The Tamil Nadu-based company’s greenfield expansion will propel its rCB capacity from 5,000-20,000 metric tonnes. Director Ravi Rathi explained that there has been a change in attitude towards rCB within tyre companies, leading to heightened demand.

Tamil Nadu-based Capital Carbon is expanding its recovered carbon black (rCB) capacity by 15,000 metric tonnes with a new greenfield project at Gummidipoondi. The plant is slated to become operational by January 2025 and boost the capacity from 5,000 metric tonnes to 20,000 metric tonnes, annually.

Speaking to Tyre Trends, Director Ravi Rathi explained, “The decision to pursue a greenfield expansion in the rCB sector stemmed from the rapid development of this innovative product over the past four to five years. Given our background in the pyrolysis business, expanding into rCB felt like a natural progression. rCB is still a relatively new product and both manufacturers and users are in the process of learning about its applications. When we first began exploring this market, around four years ago, it was challenging. Many tyre manufacturers would dismiss our proposals even before we could present our case as they were hesitant to incorporate recycled materials into their mainstream formulations.”

“However, in recent years, attitudes have shifted significantly due to increasing emphasis on sustainability and circular economy principles. The industry is now more open to integrating green products. We started with a modest capacity of 5,000 metric tonnes per annum, which allowed us to gain insights into customer needs. Gradually, we scaled our operations from small quantities to commercial sales. The key driver for our recent expansion is customer demand. We have obtained product approval, and customers are eager to purchase rCB,” he added.

He also noted that companies wanted assurance that the demands could be met consistently, which was also a factor behind the expansion. Furthermore, having multiple units also allows the company to manage any potential supply chain issues, effectively. “If a minor problem arises in one unit, we can still supply material from another, minimising disruptions for our customers,” said Rathi.

The entire CAPEX for the greenfield plant is set at INR 20 crore.

Pyrolysis to rCB

Capital Carbon commenced operations in 2012 with a modest pyrolysis capacity of 10 tonnes per day. Over the years, it has consistently expanded its capacity, increasing to 150 metric tonnes per day. The company has also bolstered its backend operations, enhancing sourcing capabilities and adding substantial shredding and crumbing capacity.

Additionally, Capital Carbon has focused on value-added products including pyrolysis oil distillation and rCB. As of now, it operates a shredding capacity of 120,000 metric tonnes per annum for captive consumption. This capacity is supplemented by sourcing contaminated tyre bales, which typically have 20-30 percent rubber contamination. This material is cleaned to yield 98 percent pure steel, with the remaining rubber used for pyrolysis, creating a separate business vertical.

Currently, the company processes approximately 50,000 to 52,000 metric tonnes of tyres per annum through its pyrolysis operations. In terms of value addition, Capital Carbon produces between 20,000 to 24,000 tonnes of pyrolysis oil, annually.

When asked about the motivation behind establishing a pyrolysis plant, Rathi noted, “My father worked at Birla Carbon and retired in 2019. Although we lacked prior business experience, we were inspired by the industrial upbringing and the promising potential of the pyrolysis sector. Following the completion of my chartered accountancy studies, I decided to pursue this opportunity.”

He acknowledged that pyrolysis often has a negative reputation in India, where it is sometimes viewed as a ‘dirty business’. To combat this perception, Capital Carbon prioritises quality management and environmental responsibility in its operations. IT employs fuel-based heating methods in its pyrolysis process as electric heating is generally not feasible due to the high volumes involved in tyre pyrolysis. The initial heating requires some fuel, which can include biomass or pyrolysis oil, but the system becomes self-sufficient once it reaches a certain temperature.

The primary outputs from the pyrolysis process include fuel oil, carbon char (used as raw material for rCB or as an alternative energy source for cement plants), steel wires and pyrolysis gases, which are utilised for heating purposes.

He highlighted that the pyrolysis oil produced is of high quality with low sulfur and carbon content, making it cleaner than many conventional heating fuels used in India.

Quality control

The company’s sourcing strategy primarily focuses on domestic suppliers. It procures rejected tyres and dealer returns from various companies, which constitute a substantial portion of the feedstock. This local sourcing approach ensures that it maintains a steady supply of raw materials

Following sourcing, the production of recovered carbon black involves several critical steps. Initially, tyres are shredded to extract carbon black, steel and other components. The distinction in product application necessitates tailored processing methods.

For instance, producing carbon char for energy requires less stringent technical specifications compared to producing carbon black intended for high-performance applications, such as tyre manufacturing or footwear.

“The quality of the final product begins with meticulous sorting of tyres to determine suitability for pyrolysis. This initial step is vital for ensuring consistent output quality. Following sorting, the tyres are shredded into steel-free rubber chips of 15-20 millimetres. During pyrolysis, we focus on maintaining specific quality parameters for the pyrochar produced. This includes stringent controls to limit ash content, which must remain below 20-22 percent to ensure product consistency. The handling of impurities such as wires and stones in the pyrochar is essential. Post-processing, the pyrochar is milled to fine particle sizes (10-15 microns), enhancing its surface area for better compatibility with rubber compounds,” explained Rathi.

