PCBL Chemical to establish India’s first acetylene black plant, expanding specialty portfolio

PCBL Chemical Ltd has announced a significant expansion in its specialty chemical portfolio by entering the acetylene black production market. The company has signed a technology transfer agreement with Ningxia Jinhua Chemical Co., a leading Chinese manufacturer, to bring acetylene black production to India. This move marks a strategic step towards strengthening India’s position in the global conductive material market, particularly in the rapidly growing battery and semiconductor industries.

Acetylene black, a high-performance conductive carbon material, plays a crucial role in various applications, including lithium-ion batteries, electric vehicle charging systems, high-voltage power cables, semiconductor packaging, and conductive plastics, paints, and coatings. By setting up India’s first acetylene black plant, PCBL Chemical aims to reduce dependence on imports, ensuring a stable and efficient supply of this critical component to Indian and global markets.

Why is acetylene black essential for the conductive material market?

Acetylene black is known for its superior conductivity, purity, and high surface area, making it indispensable in energy storage and high-performance electrical applications. Its primary use in lithium-ion batteries enhances battery efficiency, longevity, and charge retention, addressing key challenges in electric vehicle and energy storage technology.

The global market for acetylene black is experiencing significant growth, driven by increasing demand from the electric vehicle industry, renewable energy storage solutions, and high-tech electronics. Currently, the acetylene black market is estimated at around 60,000 metric tonnes, with projections indicating a compound annual growth rate (CAGR) of 19–20%. By 2030, the market is expected to reach approximately 150,000 metric tonnes.

PCBL Chemical’s entry into this market aligns with major global trends such as the energy transition, grid modernization, and semiconductor industry expansion. With India’s aggressive push towards electric mobility and renewable energy integration, the local production of acetylene black will be a crucial enabler for industries looking to develop advanced energy storage solutions.

How does PCBL Chemical’s expansion fit into its broader growth strategy?

PCBL Chemical has been actively expanding its specialty chemical portfolio to address evolving industrial demands. Over the past few years, the company has launched over 50 product grades under different brands tailored for specific applications. These include Bleumina for engineered plastics, Nutone for paints, inks, and coatings, and Energia for high-performance conductive applications such as conductive polymers, electrostatic discharge protection, and battery technology.

With the introduction of acetylene black production, PCBL Chemical is enhancing its capabilities in the conductive material segment, allowing it to offer a more diverse range of solutions for industries requiring advanced electrical conductivity. This move follows the company’s recent investment in Nanovace Technologies Ltd, a joint venture focused on developing nano-silicon products for lithium-ion battery anodes. A pilot plant for nano-silicon production at PCBL Chemical’s Palej site is expected to be operational in the coming months, further demonstrating the company’s commitment to innovation in energy storage materials.

What advantages does PCBL Chemical gain from local acetylene black production?

The acquisition of acetylene black technology positions PCBL Chemical as a major player in the conductive material market, allowing it to capitalize on high-growth segments while reducing reliance on international supply chains. By manufacturing acetylene black domestically, the company will be able to offer cost-effective solutions to Indian battery manufacturers, semiconductor companies, and electric vehicle producers. This move is also expected to enhance PCBL Chemical’s export potential, enabling it to supply global markets with high-quality acetylene black.

Another key advantage is the ability to optimize product quality and customization. PCBL Chemical’s expertise in carbon black manufacturing, combined with its new acetylene black technology, allows for precise control over material properties, ensuring that products meet the highest performance standards required in battery, electronics, and industrial applications.

Financially, the expansion into acetylene black production is expected to improve PCBL Chemical’s overall margin profile by enriching its product mix with high-value specialty chemicals. The company’s strategic shift towards innovation-driven and technology-focused manufacturing will further enhance its competitiveness in the global market.

What does this mean for the future of PCBL Chemical?

PCBL Chemical’s foray into acetylene black production marks a transformative step in its growth journey. With multiple conductive technology platforms—including furnace black, Nanovace nano-silicon, and now acetylene black—the company joins an exclusive group of multi-platform carbon black manufacturers. This diversification strengthens its position in the specialty chemical industry, opening new avenues for research, development, and market expansion.

By aligning its growth strategy with emerging industrial trends, PCBL Chemical is poised to play a critical role in supporting India’s transition to a more sustainable and self-sufficient energy ecosystem. The increasing demand for high-performance conductive materials, particularly in electric vehicles and renewable energy storage, presents a significant opportunity for the company to solidify its market leadership.

As global markets continue to evolve, PCBL Chemical’s investment in cutting-edge material technologies ensures that it remains at the forefront of innovation. The company’s commitment to advancing specialty chemical solutions underscores its long-term vision of becoming a key contributor to the next generation of energy storage and electrical conductivity solutions.