Global Coal Tar Pitch Market Size, Forecast, and Trend Highlights Over 2025-2037
Coal Tar Pitch Market size was valued at USD 4.4 billion in 2024 and is projected to reach USD 8.7 billion by 2037, growing at a CAGR of 5.7% during the forecast period from 2025 to 2037. In 2025, the industry size is estimated at USD 4.6 billion.
The coal tar pitch market is primarily influenced by the rising demand from the aluminum sector, particularly for the carbon anodes utilized in aluminum smelting. This segment accounted for nearly 41% of the worldwide consumption of coal tar pitch in 2023. Driven by an annual growth rate of nearly 7% in aluminum demand, primarily due to the automotive sector's shift towards lighter vehicles that utilize more aluminum, the demand for coal tar pitch and its associated products is anticipated to reach USD 9.26 billion by the year 2034, reflecting a CAGR of 6.22%.
The supply chain for coal tar pitch was thriving, featuring a variety of producers and consumers involved in the coal tar pitch market. In the year 2023, India exported around 22.85 million kilograms of coal tar pitch, whereas Indonesia emerged as the largest consumer with an approximate consumption of 27.86 million kilograms. Producers are now investing in production capacity. For example, Epsilon Carbon is looking to expand its capacity to 710,000 TPA by 2025. A significant quantity of coal tar pitch is also produced in the local area. For example, the U.S. Bureau of Labor Statistics Producer Price Index (PPI) for bituminous coal was reported at a normalized PPI value of 204.96 in May 2024, which suggests that price trends for the raw material are stable. In addition, there is also significant R&D investment, which offers growth opportunities and sustainability opportunities for future carbon products, in addition to meeting regulatory conditions. To summarize, in 2023 both producers and consumers were both interested in growing their production and consumption levels, but were also thinking about future products, as well as potential future market risk and/or threats that were posed to coal tar pitch by evolving market forces (e.g., labor, health regulatory challenges, technological innovations, etc.).
Coal Tar Pitch Market: Growth Drivers and Challenges
Growth Drivers
- Advancements in chemical production technologies: Improvements in distillation, such as a highly efficient catalytic process, have increased the yield of coal tar pitch by 22%, and the consumption of energy has also greatly reduced. These developments lead to cost reduction and help make the growth of the industry more sustainable.
- Growth of the green chemicals market: The global green chemicals market is expected to be $249.4 billion by 2027, expanding at a CAGR of 12.6%. This growth is spurred by greater demand for ecological products and the industry turning into environmentally friendly chemical substitutes.
1. Coal Tar Pitch Market Pricing Overview
The global coal tar pitch market has experienced fluctuations over the past five years, influenced by various factors affecting prices and market dynamics. Unit sales volumes have been impacted by shifts in demand across regions, with North America, Europe, and Asia exhibiting varying trends. Price volatility has been driven by raw material costs, geopolitical events, and environmental regulations, all contributing to the coal tar pitch market future price trends and prospects. The table below outlines the annual price trends and unit sales volumes of coal tar pitch from 2019 to 2023, segmented by key regions, providing insights into historical pricing fluctuations and market demand patterns.
Price History & Unit Sales Volumes (2019–2023)
|
Year |
Region |
Average Price (USD/MT) |
Unit Sales Volume (K MT) |
Key Influencing Factors |
|
2019 |
North America |
1,300 |
1,600 |
Stable demand in the aluminum industry |
|
2020 |
Europe |
1,160 |
1,500 |
COVID-19 pandemic impact, reduced industrial activity |
|
2021 |
Asia |
1,260 |
1,700 |
Recovery in aluminum production, increasedinfrastructure demand |
|
2022 |
North America |
1,310 |
1,800 |
Supply chain disruptions, increased crude oil prices |
|
2023 |
Europe |
1,360 |
1,900 |
Geopolitical tensions, stricter environmental regulations |
2. Coal Tar Pitch Market Production Capacity
The global coal tar pitch market restraints the factors behind the production capacity, demand, trade, and consumers are Factors affecting production capacity. Key production capabilities are also spread across manufacturers in North America, Europe, and Asia, with companies such as Rain Carbon Inc. and Mitsubishi Chemical dominating in capacity. It is utilized in the processes of aluminum smelting, the production of graphite electrodes, and various other applications. Trade statistics show sizable shipments from countries including India, while major buyers include Indonesia, Egypt, and the UAE. The table below presents a comprehensive overview of coal tar pitch market dynamics, including company-wise production capacity by location, segmented demand by end-use, grade, and type, sales channel efficiency, 2023 port-wise trade flows, and the top 10 specialty chemical buyers in Asia-Pacific, offering insights into supply, demand, and customer concentration.
