Synthetic Graphite Market Size, Share & Industry Analysis, By Product Type (Graphite Electrode, Graphite Blocks, Graphite Powder, and Others), By Application (Refractories, Batteries, Recarburising, Foundries, Lubricants, Friction Materials, and Others), and Regional Forecast, 2025-2032

The global synthetic graphite market size was valued at USD 5.67 billion in 2024. The market is projected to grow from USD 5.98 billion in 2025 to USD 8.74 billion by 2032, exhibiting a CAGR of 5.6% during the forecast period.

Synthetic graphite is made from non-graphitic carbon, which is treated at high temperatures. Calcined petroleum coke and coal tar pitch are the primary feedstocks used to make synthetic graphite. It possesses excellent electrical conductivity, resistance to high temperatures, and chemical stability. Consequently, the market is experiencing significant growth, driven by its critical role in various applications such as lithium-ion batteries, metallurgy, and industrial components.

Growing demand for high-quality steel and momentum toward greener steel are fueling the need for Electric Arc Furnace (EAF)- based steel production. Synthetic graphite products are highly utilized in the steelmaking sector, where the graphite electrode serves as a conductive element that transfers electrical energy to the furnace, resulting in the formation of an electric arc that melts the materials. Therefore, the growing demand for EAF-based steel production is set to drive the global market growth during the forecast period.

• According to the South East Asia Iron and Steel Institute (SEAISI), the share of the EAF route in global steel production is anticipated to rise to 40% by 2030.

SYNTHETIC GRAPHITE MARKET TRENDS

Rising Technological Innovations to Surge Market Growth

Innovations in production processes by adopting environmentally friendly and optimized methods are expected to boost the synthetic graphite market growth. Advancements such as developing new methods for producing high-quality and efficient graphite using lower energy, and innovations in recycling practices will surge product demand from varied applications. Companies are involved in continuous research and development for optimizing the synthesis processes with the use of techniques such as electric arc furnaces and catalytic graphitization. This will support manufacturers to produce synthetic graphite with better properties and higher purity. 

• In December 2024, Graphjet Technology achieved key breakthroughs in catalyzing graphitization to produce high-quality synthetic graphite with its patented green graphite production technology. A differentiator in the process is the proprietary catalyst formula that allows the company to produce high-quality graphite cost-effectively. The company is involved in the development of a patented green graphite production technology, which enables the production of graphite and graphene from palm kernel shells.

MARKET DYNAMICS

MARKET DRIVERS

Surging Demand for Refractories to Drive Market Growth

The global market is experiencing significant growth, driven by its unique set of properties required in refractories. Graphite, as a substantial mineral, plays a crucial role in refractories by enhancing thermal conductivity, improving thermal shock resistance, and reducing corrosion, ultimately boosting the performance and lifespan of refractory materials used in high-temperature applications. Graphite's high thermal conductivity helps dissipate heat quickly and evenly, minimizing stress within the refractory material. Therefore, surging demand for refractories will drive the market growth.

MARKET RESTRAINTS

Supply Chain Concentration May Hamper Supply-Demand Equation in the Market

According to the Minor Metals Trade Association (MMTA), China alone produces more than half of the graphite that is synthetically manufactured globally. In October 2023, China’s Ministry of Commerce and the General Administration of Customs announced that from December 2023, the nation would impose export restrictions on key lithium-ion battery anode raw materials, including high-purity synthetic graphite and its products. Therefore, China's dominance in synthetic graphite production poses supply risks for other regions, especially amid geopolitical tensions and export restrictions.

• According to the Minor Metals Trade Association (MMTA), China accounted for around 80% of synthetic graphite production globally in 2024.

MARKET OPPORTUNITIES

Surge in Electric Vehicle Adoption to Create Lucrative Opportunities in the Market

The surge in EV adoption globally has heightened the demand for lithium-ion batteries, where synthetic graphite is used as an anode material in battery production. Its properties, such as high purity and consistency, make it preferable over natural graphite in high-performance batteries. Synthetically manufactured graphite improves electrical conductivity and stores lithium ions, offering benefits such as faster charging and longer battery life compared to natural graphite. Therefore, a rise in EV demand is set to create lucrative opportunities in the market.  

• According to the International Energy Agency, in 2023, around 14 million new electric vehicles were registered globally.

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Segmentation Analysis

By Product Type

Graphite Electrode Segment Held Dominant Share Due to High Demand from EAF-Based Steel and EV Batteries

Based on product type, the market is segmented into graphite electrode, graphite blocks, graphite powder, and others.

The graphite electrode segment held the largest global synthetic graphite market share in 2024. Graphite electrodes are used to transfer electrical energy to melt steel in electric arc furnaces. Graphite electrodes offer several advantages, including high thermal and electrical conductivity, resistance to thermal shock, and chemical inertness, making them suitable for various applications, including steelmaking and batteries. Growing demand for EAF-based steel and EV batteries will consume the major chunk of global graphite production and will hold the dominant position in the market.

Graphite blocks are produced by the petroleum coke process. These blocks are mainly used in solar energy storage and lithium-ion batteries. These blocks also find application in electrical discharge machining (EDM) and various heat transfer applications. Their low thermal expansion, chemical stability, ease of machining, lightweight nature, and ability to resist thermal shock make graphite blocks essential for various industrial uses. This is expected to drive the segment growth significantly.

By Application

Refractories Segment Dominated the Market Due to Graphite’s High Utilization 

Based on application, the market is segmented into refractories, batteries, recarburising, foundries, lubricants, friction materials, and others. 

