The growth of the global activated carbon market slowed in 2024, driven by heightened global economic instability. The United States, the largest importer of coconut shell-based activated carbon, experienced a substantial 30% decline in imports during 2023 compared to the previous year. Preliminary data from the US Census Bureau indicates a continued decline in 2024, with imports during January-August falling 1% compared to the same period in 2023. This downturn is primarily attributed to the ongoing economic slowdown in the United States. Despite these recent challenges, US imports of activated carbon have demonstrated a robust compound annual growth rate (CAGR) of 11% over the past decade.
Japan also recorded a 9% decrease in activated carbon imports during January-July 2024, contracting from 48,722 tonnes in 2023 to 44,487 tonnes. This reflects a long-term downward trend in Japan's import volume, with a CAGR of -0.35% over the past decade. In contrast, demand in European Union countries (EU28) rose by 2.5% during the first half of 2024, increasing from 181,310 tonnes in January-June 2023 to 185,791 tonnes in the same period of 2024.
On the supply side, India’s activated carbon exports during January–July 2024 demonstrated significant growth compared to the same period in 2023, with export value rising by 18.9% to US$ 170.2 million and export volume increasing by 25.3% to 101,475.5 metric tons (MT). The United States maintained its position as the largest market, registering a 26.4% growth in value and 33.3% in volume, reflecting a consistent demand for activated carbon in industrial and environmental applications. Sri Lanka emerged as a rapidly growing market, with exports surging by 261.9% in value and 305.2% in volume, likely driven by increased reliance on Indian products for water purification or industrial needs. Other notable markets included Japan, which saw steady growth in both value and volume, and China, where a 34% rise in export value despite a decline in volume suggests a shift toward higher-grade products.
Emerging markets such as Malaysia, South Africa, and Egypt exhibited remarkable growth, indicating diversification in India’s export destinations. Malaysia and South Africa doubled their import volumes, while Egypt’s imports increased by nearly 68% in value. However, challenges were observed in markets like Russia and Turkey, which experienced declines in exports due to potential geopolitical and economic factors. Germany showed a mixed trend, with a 36.7% drop in value but a 30.5% increase in volume, reflecting demand for cost-effective solutions. Overall, India’s activated carbon exports in 2024 reveal robust global demand, underscoring opportunities for expanding market share in new regions while addressing challenges in traditional markets through targeted strategies.
Figure 1. Top 10 Export Destinations of Activated Carbon from India (MT), January-July 2023 and 2024
Source: Ministry of Commerce and Industry, India
Sri Lanka also witnessed a positive trend in the first half of 2024. From August 2023 to July 2024, the country exported 15,356 tonnes of activated carbon, representing a 29.7% year-on-year increase. However, Sri Lanka’s export volume had previously declined by 6% in 2023, generating export earnings of USD 124 million—a 20% decrease from 2022. The primary importers of Sri Lankan activated carbon include the United States, China, Japan, Germany, and the United Kingdom.
Figure 2. Export of Coconut Shell Charcoal based Activated Carbon from Sri Lanka, 2018-2023
Source: Coconut Development Authority, Sri Lanka
The Philippines reported a significant reduction in activated carbon exports, totaling 43,068 tonnes in January-June 2024—a 23.9% year-on-year decline. This decrease is largely attributed to reduced demand from importing countries amid global economic challenges. Key importers of Philippine activated carbon include Japan, Germany, the United States, Chinese Taipei, China, and South Korea.
Figure 3. Export Destinations of Activated Carbon from Philippines, January-June 2024 (MT)
Source: UCAP
Indonesia experienced a slight decline in exports of coconut shell-based activated carbon during January-July 2024, down 0.1% from the previous year to 9,653 tonnes. This follows a downward trend in 2023. Major export destinations include Japan, China, Taiwan, Germany, Australia, and the United States.
Figure 4. Export Destinations of Activated Carbon from Indonesia, January-July 2024 (MT)
Source: BPS-Statistics Indonesia
Despite declining demand for activated carbon, the price of coconut shell charcoal—a key raw material—has risen in 2024. Weekly prices in major producing countries, including Indonesia, India, and Sri Lanka, increased until September 2024, ranging between USD 445/MT and USD 561/MT. Indonesia reported the highest domestic prices for coconut shell charcoal, followed by India and Sri Lanka. This price surge is driven by lower coconut production and increased demand for coconut shell-based products such as briquettes and activated carbon.
Figure 5. Weekly Price of Coconut Shell Charcoal (US$/MT) in India, Indonesia, and Sri Lanka, 1st-38th Week of 2024
Source: ICC
In line with raw material price trends, the export price of activated carbon also increased during the first half of 2024. In Sri Lanka, export prices rose from USD 2,346/MT in December 2023 to USD 2,626/MT in July 2024. Indonesia, on the other hand, reported a declining trend in prices during January-June 2024, followed by a rebound in July to USD 1,348/MT. Tight supply conditions are expected to sustain high prices for coconut shell charcoal-based activated carbon in the near term.
Figure 6. Export Price of Activated Carbon US$/MT in Sri Lanka and Indonesia January 2022 – July 2024
Source: CDA, Sri Lanka and BPS-Statistics Indonesia
While the global activated carbon market faces continued challenges due to economic uncertainties and shifting demand patterns, rising raw material prices and supply constraints suggest a strong price outlook. These dynamics offer opportunities for major producers to capitalize on emerging market niches and adapt to evolving trade flows.