An improved model for growth of multiwall carbon nanotube (MWCNT) arrays in a floating catalyst (FC) reactor is developed. The model predicts the height of MWCNT arrays produced from xylene as a carbon source and ferrocene as the catalyst precursor. Based on this model, growth of CNTs was studied at various operating conditions, such as temperature, catalyst concentration in the feed, and xylene concentration. It was shown that the longest carbon nanotubes can be achieved in the temperature range 825–875 °C. Increases in the concentrations of both xylene and ferrocene increase the average height of CNTs. During the FC process, catalyst deactivation was observed due to formation of amorphous carbon on the surface of CNTs. Effect of deactivation on the model was empirically correlated with a simple first order deactivation rate.