Synthetic Graphite Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 3.19 Billion |
| Market Size (2029) | USD 4.44 Billion |
| CAGR (2024 - 2029) | 6.83 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | Asia Pacific |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Synthetic Graphite Market Analysis
The Synthetic Graphite Market size is estimated at USD 3.19 billion in 2024, and is expected to reach USD 4.44 billion by 2029, growing at a CAGR of 6.83% during the forecast period (2024-2029).
The synthetic graphite market faced setbacks due to COVID-19. Global lockdowns and stringent government regulations led to widespread shutdowns of production hubs. However, the market rebounded in 2021 and is projected to see significant growth in the upcoming years.
- Over the short term, increasing demand for electric vehicles and growing utilization of electric arc furnace processes for steel production are the major factors driving the demand for the market studied.
- However, strict environmental regulations and the high cost of production of graphite are expected to hinder the market's growth.
- Nevertheless, the growing popularity of graphene and bio-graphite as a sustainable resource for battery material is expected to create new opportunities for the market studied.
- Asia-Pacific region is expected to dominate the market across the world, with the majority of demand coming from China and India.
Synthetic Graphite Market Trends
Metallurgy Segment to Dominate the Market
- Graphite finds diverse applications in metallurgy, including uses in electrodes, refractories, bricks, and monolithic crucibles.
- In the electric arc furnace (EAF) method, synthetic graphite serves as an anode for producing steel, ferroalloys, and aluminum.
- Metallurgical applications utilize synthetic graphite electrodes as energy sources. These applications range from melting scrap iron and refining ceramic materials to manufacturing chemicals like calcium carbide, all of which demand high-temperature and clean energy sources.
- Global increases in crude steel and aluminum production are set to boost synthetic graphite's metallurgical applications. Yet, fluctuations in metal production may introduce uncertainties in market demand.
- Based on electric current capability, synthetic graphite electrodes come in various grades: ultra-high power (UHP), high power (HP), and regular power (RP).
- According to data from the World Steel Association (worldsteel), global crude steel production fell to 143.6 million tonnes (Mt) in September 2024, down from 144.6 million tonnes (Mt) in August 2024. While these figures underscore challenges in the industry, a rebound in steel demand is on the horizon, driven by infrastructure projects in emerging economies.
- Moreover, bolstered steel production capacities in nations like China and the United States, among others have further fueled global steel output.
- The demand for steel produced via the EAF process is growing significantly. EAFs' lower capacity intensity and enhanced resilience, along with the environmental impact of the BOF method, are anticipated to drive the adoption of EAFs in crude steel production, particularly in developed nations.
- China, the world's largest steel producer, is aligning its steelmaking strategy with decarbonization goals. Between late 2022 and 2024, China announced the commissioning of around 16 new EAFs, coinciding with the phasing out of outdated crude steelmaking facilities. This push aims to raise the proportion of EAF-based steel output to 15-20% by 2025.
- The United States, ranked as the fourth-largest producer of crude steel globally, reported a production of 6.7 Mt in September 2024, witnessing a modest increase of 1.2% as compared to the same period of 2023. However, the year-to-date production figures were at 60.3 Mt, indicating a decline of 1.6%, as per the World Steel Association.
- Germany showcased a positive trend, producing an estimated 3 Mt in September 2024, which is a 4.3% increase as compared to the samer peroiod of the previous year. Year-to-date, Germany's production reached 28.4 Mt, marking a notable 4% rise, according to data from the World Steel Association.
- Brazil led the pack with the highest growth, producing 2.8 Mt in September 2024, an impressive increase of 9.9% as compared to the same period of 2023. Year-to-date, Brazil's production stood at 25.2 Mt, up by 4.4%, as reported by the World Steel Association.
- Steel finds applications in diverse sectors, including construction, railroads, automotive manufacturing, and both capital and consumer goods production. Over the past decade, rising industrialization in developing nations has significantly spurred the demand for steel.
- Given this trajectory, the anticipated growth in the global steel sector is poised to elevate demand in metallurgical applications, further propelling the studied market's expansion.
