Cabot back on track with Indonesian carbon black expansion

Cabot back on track with Indonesian carbon black expansion

US carbon black maker Cabot says it has restarted its previously suspended carbon black plant expansion in Cilegon, Indonesia, targeting completion by mid-2025 as the company seeks to capitalise on Southeast Asia’s growing market demand.

The company will add 80 kilotonnes of annual rubber black production capacity at its existing facility, nearly doubling the plant’s output. The project, which is estimated to cost US$100 million, was initially launched in 2019 but put on hold in 2020 during a capital allocation review.

The expansion will strengthen Cabot’s position as Indonesia’s sole reinforcing carbons producer, allowing for reduced lead times in serving the local market. The move comes as the region faces capacity constraints and growing dependence on imports.

Cabot has operated the carbon black plant and a black masterbatch and conductive compounds plant in Cilegon since 1988. The facility serves the tyre and automotive sectors in Southeast Asia.