The graphite market is expected to register a CAGR of over 5.5% during the forecast period. The major factors driving the growth of the market studied include augmenting demand from the burgeoning lithium-ion (Li-ion) battery and growth in steel production of Asia & Middle-East.
- On the flipside, development of substitute anode materials in lithium-ion batteries in high-end applications and stringent environmental regulations are expected to hinder the growth of the market. - Growing usage of graphite in green technologies and popularity of graphene are projected to offer opportunities for the manufacturers over the forecast period.
Key Market Trends Natural Graphite to Drive the Market Growth
- The current major application of natural graphite includes refractories, casting and foundries application. This accounts for around half of the natural graphite market. This segment is also expected to witness considerable growth rate over the forecast period. - However, the batteries segment is expected to be fastest growing application, over the forecast period. - The increasing demand from the Lithium ion batteries used in electric vehicles, consumer electronics and other electricity storage applications is expected to increase demand for natural graphite. - The global Lithium-ion battery manufacturing capacity is expected to increase by multiple times, to reach around 1200 GWh in 2024, according to Mordor Intelligence analysis. - Furthermore, natural graphite is a low-cost alternative to synthetic graphite. This is further expected to increase the demand for natural graphite. - However, the supply of natural graphite is scarce. Thus, the price of natural graphite is expected to rise during the forecast period. - All these factors are expected to increase the demand for natural graphite, in the forecast period.
China to Dominate the Asia-Pacific Market
- China is one of the major countries in the Asia-Pacific, with ample construction activities being supported by the growing economy. - China continues to dominate graphite production and demand. Almost all stages of the lithium-ion battery manufacturing chain are focused on China, and China is by far the largest and most rapidly growing market for lithium-ion batteries, which paves the way for the market growth of graphite. - Graphite is extensively used in the steel making industry. China holds the largest share in terms of consumption and production capacity of graphite electrodes in the global scenario. - Moreover, the demand for lithium-ion batteries in China is expected to grow rapidly, owing to the growth in adoption of new energy vehicles (NEVs) and ESS for on-grid and off-grid applications. - The development of NEVs is further boosted by the mandates put forth by the government. Also, China has adopted a national New Energy Vehicle Subsidy Program to further boost the production of EVs.? - Thus, owing to such factors, the demand for graphite is expected to remain high during the forecast period.
Competitive Landscape The market for graphite is consolidated with the top five players of natural graphite and synthetic graphite accounting for a major share of the market, in their respective fields. The top five players in the global synthetic graphite market are Hitachi Chemical Co. Ltd, Showa Denko K. K. (including SGL Carbon), BTR New Energy Materials Inc,, GrafTech International., and Lianyungang Jinli Carbon Co. Ltd.? The key players of natural graphite include Syrah Resources Limited, Qingdao Guangxing Electronic Materials Co. Ltd., Qingdao Black Dragon Graphite Co. Ltd., and Tokai Carbon, among others.
Reasons to Purchase this report: - The market estimate (ME) sheet in Excel format - 3 months of analyst support
Our reports have been used by over 10K customers, including: