Carbon Black Daily: Despite a wait-and-see attitude, prices remain firm.
01 Carbon Black Index
According to data compiled by Tuododuo, the carbon black price index stood at 9,537.75 on October 13, unchanged from the previous trading day.
02 Carbon Black Market Prices
(Price table — see accompanying chart)
03 Analysis of Factors Affecting the Carbon Black Market
1. Upstream feedstocks: Coal tar prices were CNY 5,450/ton in Shandong, CNY 5,410/ton in Shanxi and CNY 5,475/ton in Hebei. The domestic high-temperature coal tar market remains mainly wait-and-see for now, but supportive factors are accumulating in the market, leaving room for coal tar prices to move higher in the short term.
2. Carbon black supply: Operating rates at sampled carbon black producers in China declined. After the holiday, new-order prices of the upstream feedstock coal tar trended lower, while tire makers cut operating rates and end-market demand softened, weighing on producer utilization. One plant in East China has shut two of its sites for maintenance, and major producers are running at low load rates. Overall, carbon black operating data weakened.
3. Downstream demand: Available information indicates that operating rates at some companies are gradually recovering, but with feedstock prices remaining elevated, activity in the tire industry is still lackluster. A few large manufacturers are maintaining normal operations to secure order delivery and routine product supply.
04 Market Outlook
The carbon black market is currently in a firm consolidation phase, underpinned by costs and supported by recovering demand. On the supply-cost side, new coal tar orders have yet to be concluded and a wait-and-see mood prevails; however, the feedstock market continues to trade firmly on genuine end-user demand, providing strong cost support for carbon black. On the demand side, marginal improvement has emerged — downstream tire makers are gradually ramping up operating rates and procurement volumes have increased, offering some lift to the market. Taken together, cost support and recovering demand are reinforcing each other, and new carbon black orders are expected to trend in firm consolidation.