Once the recovered carbon black is processed, palletisation becomes the next step. This method streamlines handling and ensures that the product meets industry standards. While the equipment resembles that used for traditional carbon black, adaptations are necessary to accommodate the unique characteristics of recovered carbon black.

“To facilitate customer adoption, we offer tailored packaging solutions including 25kg paper bags, EVA / LDPE bags and FIBC bags, allowing clients to integrate our products seamlessly into their existing production processes,” he added. 

As the industry evolves, the need for standardised quality benchmarks for recovered carbon black has become increasingly clear. Major corporations have driven this change, leading ASTM to establish a dedicated committee (D36) focused on developing specific standards for recovered carbon black. Unlike conventional carbon black, which adheres to existing standards, recovered carbon black requires new metrics to account for its varied origins and compositions.

The committee is currently validating a series of standards including moisture content, pallet hardness and particle size analysis, specifically for rCB. This ongoing development is slated to enhance product credibility and facilitate broader market acceptance.

Commenting on the same lines, Rathi mentioned, “We maintain a dedicated quality lab to refine our production processes continually. Our focus on evolving our offerings has resulted in the introduction of two new grades of recovered carbon black, aimed at meeting diverse market needs. Our commitment to leveraging advanced machinery and improved grinding techniques reflects our proactive approach to quality enhancement and capacity expansion.”

Optimistic market outlook

The demand for recovered carbon black in India is poised for significant growth, driven by a strong shift toward sustainability. Customers are increasingly seeking high-quality suppliers, indicating a burgeoning market for rCB.

“Globally, rCB production currently accounts for less than one percent of total carbon black production, underscoring a substantial opportunity for expansion. As customer awareness and demand for sustainable products increase, we anticipate a corresponding rise in rCB consumption,” informed Rathi.

He added, “Many major corporations have committed to achieving carbon neutrality by 2050, necessitating immediate action to integrate green and circular products into their supply chains. As these companies strive to meet their net-zero targets, they are turning to recovered materials such as rCB to fulfil sustainability mandates. Our role is crucial in assisting these customers to achieve their goals through the production of eco-friendly and circular products derived from end-of-life tyres.”

Speaking on market opportunities, he said, “India remains our largest market, but we are also making significant inroads into Sri Lanka. The European market is particularly promising, though it presents challenges related to certifications and distribution. We are currently working on obtaining the necessary certifications, including ISCC Plus, to unlock this market potential.”

“Our immediate focus is on completing our current expansion project, after which we will enhance our pyrolysis capacity to align with the growing demand from our customers. As the volumes of recovered carbon black usage increase, we aim to be ready with sufficient supply,” he added.

He expects to penetrate the European market by the first half of FY26, following the completion of the current plant expansion.

Challenges in scaling production

“One of the primary challenges in scaling rCB production is the scarcity of raw materials. The supply of suitable feedstock is diverse and scattered, making it difficult to source consistently. In the past, customers struggled to understand the differences between recovered carbon black and virgin carbon black grades, often asking if we could produce specific grades like L550 or L660. However, as knowledge in the market has matured, customers are increasingly recognising that rCB is a distinct material requiring tailored processing approaches,” informed Rathi.

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Birla Carbon, a leading global manufacturer and supplier of high-quality carbon materials, and Kennesaw State University (KSU) have expanded their enduring partnership with the launch of Birla Carbon India Study Abroad Program in January 2026. This programme, backed by a USD 184,000 contribution from the carbon materials manufacturer, will send undergraduate students from KSU’s College of Science and Mathematics to India for collaborative research. Participants will first develop their projects during the spring semester at KSU before travelling to the Birla Institute of Technology and Science (BITS) in Goa for summer work alongside local faculty and peers.

This endeavour builds upon nearly a decade of collaboration, which since 2014 has funded research opportunities for over 110 KSU students as Birla Carbon Scholars. In its inaugural year, the programme will facilitate hands-on research for up to 12 students, marking a significant evolution in the longstanding alliance between the university and the global company. The initiative is designed to provide immersive, cross-cultural scientific training, equipping students with global perspectives and advanced research skills crucial for their future careers in science and technology.

Sharing his thoughts about the program, Terence Norman, HR Head, Americas, Birla Carbon, said, “Birla Carbon is now in its 15th year of partnership with Kennesaw State University overall, and over the years, we have seen phenomenal growth and development opportunities for the students here in the College of Science and Mathematics. Our ongoing commitment is driven by a genuine belief in making a positive impact not only for the students who participate in this programme but also for the impact their solutions can have across major industries and society at large. Fifteen years mark not just a partnership but a shared journey of growth and discovery. Birla Carbon’s purpose is to ‘Share the Strength’, and Kennesaw State gives us an opportunity to do that first-hand.”