Production Capacity by Company and Location
|
Company Name |
Location |
Estimated Annual Capacity (MT) |
Production Process |
|
Rain Carbon Inc. |
USA |
600,000 |
Distillation, Carbonization |
|
Mitsubishi Chemical |
Japan |
460,000 |
Distillation, Carbonization |
|
Shandong Yulin Coking |
China |
410,000 |
Distillation, Carbonization |
|
Shanxi Coking & Chemical |
China |
360,000 |
Distillation, Carbonization |
|
Epsilon Carbon |
India |
310,000 |
Distillation, Carbonization |
Demand Analysis by End-Use, Grade, and Type
|
Application |
Demand Growth (2018–2023) |
Key Drivers |
|
Aluminum Smelting |
6% CAGR |
Infrastructure development, automotive |
|
Graphite Electrodes |
5% CAGR |
Steel production, battery manufacturing |
|
Roofing |
4% CAGR |
Construction industry growth |
|
Refractories |
3% CAGR |
Industrial applications |
|
Carbon Fiber |
7% CAGR |
Aerospace, automotive sectors |
Sales Channel Performance
|
Sales Channel |
Market Share (%) |
Growth Trend (2018–2023) |
Key Insights |
|
Direct Sales |
75 |
Stable |
Long-term contracts, bulk orders |
|
Distributors |
25 |
Moderate |
Regional reach, smaller quantities |
|
E-commerce |
15 |
Emerging |
Increasing digital transactions |
Trade Data and Port-Wise Import-Export Analysis (2023)
|
Port |
Import Volume (Kg) |
Export Volume (Kg) |
Key Trading Partners |
|
Mumbai (India) |
22,830,900 |
87,619,200 |
Indonesia, Egypt, UAE, South Africa |
|
Shanghai (China) |
Data not specified |
Data not specified |
Data not specified |
|
Rotterdam (Netherlands) |
Data not specified |
Data not specified |
Data not specified |
Customer Insights: Top 10 Buyers of Specialty Chemicals in Asia-Pacific
|
Country |
Estimated Annual Import Volume (MT) |
Key Applications |
|
China |
210,000 |
Electronics, Automotive, Construction |
|
India |
160,000 |
Pharmaceuticals, Agriculture, Packaging |
|
Japan |
130,000 |
Automotive, Electronics, Healthcare |
|
South Korea |
110,000 |
Electronics, Automotive, Chemicals |
|
Indonesia |
81,000 |
Agriculture, Pharmaceuticals, Packaging |
|
Thailand |
71,000 |
Automotive, Electronics, Packaging |
|
Malaysia |
61,000 |
Electronics, Automotive, Chemicals |
|
Vietnam |
51,000 |
Agriculture, Pharmaceuticals, Packaging |
|
Philippines |
41,000 |
Electronics, Automotive, Chemicals |
|
Bangladesh |
31,000 |
Agriculture, Pharmaceuticals, Packaging |
3. Composition of Coal Tar Pitch Chemical-Based Products Shipped (Japan)
Japan's chemical sector has undergone significant changes in product shipments over the last five years. In 2022, petrochemicals represented 46% of total shipments, amounting to ¥13 trillion. Following this, specialty chemicals comprised 32% and polymers made up 26%. The rising demand for high-performance materials in the electronics sector has fueled the growth of specialty chemicals, which have seen a 6% annual growth rate from 2018 to 2023. The table below summarizes essential financial and operational metrics, including the value of coal tar pitch chemical shipments by industry (2018–2023), trends in R&D and capital investment, and the financial performance of the top 30 global producers, providing a thorough overview of market strength and innovation focus.
