EU Sanctions Drive Demand for Recovered Carbon Black | Klean Industries Responds


Following EU sanctions on Russian carbon black imports, demand for sustainable alternatives like recovered carbon black (rCB) is surging. Klean Industries is responding with scalable, circular pyrolysis solutions to meet growing industry demand.

Klean Industries Inc (“Klean”) is seeing significant demand for carbon black, recovered carbon, and pyrolysis oil. This demand has steadily increased over the past year as the Russia and Ukraine war continues to pressure the global supply chains. This has created additional demand for Klean’s recovered carbon black (“rCB”) and recovered fuel oil (“rFO”), which are key products of Klean’s end-of-life tire (“EOLT”) pyrolysis technology. This has resulted in numerous companies wanting to stabilize commodities’ supplies by securing long-term offtake contracts for these products.

As Klean continues to expand its project pipeline globally, it anticipates a strong demand for an additional 150,000 metric tonnes of rCB output by 2030. Based on current market sentiment and analysis, the Company is seeing a demand that now easily exceeds 250,000 metric tonnes, which is supported by the establishment of long-term supply agreements for end-of-life tyres and offtake agreements for rCB and rFO. Additionally, Klean is seeing a growth in demand for its rFO from several major virgin carbon black manufacturers. 

Many industry-leading consultants and market reports have stated that global demand for ECB is expected to be more than 1,000,000 metric tonnes by 2030. As the demand for tire pyrolysis products currently outstrips available supplies, Klean is also undertaking several new projects to supply other pyrolysis projects with the key equipment needed to improve the quality of rCB and rFO production. The request for Klean’s commercial rCB and rFO equipment continues to flourish in the supply-constrained marketplace. Klean is an industry leader in tire pyrolysis plant design and equipment manufacturing and is a specialist in the know-how for processing and upgrading recovered carbon char into high-quality rCB.

Virgin Carbon Black (vCB) is an irreplaceable component in new tyres. The current feedstocks utilized in vCB production are fossil fuel-based resources, which are highly susceptible to volatile oil prices and the large amount of CO2 emissions that result from vCB production. According to the Orion Engineered Carbon’s Sustainability Report 2020 and others, the global demand for Carbon Black in 2020 was estimated to be 11.9 million tonnes, resulting in the consumption of over 30 million tonnes of fossil fuels. 

While the greenhouse gas (“GHG”) emissions emitted by the carbon black industry have been estimated at 23.8 million metric tonnes, the forecast for carbon black demand in 2030 is estimated to exceed 19 million metric tonnes. Under the current conditions and assuming the same intensity rate, GHG emissions associated with the Carbon Black industry would increase to over 38 million metric tonnes. The EU Taxonomy explicitly cites industrial Carbon Black production as contributing substantially to climate change. To contribute to the climate protection goals, emissions from Carbon Black production must be reduced.

Russia, Ukraine, and Belarus are key suppliers of virgin carbon black (“vCB”) to the European marketplace. With Europe’s dependence on Russian oil, including carbon black oil (“CBO”) as a feedstock for the manufacturing of vCB, Klean is witnessing a tightening of supplies and shortages taking place not only in Europe but also in North America.  

Europe’s desire to reduce its dependence upon Russian oil further exacerbates the ongoing supply issue. As a result of the war in Ukraine, the European Union has now implemented additional sanctions against Russia. According to the European Rubber Journal, as of February 25th, 2023, the European Union has introduced importation quotas of a maximum of 562,973 tonnes of synthetic rubber and 752,475 tonnes of carbon black, with immediate effect. These new sanctions and import quotas for synthetic rubber and virgin carbon black have now been imposed as an interim step ahead of the total import ban, which will take effect after July 1st, 2024. 

Recovered Carbon Black: A Secure, Sustainable Alternative to Russian Supply

With EU sanctions cutting off Russian carbon black, the tire, plastics, and rubber industries must adapt. Klean Industries is ready to offer high-quality recovered carbon black (rCB) made from end-of-life tires using proprietary pyrolysis technologies.

Why rCB from Klean is the Solution:

✅ Domestic and EU-based production options
✅ ASTM-aligned quality and performance
✅ Closed-loop carbon and tire-to-tire circularity
✅ Lower emissions and ESG-compliant supply chain

Contact Klean Industries to secure supply contracts, partner on rCB projects, or license tire pyrolysis technologies that ensure long-term carbon black independence » GO.

About Klean Industries

Klean Industries (“Klean”) provides best-in-class technologies and solutions in the waste-to-value industry. Our international team of award-winning experts has decades of experience designing, engineering, and manufacturing the highest-quality equipment to convert waste streams into valuable energy and resources. Our unique products and services result from combined knowledge in the design of recycling, resource recovery, waste management, and power generation projects. Our global project management expertise safeguards timelines and budgets, enabling projects to be delivered in less time and at lower costs.

Klean uses proprietary technologies to rapidly develop projects that produce the highest quality fuels, recovered carbon blacks, and green hydrogen from various feedstocks. Our know-how and technical skills provide a specialization in building projects that use advanced thermal technologies such as pyrolysis, gasification, and carbonization, which convert end-of-life tires, waste plastics, and municipal solid waste into domestic energy, sustainable commodities, and new cleantech jobs. We create a symbiosis between waste, resources, and energy. Klean Industries is the link between the low carbon, circular economy, and the goal of zero waste to landfill.

CORPORATE HEADQUARTERS

Klean Industries Inc.
Suite 2500 - 700 W. Georgia St.,
Vancouver, BC,
Canada, V7Y1B3
(T) +1.604.637.9609
(T) +1.866.302.5928
(E) sales(@)kleanindustries.com


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