The refractories segment held the largest global market share in 2024. Synthetic graphite is used in refractories to enhance their performance by increasing thermal conductivity and reducing thermal gradients. For instance, its high thermal conductivity helps to quickly dissipate heat, reducing thermal gradients between the hot and cold faces of the refractory. Also, it is not wetted by molten slag, thus preventing slag from penetrating the refractory and causing corrosion, ultimately increasing the lifespan of the refractories. Therefore, the refractories segment is poised to remain a major application for the product in the foreseen period.

The batteries segment is expected to grow at a significant rate during the forecast period. The product is used as an anode material in lithium-ion battery cells in various ratios as per the required performance, battery model, and cost. Hence, the increasing demand for Lithium-ion Batteries (LIB) is anticipated to drive segment growth.

Synthetic Graphite Market Regional Outlook

By geography, the market is categorized into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa.

Asia Pacific

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Asia Pacific held the largest global synthetic graphite market share in 2024, generating market revenue worth USD 3.14 billion. Asia Pacific is a major refractory material consumer and electrode producer. Synthetically produced graphite is highly utilized in these two applications, making Asia Pacific the dominant region globally.  

In Asia Pacific, China dominates the regional market due to the country’s massive steel production capacity and continuously expanding EV sector, which is driving the demand for graphite electrodes. China is the largest graphite electrode producer and consumer, and thus, it will drive the regional demand during the forecast period.

• The China Iron and Steel Association has planned to expand its EAF steel production share in the long-term run and is set to reach the target where steel EAF technology should account for over 30% of total crude steel production by 2035.

North America

North America is the second-largest region in the market. The product demand in North America is projected to surge, driven by the growing electric vehicle (EV) market and the need for lithium-ion battery anodes. As synthetic graphite becomes a dominant material in these applications, there will be significant regional market growth during the forecast period. 

• According to the North American Graphite Alliance, the North American region accounts for about 3% of the global graphite reserves.

Europe

Europe is projected to be the second fastest-growing region in the global market. The demand for products comes mainly from refractories. However, the rapidly expanding EV sector is set to become the growth factor of the European market in the forthcoming years.

• According to the ECGA - European Carbon and Graphite Association, the European region imports around 100 kilotons of natural graphite annually, primarily from China, Tanzania, and Mozambique.

Latin America

The Latin American market is expected to grow moderately, driven by the rising demand for electric vehicles (EVs) and energy storage systems. Brazil and Argentina are anticipated to play key roles in the region's growth. Brazil is among the leading areas that have an abundance of graphite reserves, creating a progressive environment for market growth.

Middle East & Africa

The demand for products in the Middle East & Africa is expected to grow due to growth factors such as rising demand for electric vehicles (EVs) and lithium-ion batteries. As synthetic graphite is a key component in battery anodes, product demand is likely to expand from these sectors. Countries, including Saudi Arabia and UAE are exploring and investing in graphite and other battery materials, which will drive regional growth in the coming years.

COMPETITIVE LANDSCAPE

Key Industry Players 

Investment in Graphite Electrode and Battery Grade Graphite to Become a Key Strategy in the Market

The global market is concentrated with companies such as Asbury Carbons, Eagle Graphite, HEG Limited, Imerys S.A., and Mineral Commodities Ltd., accounting for a significant market share. The leading companies are positioned to gain a high generation of revenues due to the surging demand for anode materials for lithium-ion batteries, particularly in electric vehicles (EVs) and in energy sectors; graphite anode is a key material. Major companies in the market are focusing on expanding their manufacturing facilities, investing in research and development, and developing infrastructure to meet the growing demand for the product. Major companies such as Novonix, POSCO Chemical, and others are heavily investing in capacity expansion in response to the increasing demand for lithium-ion batteries, particularly for EVs. 

LIST OF KEY SYNTHETIC GRAPHITE COMPANIES PROFILED

• Asbury Carbons (U.S.)


• EagleGraphite (Canada)


• HEG Limited (India)


• Imerys S.A. (France)


• Mineral Commodities Ltd. (Australia)


• Nacional de Grafite (Brazil)


• Novonix (Australia)


• SGL Carbon (Germany)


• Superior Graphite (U.S.)


• Tirupati Carbons & Chemicals Pvt. Ltd. (India)

KEY INDUSTRY DEVELOPMENTS

• January 2025: NOVONIX Limited and PowerCo SE have signed an agreement under which NOVONIX will supply high-performance synthetic graphite to meet the needs of PowerCo’s electric vehicle battery gigafactories.


• December 2024: HEG successfully expanded its graphite electrode plant's capacity to 100 kilotons. With this expansion, the company will make it the single largest plant in any location in the entire Western world. This expansion will position HEG to yield cost advantages over other large producers.


• January 2024: Graphano Energy Ltd. announced that it has completed its drilling program on its wholly owned Standard and Lac Aux Bouleaux (LAB) Graphite Properties in Quebec. With this exploration, the company is planning to expand its footprint in the global graphite market and to leverage the growing demand generated from electric vehicles.


• July 2023: Graphite One Inc. announced that the company’s wholly owned subsidiary, Graphite One (Alaska), Inc., was awarded USD 37.5 million in a technology investment agreement grant by the U.S. Department of Defense (DoD).


• June 2023: Superior Graphite announced its plan to construct a new anode materials facility with an investment of USD 180 million. The move will enable the company to meet the rising demand for its product from the electronic vehicles and energy storage industries in Europe and North America.

REPORT COVERAGE

The global market research report provides detailed market analysis and focuses on crucial aspects such as leading companies, product types, and applications. Also, the report offers insights into market trends and highlights vital industry developments and the competitive landscape. In addition to the factors mentioned above, the report encompasses various factors that have contributed to the growth of the market in recent years.

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Report Scope & Segmentation