Value of Coal Tar Pitch Chemical Shipments by Manufacturing Industry (2018–2023)
|
Year |
Automotive (¥ Trillions) |
Electronics (¥ Trillions) |
Pharmaceuticals (¥ Trillions) |
|
2018 |
2.6 |
3.1 |
1.3 |
|
2019 |
2.7 |
3.2 |
1.4 |
|
2020 |
2.8 |
3.4 |
1.5 |
|
2021 |
2.9 |
3.6 |
1.6 |
|
2022 |
3.1 |
3.8 |
1.7 |
|
2023 |
3.3 |
4.0 |
1.8 |
R&D Expenses and Capital Investment Trends in Coal Tar Pitch Industry
|
Company |
R&D Investment (¥ Billion) |
Capital Investment (¥ Billion) |
Focus Areas |
|
Mitsubishi Chemical |
160 |
210 |
Bioplastics, Sustainability |
|
Shin-Etsu Chemical |
110 |
160 |
Semiconductor Materials, Functional Polymers |
|
Asahi Kasei |
90 |
130 |
Healthcare Materials, Electronics |
Top Chemical Companies for Coal Tar Pitch: Financial Performance
|
Company |
Revenue (¥ Trillions) |
Net Income (¥ Trillions) |
Operating Income (¥ Trillions) |
|
Shin-Etsu Chemical |
2.9 |
0.6 |
0.8 |
|
Mitsubishi Chemical |
2.6 |
0.5 |
0.7 |
|
Asahi Kasei |
1.9 |
0.4 |
0.6 |
|
Sumitomo Chemical |
1.6 |
0.3 |
0.5 |
|
Toray Industries |
1.5 |
0.3 |
0.4 |
|
Mitsui Chemicals |
1.4 |
0.3 |
0.4 |
|
Ube Industries |
1.3 |
0.2 |
0.3 |
|
Daicel Corporation |
1.2 |
0.2 |
0.3 |
|
Showa Denko |
1.1 |
0.2 |
0.3 |
|
LG Chem |
1.0 |
0.2 |
0.3 |
Challenges
- Complex pricing structures: The price of coal tar pitch is influenced by various elements, including the costs of raw materials, the production techniques employed, and the coal tar pitch market demand. Fluctuations in the costs of upstream commodities, such as coal and oil, may lead to price volatility. Furthermore, the absence of uniform pricing models across different regions adds complexity to market dynamics, posing difficulties for suppliers in sustaining stable profit margins.
- Trade barriers and export restrictions: As stated by the World Trade Organization (WTO), the imposition of export restrictions and duties by nations abundant in raw materials can disrupt market access. For instance, the United States has contested China's export limitations on raw materials because of their effects on worldwide supply chains. These trade barriers may restrict the availability of crucial inputs necessary to produce coal tar pitch, thereby influencing global supply and pricing.
Coal Tar Pitch Market: Key Insights
| Report Attribute | Details |
|---|---|
|
Base Year |
2024 |
|
Forecast Year |
2025-2037 |
|
CAGR |
5.7% |
|
Base Year Market Size (2024) |
USD 4.4 billion |
|
Forecast Year Market Size (2037) |
USD 8.7 billion |
|
Regional Scope |
|
Coal Tar Pitch Segmentation
Grade (Aluminum Grade, Binder and Impregnating Grade, and Special Grade)
The aluminum segment is projected to account for an 82% share of the worldwide coal tar pitch market. The increasing utilization of aluminum across various sectors, including automotive, aerospace, and building & construction, is a significant factor propelling this segment. In the aluminum industry, coal tar pitch is used as a binder for anodes in the manufacture of aluminum electrolysis. This app is a must for aluminum smelters, as aluminum grade coal tar pitch is what you need. A rise in the production of aluminum, particularly in China and India, is anticipated to continue to accentuate demand for aluminum grade coal tar pitch.
Application (Aluminum Smelting, Graphite Electrodes, Roofing, Carbon Fiber, and Refractories)
The graphite electrodes segment is anticipated to hold a 42% share in the global coal tar pitch market in 2037, primarily used in electric arc furnaces for steel production. The transition from blast to electric arc furnaces, which are more environmentally friendly and energy efficient, is increasing the demand for graphite electrodes. This binder consists of coal tar pitch, which serves as a crucial component in the production of graphite electrodes that are essential for steel manufacturing. The increasing adoption of electric arc furnaces globally is expected to propel the graphite electrodes sub-segment.
Our in-depth analysis of the coal tar pitch market includes the following segments:
|
Grade |
|
|
Source |
|
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Customize this ReportCoal Tar Pitch Industry - Regional Analysis
Asia Pacific Market Analysis
The coal tar pitch market within the Asia Pacific area is expected to secure a 47% revenue share by 2037, driven by rapid industrial expansion and the advancement of the aluminum and steel sectors. Government policies that emphasize environmental sustainability and the advancement of green chemical technologies play a crucial role in shaping market demand. For instance, Japan has designated 13% of its industrial budget for coal tar pitch-related chemical projects in 2024, which marks a $1.3 billion increase since 2022. In China, investments in sustainable chemical technologies have surged by 19% over the past five years, with 1.6 million businesses implementing green practices in 2023. India's investment in coal tar pitch technology has risen by 16% from 2015 to 2023, now reaching an annual total of $1.0 billion, involving 3 million enterprises. Malaysia has seen a doubling of its chemical companies utilizing coal tar pitch technology by 2023, alongside a 21% increase in funding for green initiatives. South Korea experienced a 23% rise in investments in green chemistry from 2020 to 2024, with 600 new firms adopting sustainable practices. The table below details the countries and their spending in Asia Pacific.
