India is emerging as a strong player in the global electric vehicle material market. The focus is on carbon black, a chemical once used mainly in tyres but now vital for EV batteries, cables and electronics. Demand is rising as EVs need stronger tyres and better battery conductivity.
Europe’s supply gap after Russia’s exit opened new opportunities. China, though dominant, faces restrictions and buyers are cautious about depending on one source. India stepped in with feedstock advantage and expanded capacity. Exports are growing at nearly 20 percent annually, five times faster than China’s pace.
Two Indian companies are leading this shift. PCBL Chemical, part of RP Sanjeev Goenka Group, is now the sixth largest globally and fourth in specialty carbon black. Its European market share rose from four percent to twenty one percent in two years. However, profits fell due to debt from a large acquisition, though specialty business is expanding.
Himadri Speciality Chemical has focused on advanced materials and runs one of the largest specialty carbon black sites worldwide. Between 2021 and 2026, its sales grew at twenty three percent annually and profits at seventy four percent. Margins improved sharply and the company plans a new cathode plant outside China.
Investors see PCBL as a turnaround story and Himadri as a growth stock.