Kadian Callahan, Associate Dean for Student Success and Community Engagement, KSU – College of Science and Mathematics, said, “We’re excited to partner with Birla Carbon to bring this opportunity to our students. The college’s focus is on providing quality undergraduate research experience to students, and this programme allows students to take their work beyond campus and into an international research setting. Students can begin their research at Kennesaw State and continue it at BITS in India, working closely with faculty and peers at both institutions. That continuity strengthens their projects and creates opportunities for shared publications with KSU and BITS faculty and students.”

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Bekaert has achieved an industry milestone with Dramix Loop, its most sustainable steel fibre. This product is the first in its sector to be manufactured industrially using steel reclaimed from end-of-life tyres, creating a new benchmark for circular construction. It directly tackles a significant circularity challenge within the tyre industry by transforming discarded tyre cords into a high-performance resource. This innovative approach preserves the material’s inherent tensile strength while bypassing carbon-intensive reprocessing, resulting in a near-zero carbon footprint with an exceptionally low Global Warming Potential of only 0.0436 kg CO₂eq per kg.

The launch reinforces the longstanding leadership of the Dramix brand, which already offers concrete reinforcement solutions that substantially reduce material use and CO₂ emissions. Dramix Loop further advances this legacy, providing fibres with very low contamination and high tensile strength suitable for diverse applications, including industrial flooring, precast elements and ultra-high-performance concrete. Beyond performance, it supports major sustainability frameworks like LEED and BREEAM, aids in compliance with the EU Taxonomy and helps companies reduce their Scope 3 emissions, thereby assisting owners and developers in meeting critical environmental, social, and governance objectives.

Eric Peeters, Divisional CEO Sustainable Construction, said, “Just like our other Dramix products, Dramix Loop ticks all the boxes: safe, smart and sustainable. It’s less labour-intensive, reduces CO₂ up to 80 percent compared to traditional reinforcement and leverages our structural design capabilities. And the circular aspect adds even more value, because with end-of-life steel, the carbon footprint is close to zero.”

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Dunlop has signed a memorandum of understanding with Cabot Corporation to evaluate the commercial use of circular reinforcing carbon made from regenerated material derived from end-of-life tyres, as tyre makers seek to cut emissions and increase the use of sustainable raw materials.

The agreement brings together Dunlop’s parent, Sumitomo Rubber Industries, and Cabot Corporation to assess whether Cabot’s regenerated carbon technology can be deployed in mass-produced tyres.

Under the memorandum, Sumitomo Rubber will test Cabot’s circular reinforcing carbon — which incorporates reclaimed carbon recovered through the pyrolysis of used tyres — as a potential alternative raw material in tyre manufacturing. The material has not previously been used by the Japanese group in commercial tyre production.

Cabot, which supplies reinforcing carbons to the tyre industry, will in parallel examine how its regenerated carbon technology could be scaled to meet potential market demand if the material is approved for wider adoption.

“This innovative circular reinforcing carbon will be evaluated for mass-produced tyres, and we will accelerate efforts towards its commercialisation through collaboration with Cabot,” said Takuya Horiguchi, General Manager at Sumitomo Rubber Industries’ material research and development headquarters. He said the partnership would help speed progress towards decarbonisation by combining the technical capabilities of both companies.

Aatif Misbah, Vice-President and General Manager of sustainable solutions at Cabot, said the company was committed to investing in technologies that improved both sustainability and product performance. He added that the agreement aligned with Cabot’s goal of supporting a lower-carbon future for the tyre industry.

The collaboration forms part of Sumitomo Rubber’s broader circular economy strategy for its tyre business, known as “TOWANOWA”. The initiative combines a “sustainable ring”, covering processes across the value chain, with a “data ring” that integrates and shares data collected from each stage of production and use.

Sumitomo Rubber said it would continue to pursue the TOWANOWA strategy by reducing its environmental impact while improving tyre performance and safety, with the aim of delivering new value to customers as the industry transitions towards more sustainable manufacturing practices.

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Orion S.A., a global speciality chemicals company, has successfully secured the prestigious ISCC – the International Sustainability and Carbon Certification for its manufacturing facility located in Qingdao, China. This significant achievement is the direct result of a rigorous, independent audit process which validated that the plant’s operations fully comply with the comprehensive sustainability criteria established by ISCC.

The certification serves as a formal verification of both the transparency and the complete traceability of the sustainable raw materials integrated into the facility’s production value chain. This milestone is a key component of Orion’s overarching corporate strategy to implement and enhance sustainable practices throughout its international operations.

By achieving this globally recognised standard, the company reinforces its commitment to supplying clients with high-performance carbon black and other speciality chemical products that adhere to leading international environmental and sustainability benchmarks, thereby supporting customer goals for more responsible manufacturing.

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