Country-Wise Spending in the Asia Pacific Region
|
Country |
Spending Increase (%) |
Budget Allocation ($ Billion) |
Green Adoption Growth |
Reference Source |
|
Japan |
13% |
1.3 |
— |
METI, NEDO |
|
China |
19% |
— |
1.6 million firms |
NDRC, CPCIF |
|
India |
16% |
1.0 |
3 million firms |
Ministry of Chemicals, FICCI |
|
Malaysia |
21% |
— |
Doubled firms |
MOSTI |
|
South Korea |
23% |
— |
600 firms |
KITECH |
China is projected to lead the APAC coal tar pitch market, capturing the largest revenue share by 2037. This growth is fueled by its extensive aluminum and steel manufacturing sectors, along with substantial government investments in green chemical production. According to the National Development and Reform Commission (NDRC), there has been a 19% rise in funding for coal tar pitch-related technologies over the last five years, which supports industrial advancements and sustainability initiatives that foster ongoing market expansion.
North America Market Statistics
By the year 2037, it is anticipated that North America will represent a 27% share of the global coal tar pitch market, with notable contributions from both the United States and Canada. The primary drivers of this demand are the aluminum and steel sectors, which employ coal tar pitches in the production of electrodes and during the aluminum smelting process. Furthermore, governmental initiatives aimed at reducing carbon emissions and promoting sustainable manufacturing practices are influencing the coal tar pitch market dynamics.
In 2025, the U.S. Department of Energy discontinued $3.8 billion in funding for clean energy initiatives, impacting projects associated with sustainable coal tar pitch. On the other hand, a federal investment of $7 billion was revealed to lower industrial carbon emissions, focusing on the metals and chemicals sectors. In 2023, the EPA's Green Chemistry program facilitated over 50 sustainable chemical processes, resulting in a 21% reduction in hazardous waste compared to 2021 levels. These actions illustrate a shift in federal priorities, balancing the need for industrial decarbonization with decreased funding for certain clean technology initiatives.
Companies Dominating the Coal Tar Pitch Landscape
- Company Overview
- Business Strategy
- Key Product Offerings
- Financial Performance
- Key Performance Indicators
- Risk Analysis
- Recent Development
- Regional Presence
- SWOT Analysis
The coal tar pitch market for coal tar pitch chemicals is primarily controlled by well-established multinational companies, mainly located in the USA, Europe, and Asia. Major participants concentrate on strategic investments aimed at sustainable production, R&D for environmentally friendly technologies, and expanding their capacities to comply with increasing environmental regulations. Partnerships and mergers are frequently employed strategies to enhance market presence and foster innovation in cleaner applications of coal tar pitch. The table below describes the global manufacturers and the share they hold in the coal tar pitch market.
Top Global Manufacturers in the Coal Tar Pitch Market
|
Company Name |
Country |
Estimated Market Share (%) |
|
BASF SE |
Germany |
11% |
|
Eastman Chemical Company |
USA |
10% |
|
Mitsubishi Chemical Corporation |
Japan |
9% |
|
Wanhua Chemical Group |
China |
8% |
|
Shin-Etsu Chemical Co., Ltd. |
Japan |
7% |
|
Indian Oil Corporation Limited |
India |
xx% |
|
Shell Chemicals |
Netherlands/UK |
xx% |
|
Dow Chemical Company |
USA |
xx% |
|
LG Chem |
South Korea |
xx% |
|
Petronas Chemicals Group |
Malaysia |
xx% |
|
Covestro AG |
Germany |
xx% |
|
Sabic |
Saudi Arabia |
xx% |
|
Linde plc |
Ireland/Germany |
xx% |
|
Incitec Pivot Limited |
Australia |
xx% |
|
Reliance Industries Limited |
India |
xx% |
Here are a few areas of focus covered in the competitive landscape of the coal tar pitch market:
Recent Developments
- In January 2024, Mitsubishi Chemical introduced a high-purity coal tar pitch product specifically engineered for advanced carbon anode applications. This product is aimed at the aluminum sector and has enhanced performance by 16%, resulting in a 13% increase in Mitsubishi’s market share in Asia within six months.
- In March 2024, BASF launched a sustainable derivative of coal tar pitch that includes recycled carbon materials to minimize carbon emissions in steel manufacturing. The early uptake in Europe increased by 20% in the second quarter of 2024, due to the EU's environmental regulations.
Author Credits: Rajrani Baghel
- Report ID: 2321
- Published Date: Jun 10, 2025
- Report Format: PDF, PPT
