion at the end of June.

Pirelli confirmed the financial targets announced in May.

Second-quarter revenue increased 1 percent year on year to EURO 1.76 billion. Organic growth was 1.4 percent after excluding the effects of foreign exchange, hyperinflation and changes in the scope of consolidation.

Second-quarter adjusted EBIT rose 0.7 percent to EURO 280.4 million, while the adjusted EBIT margin remained unchanged at 16 percent. Net profit increased 3.9 percent to EURO 142.2 million.

The board approved the half-year results, although directors Zhang Haitao, Xi Xiaohong and Wang Kun voted against the financial statements because of the declaration of control by MTP Spa contained in the financial report.

Pirelli said its first-half performance demonstrated the resilience of its business model and the effective execution of its strategic programmes despite continuing geopolitical tensions and economic volatility.

The company's commercial strategy continued to focus on High Value products. Car and motorcycle volumes in the segment increased 3.5 percent during the first half, supported by growth in both the original equipment and replacement channels. The company cited partnerships with leading vehicle manufacturers in North America and Asia-Pacific, alongside continued consumer demand for its premium products.

By contrast, Standard segment volumes fell 8 per cent as Pirelli continued to reduce exposure to lower-margin markets, particularly in South America. Overall tyre volumes remained broadly stable during the period.

Pirelli also strengthened its innovation programme by securing about 200 new homologations with premium and prestige vehicle manufacturers during the first six months of the year. Around 90 percent were for tyres of 19 inches and above, while 70 percent related to speciality products. Electric vehicles accounted for 60 percent of the new homologations.

Among the latest vehicle programmes were approvals for the Ferrari Luce, Rivian R2S and the new Audi Q7 and Q9 sport utility vehicles.

The company also expanded its product portfolio with the launch of the Scorpion AS 4 for the North American replacement market, the Metzeler Sportec 01 RS motorcycle tyre and the Cinturato Gravel RH and RM cycling tyres.

Development of the Cyber Tyre platform also continued through partnerships with connectivity and autonomous driving specialists including Univrses, RideSense and Niulinx.

Pirelli said its efficiency programme generated gross benefits of EURO 81 million during the first half, representing about 54 percent of its annual target. The gains were driven by product design improvements and higher industrial productivity.

The company added that it had introduced mitigation measures, including price increases and additional cost controls, to offset higher raw material, energy and transport costs resulting from the Middle East crisis.

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Mumbai-headquartered rubber chemicals manufacturer NOCIL has announced capacity enhancement at its Dahej plant with an additional capital infusion of INR 1.3 billion, largely funded through internal accruals. The new investment is expected to be completed by H1 FY2028.

The announcement was made on the sidelines of the company’s release of its financial results for Q1 FY2027, with revenue growing 20 percent YoY to INR 4.03 billion. It attributed the revenue growth to increased selling prices of input costs.

On the other hand, improved operating efficiency and inventory gains saw EBITDA margin rise by 210 basis points to reach 11.2 percent, while net profit grew by 61 percent to INR 280 million.

The volumes grew by 9 percent on the back of robust demand in the domestic market, following the GST 2.0 bonanza, while exports continue to see smart uptick. 

The capacity enhancement at Dahej is primarily focused on expanding volumes for peak-utilisation rubber chemical products, through an integrated, backwards-integrated facility. The new investment builds on the earlier announced CAPEX outline of INR 2.5 billion already underway, wherein trial production has already commenced.

V S Anand, Managing Director, NOCIL, said, “Our performance this quarter reflects consistent execution across both our domestic and export businesses in a challenging environment. Beyond the numbers, we are equally focused on building for the future, Our expanded investment at Dahej reinforces our commitment to structured capacity augmentation, backward integration and long-term competitiveness in a market that is increasingly looking to India as a reliable manufacturing partner.”

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