Asia-Pacific Region to Dominate the Market
- Asia-Pacific is set to spearhead the synthetic graphite market, emerging as the region with the swiftest growth during the forecast period. This upswing is largely driven by surging demands across diverse applications, such as metallurgy, components, batteries, and nuclear energy, especially in countries like China, India, South Korea, Japan, and several Southeast Asian nations.
- China stands as the globe's leading producer of iron and steel, with its output serving both domestic and international markets. As per the data from the World Steel Association, while China retained its title as the largest producer, it saw a 6.1% dip in output for September 2024, totaling 77.1 million tonnes (Mt). Year-to-date figures show China's production at 768.5 Mt, reflecting a 3.6% drop from 2023.
- China remains the dominant force in both the production and consumption of synthetic graphite on a global scale. The entire lithium-ion battery manufacturing chain is heavily centered in China, which stands out as the largest and fastest-growing market for these batteries, consequently driving the expansion of the synthetic graphite market.
- In 2023, China's lithium-ion battery sector maintained its upward trajectory, witnessing a 25% year-on-year increase in total output. According to the Ministry of Industry and Information Technology, the output surpassed 940 gigawatt-hours (GWh). Valued at over CNY 1.4 trillion (USD 197 billion), the sector's output in 2023 was significant. Notably, batteries designated for power storage accounted for 185 GWh, with an installed capacity exceeding 435 GWh.
- India is home to several prominent graphite electrode manufacturers, all of whom are ramping up their capacities to cater to the burgeoning demand. This trend is bolstering the growth of the synthetic graphite market. For instance, HEG Limited, in November 2023, augmented its graphite electrode capacity in Madhya Pradesh from 80 kilotons per annum to 100 kilotons per annum. This expansion, costing INR 1,200 crore (USD 143.741 million), catapulted HEG to the position of the third-largest graphite electrode company in the Western hemisphere.
- Furthermore, data from the U.S. Energy Information Administration and the International Atomic Energy Agency reveals that over the last decade, China has added more than 34 gigawatts (GW) of nuclear power capacity. As of August 2024, the nation operates 56 nuclear reactors with a combined net capacity of 54.3 GW. With an additional 27 reactors currently under construction, this growth is poised to amplify the demand for nuclear applications, further propelling the market's expansion.
- Given these dynamics, the Asia-Pacific region is poised for a surge in synthetic graphite demand during the forecast period.
Synthetic Graphite Industry Overview
The synthetic graphite market is partially consolidated in nature. The major players (not in any particular order) include Resonac Holdings Corporation, GrafTech International, BTR New Material Group Co. Ltd, Ningbo Shanshan Co., Ltd., and Imerys, among others.
Synthetic Graphite Market Leaders
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GrafTech International
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BTR New Material Group Co. Ltd
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Resonac Holdings Corporation
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Ningbo Shanshan Co., Ltd.
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Imerys
*Disclaimer: Major Players sorted in no particular order
Synthetic Graphite Market News
- July 2024: Graphite One, the developer of a graphite mine in western Alaska, has partnered with electric vehicle manufacturer Lucid Motors. The agreement stipulates a supply of 5,000 tonnes of synthetic graphite annually, translating to over 30,000 pounds daily. This collaboration seeks to enhance the economy, fortify the domestic supply chain for critical minerals, and diminish dependence on foreign sources for materials essential in electric vehicle production.
- February 2024: Panasonic Energy Co., Ltd., a division of the Panasonic Group, has finalized a binding off-take agreement with NOVONIX Limited, a leading entity in battery materials and technology. The synthetic graphite sourced from NOVONIX will be utilized by Panasonic Energy at its EV battery manufacturing plants located in the U.S. Shipments from NOVONIX's facility in Tennessee are scheduled to begin in 2025. With these strategic partnerships, Panasonic Energy reinforces its dedication to attaining zero emissions and promoting a sustainable society.
