CSRC adjusting carbon black capacity in China amid oversupply

Taipei City – International CSRC Investment Holdings, the Taiwanese parent of Continental Carbon, is adjusting its global carbon black production capacity to support growing demand in Europe and oversupply locally.

The group has agreed to sell its carbon black production facility in Chongqing to Longxing Chemical (ERJ report) and is also holding negotiations with interested parties for the divestment of its facility in Anshan, northeastern China. 

The move is in response to oversupply in the Chinese market, due to large imports of Russian carbon black to the country following an EU ban on the Russian products, CSRC announced 22 Nov.

According to CSRC, the global carbon black supply chain has been ‘reconfigured’ since the European ban came into effective in July, with the potential of the Indian marketing becoming "increasingly apparent".

The group added that it started production at its new greenfield carbon black facility in Gujarat, India at the end of 2023, with an annual production capacity of 175 kilotonnes per annum (ktpa).

Furthermore, in 2025, the group intends to further increase production capacity and utilisation of the facility, which is operated by Continental Carbon India Ltd. (ERJ report)

Moreover, CSRC said that a joint venture carbon black facility with local industrial group OYAK in Turkey is “progressing smoothly.”

With an initial capacity of 180ktpa, the plant in Iskenderun is set for operation by the end of 2025, CSRC added. (ERJ report)

Supporting the ‘significant demand’ in North America for environmentally friendly carbon black, CSRC said it is progressing its joint recovered carbon black (rCB) project with Thai-based Eco Infinic in the US.

The site, being constructed at the original site of Continental Carbon’s plant in Phenix City, Alabama, is set for operation in 2026 and is claimed to be the largest rCB plant in North America. (ERJ report)