Charcoal Market Report 2025

The charcoal market size has grown strongly in recent years. It will grow from $5.64 billion in 2024 to $5.94 billion in 2025 at a compound annual growth rate (CAGR) of 5.2%. The growth in the historic period can be attributed to industrial applications, recreational activities, water filtration, medical and pharmaceutical uses, traditional heating, alternative to wood fuel.

The charcoal market size is expected to see strong growth in the next few years. It will grow to $7.84 billion in 2029 at a compound annual growth rate (CAGR) of 7.2%. The growth in the forecast period can be attributed to rising outdoor recreation, biochar for agriculture, activated charcoal in health and beauty, restaurant and catering industry, renewable energy initiatives. Major trends in the forecast period include eco-friendly charcoal production, charcoal in cooking and barbecuing, waste-to-energy initiatives, carbon sequestration projects, online retail platforms.

The increasing popularity of barbecued food is significantly driving growth in the charcoal market. Barbecue refers to a cooking method where various foods, including vegetables, meat, and fish, are prepared over an open fire. Charcoal is often used as fuel for this cooking method because it heats up quickly and imparts a smoky flavor to the food. For example, a report from National BBQ Week, a UK-based barbecue blog, revealed that about 31% of all barbecues in 2023 featured a primary plant-based or meat-free option, reflecting a shift toward more diverse barbecue choices. Additionally, the Family Food Survey for the financial year ending 2023 reported a 3.5% increase in spending on food and drink for eating out, including barbecues, which have gained popularity in the UK. Thus, the rising demand for barbecued food is contributing to the growth of the charcoal market.

The growth of the expanding beauty and cosmetics industry is expected to boost the charcoal market in the coming years. This industry is a broad and diverse sector that involves the development, manufacturing, marketing, and distribution of products aimed at enhancing physical appearance and personal hygiene. Charcoal is a favored ingredient in the beauty and cosmetics sector due to its ability to absorb impurities and toxins, making it effective for cleansing and detoxifying the skin in various skincare products. For example, the National Hair and Beauty Federation reported in June 2023 that the number of hair and beauty firms increased by 2,215 from March 2021 to March 2022, bringing the total to 48,425 businesses. Thus, the growth of the beauty and cosmetics industry is driving demand for charcoal.

The prevailing trend in the charcoal market revolves around product innovation, with major industry players dedicating their efforts to developing novel products aimed at expanding their market reach. A prime example is Kingsford, a prominent charcoal company based in the US, which unveiled Signature flavors in March 2022. This innovative line comprises flavor enhancers tailored for charcoal grills, along with pellets designed for pellet grills. Signature flavors boast charcoal briquets infused with pre-seasoned enhancements that gradually release flavor during grilling. The product introduces three distinctive flavors - garlic onion paprika, basil sage thyme, and cumin chili - crafted specifically for barbecue enthusiasts seeking diverse and enhanced taste experiences. This strategic product launch exemplifies the industry's focus on catering to evolving consumer preferences through inventive offerings in the charcoal market.

Many countries worldwide are intensifying their efforts to implement carbon trading programs as a means of curbing carbon emissions. These programs operate within market-based frameworks and are geared toward mitigating greenhouse gas emissions. Indonesia, for example, took a significant step in February 2023 by initiating the initial phase of a compulsory carbon trading program targeted at coal-powered facilities. The primary objective is to stimulate the adoption of renewable energy sources and ultimately achieve a state of net-zero emissions. This inaugural phase encompasses 99 coal-powered plants, collectively possessing an installed capacity of 33.6 GW, representing approximately 86% of the nation's coal-based power infrastructure.

In August 2024, Royal Oak Charcoal, a US-based company specializing in charcoal products such as natural lump charcoal, briquettes, and pellets, partnered with Whole Earth Brands to establish a new consumer packaged goods (CPG) group called Sweet Oak. This merger aims to leverage Royal Oak's expertise in charcoal and grilling products alongside Whole Earth's selection of plant-based sweeteners and other food items. The strategic collaboration is intended to create a more diverse and robust CPG group that can better address various consumer needs. Whole Earth Brands is a US-based company focused on promoting healthier lifestyles by offering high-quality, natural, and plant-based food alternatives.

Major companies operating in the charcoal market include China National Chemical Corporation Ltd., Bricapar SA, Cooks International LLC, Royal Oak Enterprises LLC, Duraflame Inc., Kingsford Products Company, Ignite Products, Parker Charcoal Co., Fire & Flavor Grilling Company, Namchar Pty. Ltd., Mesjaya Abadi Sdn Bhd, Saint Louis Charcoal Company LLC, The Dorset Charcoal Co., Subur Tiasa Holdings Berhad, Rancher Charcoal, Plantar Group, Sagar Charcoal and Firewood Depot, Maurobera SA, NamCo Charcoal and Timber Products, The Oxford Charcoal Company, E & C Charcoal, Carbo Namibia (Pty) Ltd., Two Trees Products, Dancoal Sp. Z.o.o, Gryfskand sp. z o.o., Southern Fuelwood, Blackwood Charcoal, B & B Charcoal, Braai & BBQ International Pty. Ltd., Direct Charcoal Ltd., Fogo Charcoal Co., Linyi Fumin Charcoal Co. Ltd, Matsuri International Co. Ltd., PT Cavron Global, Tatapar Carvao Sao Manoel, The Original Charcoal Company, Timber Charcoal Co. LLC.

Asia-Pacific was the largest region in the charcoal market in 2024. North America was the second-largest region in the charcoal market. The regions covered in the charcoal market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the charcoal market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Charcoal, an impure graphitic carbon residue from partial burning of carbonaceous materials, is used for cooking, metallurgy, and industrial fuel in various forms such as coke, carbon black, and soot.

Charcoal products encompass various types including lump charcoal, charcoal briquettes, Japanese charcoal, and sugar charcoal. Lump charcoal serves as fuel for grilling and barbecuing, derived from natural wood through methods such as oxygen-free burning to char the wood without consuming it entirely. These products are distributed through online and offline channels, catering to applications in outdoor activities, the restaurant industry, metallurgical and industrial fuel needs, as well as filtration purposes.

The charcoal market research report is one of a series of new reports that provides charcoal market statistics, including charcoal industry global market size, regional shares, competitors with charcoal market share, detailed charcoal market segments, market trends, and opportunities, and any further data you may need to thrive in the charcoal industry. This charcoal market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The charcoal market consists of sales of hardwood briquettes, binchotan and coconut shell charcoal. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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