Synthetic Graphite Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Drivers
4.1.1 Increasing Demand for Electric Vehicles
4.1.2 Growing Utilization of Electric ARC Furnace Process for Steel Production
4.1.3 Other Drivers
4.2 Restraints
4.2.1 Strict Environmental Regulations
4.2.2 High Cost of Production of Graphite
4.2.3 Other Restraints
4.3 Industry Value Chain Analysis
4.4 Porter's Five Forces Analysis
4.4.1 Bargaining Power of Suppliers
4.4.2 Bargaining Power of Buyers
4.4.3 Threat of New Entrants
4.4.4 Threat of Substitute Products and Services
4.4.5 Degree of Competition
5. MARKET SEGMENTATION (Market Size in Value)
5.1 Type
5.1.1 Graphite Anode
5.1.2 Graphite Block (Fine Carbon)
5.1.3 Other Types (Graphite Electrode, etc.)
5.2 Application
5.2.1 Metallurgy
5.2.2 Parts and Components
5.2.3 Batteries
5.2.4 Nuclear
5.2.5 Other Applications
5.3 Geography
5.3.1 Asia-Pacific
5.3.1.1 China
5.3.1.2 India
5.3.1.3 Japan
5.3.1.4 South Korea
5.3.1.5 Malaysia
5.3.1.6 Thailand
5.3.1.7 Indonesia
5.3.1.8 Vietnam
5.3.1.9 Rest of Asia-Pacific
5.3.2 North America
5.3.2.1 United States
5.3.2.2 Canada
5.3.2.3 Mexico
5.3.3 Europe
5.3.3.1 Germany
5.3.3.2 United Kingdom
5.3.3.3 France
5.3.3.4 Italy
5.3.3.5 Spain
5.3.3.6 NORDIC Countries
5.3.3.7 Turkey
5.3.3.8 Russia
5.3.3.9 Rest of Europe
5.3.4 South America
5.3.4.1 Brazil
5.3.4.2 Argentina
5.3.4.3 Colombia
5.3.4.4 Rest of South America
5.3.5 Middle East and Africa
5.3.5.1 Saudi Arabia
5.3.5.2 Qatar
5.3.5.3 United Arab Emirates
5.3.5.4 Nigeria
5.3.5.5 Egypt
5.3.5.6 South Africa
5.3.5.7 Rest of Middle-East and Africa
6. COMPETITIVE LANDSCAPE
6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Market Share(%)**/Ranking Analysis
6.3 Strategies Adopted by Major Players
6.4 Company Profiles
6.4.1 Asbury Carbons
6.4.2 BTR New Materials Group Co. Ltd
6.4.3 GrafTech International
6.4.4 Graphit Kropfmhl GmbH
6.4.5 Graphite India Limited
6.4.6 Graphite One
6.4.7 Imerys
6.4.8 Jiangxi Zichen Technology Co. Ltd
6.4.9 Mersen Property
6.4.10 Mitsubishi Chemical Corporation
6.4.11 Nippon Carbon Co. Ltd
6.4.12 NOVONIX Limited
6.4.13 Resonac Holdings Corporation
6.4.14 Shamokin Carbons
6.4.15 Shanghai Shanshan Technology Co. Ltd
6.4.16 Shenzhen Sinuo Industrial Development Co. Ltd
6.4.17 Tokai Cobex GmbH
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
7.1 Growing Popularity of Graphene
7.2 Bio-graphite as a Sustainable Resource for Battery Material
7.3 Other Opportunities
Synthetic Graphite Industry Segmentation
Synthetic graphite, or artificial graphite, is produced by subjecting carbon-rich materials, like petroleum coke, coal tar, or natural gas, to high-temperature treatments. In this process, these materials are heated to temperatures exceeding 2500°C, all while being shielded from oxygen. This meticulous treatment leads to the development of a crystalline structure that closely resembles that of natural graphite.
