The Global Market for Carbon and Graphite is Projected to Reach US$20.1 Billion by 2024
Novel Applications Including
Use in Li-Ion Batteries in the Emerging Electric Vehicle Market to Drive the Global Carbon & Graphite Market, According to a New Report by Global Industry Analysts,
Inc.
GIA
launches comprehensive analysis of industry segments, trends, growth drivers,
market share, size and demand forecasts on the global Carbon and Graphite
market. The global market for Carbon
and Graphite is projected to reach US$20.1 billion by 2024, driven by their
indispensability in the production of a wide range of products in end-use
sectors such as steel, automotive, energy, and aerospace; and emerging new uses
in Lithium ion batteries, electric vehicles, graphene electronics, and carbon
nanostructures.
The
thriving end-use industries such as steel, transportation, electronics,
semiconductor, solar, and petrochemical, among others, drive demand for carbon
and graphite. Industrial manufacturing applications of graphite range from the
humble pencil to the moderate battery coating application, and ultimately to
the highly complex hot forging lubricants and electric arc furnace steel
production. Graphite electrodes are extensively used in the production of
steel. The state of the steel industry therefore is a major factor deciding the
pace of market growth for graphite. Furthermore, metallurgy operations create
sustained demand for graphite.
Many
technological advancements of the world created newer markets for graphite as
well. Lithium ion battery manufacture is one such major and rapidly growing
application for graphite. Synthetic graphite and natural flake graphite
represent one of the core raw materials used in Lithium ion batteries, which
find increased usage in electric vehicles (EV). The booming EV market worldwide
is anticipated to emerge as a key growth driver for the global market for
graphite in the coming years. Other end uses include graphene, fuel cells,
solar panels and pebble-bed nuclear reactors. The evolving demand from batteries
used in electric vehicles and base-load battery storage, and the advent of
smaller nuclear reactors are expected to stimulate
graphite demand in the coming years. Owing to its use in many energy-related
applications, graphite has also been identified as a critical and strategic
mineral by several governments.
However,
China’s dominance in graphite started declining in 2017 with the country’s
government imposing closures on plants, in a move to minimize pollution and
inefficiencies. China also shifted to the EAF steelmaking method and started
consuming more graphite electrodes domestically. This negatively impacted
Chinese exports to the world and prices of graphite electrodes shot up
worldwide. The same trend is expected for 2018 and beyond. Because of supply
uncertainty from the Chinese market and graphite electrode prices shooting up
globally, steel production is likely to take off from other countries. Supply
constraints are also leading to lesser demand of steel overall. The emergence
of other strategic end-use markets such as batteries for graphite electrodes
also would support this shift. Further,
with carbon emerging into a key ingredient in the field of nanotechnology, the
growing production of fullerenes, buckyballs and carbon nanotubes (CNTs) will spur growth in the
market.
Sales
of EVs have been rapidly increasing globally since 2014, which hints at a
market with very high growth potential for graphite. EVs are expected to make
up for about 5% of the global light vehicles demand by the year 2020. However,
currently only a small percentage of graphite that is produced worldwide
actually goes into the manufacturing of Lithium ion batteries for EVs. Though
fast growing, it is a miniscule application currently. In addition, enough
global supply capacity is lacking for flake graphite, which is used in
batteries. This highlights the urgent need for existing as well as new miners
to expand capacities and be ready to tackle a potentially robust Li-ion battery
market, which would demand large amounts of the mineral.
As
stated by the new market research report on Carbon and Graphite, Asia-Pacific represents
the largest market worldwide, led by steady economic growth, sustained demand
from developing aerospace and automotive sectors, and increasing investments in
nanotechnology and fuel cells research. Steady growth in demand for steel and
other metals is also contributing to the sustained demand for graphite
electrodes in the region. Rest of World represents the fastest growing market,
however, on account of newer graphite mines being discovered in the East
African region, coupled with graphite supply constraints from Asia-Pacific.
Major
players in the market include Cabot Corporation, Solvay S.A., GrafTech
International Holdings Inc., HEG Ltd., Hexcel Corporation, Mersen S.A.,
Mitsubishi Chemical Holdings Corporation, Mitsubishi Chemical Carbon Fiber and
Composites, Morgan Advanced Materials plc, Nippon Carbon Co. Ltd., Orion
Engineered Carbons LLC, SGL Group – The Carbon Company, Showa Denko K.K, Showa
Denko Carbon Inc., Superior Graphite, Teijin Ltd., Tokai Carbon Co. Ltd., Toray Industries
Inc., and ZOLTEK™ Carbon Fiber, among others.
The
research report titled “Carbon and Graphite: A
Global Strategic Business Report” announced by Global Industry Analysts Inc.,
provides a comprehensive review
of market trends, issues, drivers, mergers, acquisitions and other strategic
industry activities of global companies. The report provides market estimates
and projections for all major geographic markets such as the US, Canada, Japan,
Europe (France, Germany, Italy, UK, Spain, Russia and Rest of Europe),
Asia-Pacific (China, India, and Rest of Asia Pacific), Latin America (Brazil,
Mexico, and Rest of Latin America) and Rest of World. The Carbon and Graphite
market is analyzed by the following Product Categories/Segments – Carbon &
Graphite Electrodes (Carbon Electrodes and Graphite Electrodes), Carbon &
Graphite Fibers, Carbon & Graphite Powder and Others. The Carbon &
Graphite Fibers market is additionally analyzed by the end-use sectors of
Industrial, Aerospace, and Others (Including Automotive, Sporting Goods, and
Wind Energy Sector among Others).
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enquiries e-mail us at rsd@strategyr.com or info411@strategyr.com.
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