At a recent tire industry conference, Gary Horning, a national customer manager for Sid Richardson carbon and energy, said that the demand for carbon black in North America has already begun to exceed production and that the shortage of carbon black supply can not be quickly improved.
The supply of tread carbon black has been very tight, according to Huo Ning, according to the calculation of the shortage of carbon black in the American tire industry as early as 2016.
According to him, the shortage of raw materials is inevitable. By 2025, the carbon black supply gap is expected to reach 375 million pounds, which needs to increase carbon black production or carbon black imports in North America.
According to a previous report, the current capacity utilization rate of the US carbon black industry is 84%, and the price of oil is an uncertain factor for the development of the carbon black industry.
At the same time, the development and change of the tire manufacturing industry will bring new pressure to carbon black producers, and all tire manufacturers have a 70 - 80% capacity utilization rate, but the size and structure of the tires are changing.
"Now the tires are wider and the side walls are smaller, which creates more demand for carbon black on tread, but the demand for carbon black for carcass is less."
He went on to say that silicon dioxide could be used to reduce the rolling resistance, and to a certain extent made it a substitute for carbon black, which is also a factor in the carbon black market.
"But we welcome this," he said. "I don't think we have enough carbon black to meet downstream production needs."