The synthetic graphite market is segmented by type, application, and geography. By type, the market is segmented into graphite anode, graphite block (fine carbon), and other types (graphite electrode, etc.). By application, the market is segmented into metallurgy, parts and components, batteries, nuclear, and other applications. The report also covers the market sizes and forecasts for the global synthetic graphite market in 27 countries across major regions. For each segment, the market sizing and forecasts have been done on the basis of value (USD).
| Type | |
| Graphite Anode | |
| Graphite Block (Fine Carbon) | |
| Other Types (Graphite Electrode, etc.) |
| Application | |
| Metallurgy | |
| Parts and Components | |
| Batteries | |
| Nuclear | |
| Other Applications |
| Geography | |||||||||||
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Synthetic Graphite Market Research FAQs
How big is the Synthetic Graphite Market?
The Synthetic Graphite Market size is expected to reach USD 3.19 billion in 2024 and grow at a CAGR of 6.83% to reach USD 4.44 billion by 2029.
What is the current Synthetic Graphite Market size?
In 2024, the Synthetic Graphite Market size is expected to reach USD 3.19 billion.
Who are the key players in Synthetic Graphite Market?
GrafTech International, BTR New Material Group Co. Ltd, Resonac Holdings Corporation, Ningbo Shanshan Co., Ltd. and Imerys are the major companies operating in the Synthetic Graphite Market.
Which is the fastest growing region in Synthetic Graphite Market?
Asia-Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Synthetic Graphite Market?
In 2024, the Asia Pacific accounts for the largest market share in Synthetic Graphite Market.
What years does this Synthetic Graphite Market cover, and what was the market size in 2023?
In 2023, the Synthetic Graphite Market size was estimated at USD 2.97 billion. The report covers the Synthetic Graphite Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Synthetic Graphite Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
What are the key segments and sub-segments in the Synthetic Graphite Market?
The Synthetic Graphite Market can be segmented based on various factors, including a) Product Type: Electrodes, Blocks, Powder and Fiber b) Application: Lithium-ion Batteries, Foundry and Friction Materials c) End-Use Industry: Steel, Automotive and Aerospace
What are the key segments and sub-segments in the Synthetic Graphite Market?
The Synthetic Graphite Market can be segmented based on various factors, including a) Product Type: Electrodes, Blocks, Powder and Fiber b) Application: Lithium-ion Batteries, Foundry and Friction Materials c) End-Use Industry: Steel, Automotive and Aerospace
Synthetic Graphite Industry Report
The synthetic graphite market is poised for substantial growth, driven by its diverse applications across various industries. Synthetic graphite, a man-made form of graphite produced through high-temperature treatment of carbon precursors, is valued for its high thermal conductivity, low electrical resistance, and excellent lubricity. Key market segments include lithium-ion batteries, steelmaking, renewable energy, aerospace, and automotive industries. The increasing demand for electric vehicles and energy storage systems significantly boosts the need for synthetic graphite in battery anodes. The steel industry also contributes to market growth, utilizing synthetic graphite to enhance steel quality.
Technological advancements in production methods are expected to enhance the quality and cost-efficiency of synthetic graphite, supporting its expanding applications. The market is segmented by product type, application, end-use industry, and geography, with Asia-Pacific emerging as a dominant region due to its robust industrial base and growing demand for high-performance materials. Statistics for the synthetic graphite market share, market size, and revenue growth rate are provided by Mordor Intelligence™ Industry Reports. Synthetic graphite analysis includes a market forecast outlook and historical overview. Get a sample of this industry analysis as a free report PDF download.
The market report covers global synthetic graphite production by country and is segmented by type, application, and geography. The synthetic graphite market trends indicate continuous growth, driven by increasing demand in various applications. Industry reports highlight the market growth and industry statistics, providing valuable insights into the market size and market value. The market forecast suggests a positive outlook for the synthetic graphite industry, with significant contributions from market leaders in enhancing the market segmentation and market predictions.
Industry analysis and market research are crucial for understanding the market data and market review. The industry outlook and industry trends reveal the potential for market growth and the importance of industry information in making informed decisions. Research companies provide comprehensive industry research and industry sales data, contributing to a thorough market overview and market segmentation. The market outlook remains positive, with market leaders playing a pivotal role in shaping the industry's future.
Synthetic Graphite Market Report Snapshots
