(I-BusinessNews.Com, March 20, 2022 ) Special Graphite Market size is expected to be valued at US$1.3 billion by the end of the year 2027 and is set to grow at a CAGR of 10.6% during the forecast period from 2022-2027. The increase in the demand for lithium-ion battery as graphite is a safe and reliable material that provides sufficient energy density for many portable power applications like mobile phones, laptops and others is driving the special graphite market. Other various types of special graphite such as extruded graphite, molded graphite and isotropic graphite is widely used in the electrical & electronics industry and automobile industry, which is hugely driving the special graphite market. Special graphite market is also driven by the industrial development in many developing countries across the globe.
During the Covid-19 pandemic, the special graphite market witnessed a sharp decrease in the growth in terms of production, sales, marketing and distribution. The global shutdown of markets across the countries impacted the special graphite market hugely, which lead to the special graphite market incurring huge losses. The restrictions in the free flow of raw materials and products between other states and countries played a huge toll on the special graphite market. However, the special graphite market saw a considerable amount of growth during the end of year 2020 and is set to improve further during the year 2021.
Special Graphite Market Segment Analysis – By Product Type
Isotropic Graphite held the largest share of 34% in the special graphite market in the year 2021. Isotropic graphite are made with micro particles and isotropic structures which helps in providing a stable and tighter properties to the product. Isotropic graphite possess high reliability, ultra heat resistance, chemical resistance and enhanced electrical conductivity which makes isotropic graphite a most preferred type of special graphite in many key-use industries such as electrical & electronics industry and automobile industry. The rising consumption of electronic devices, leading to the increase in the production of semi-conductors is driving the isotropic graphite in the special graphite market.
Special Graphite Market Segment Analysis – By Application
Semi-conductors segment held the largest share of 36% in the special graphite market in the year 2021. The increase in the use of special graphite in semi-conductors is driving the demand for special graphite from the semi-conductors segment in the market. Special graphite has the ability of conducting electricity while also transferring heat away, which makes it an excellent chemical to be used in semi-conductors in the electrical & electronics market. The global sales of semi-conductors increased at a 6.5% to US $ 439 billion in the year 2020 from the year 2019. This is further driving the demand for special graphite from the semi-conductors segment.
Special Graphite Market Segment Analysis – By End-Use Industry
Automobile industry held the largest share of 40% in the special graphite market in the year 2021. Special graphite is used in various parts of automobile components ranging from battery, brake lines, brake shoes. Special graphite are especially used in electrical vehicles, for its battery and many other components. The sales of electric cars reached 2.1 million units in the year 2019 and registered a year-on-year increase of 40%. The total production of all the vehicles globally stood at 77,621,582 units in the year 2020, and the electric cars accounted for 2.6% of the sales. This will further drive the demand of special graphite market from the automobile industry.
Special Graphite Market Segment Analysis – By Geography
Asia-Pacific region held the largest share of 44% in the special graphite market in the year 2021. The rapid growth of key-use industries such as electronics & electrical industry and automobile industry in countries like India and China coupled with the increase in the population is driving the special graphite market in the Asia Pacific region. For instance, Epsilon Advanced Materials, a leading company supplying synthetic graphite anode materials, in India that aims to producing 5,000 metric tons (t) per year of the material and plans to increase output to 50,000 t by 2025. The firm also expects to spend around $70 million on the expansion, which is majorly driving the special graphite market in the Asia-Pacific region.
Special Graphite Market Drivers
Increase in demand from Foundry & Metallurgy industry
The increase in demand for special graphite from the foundry and metallurgy production is majorly driving the special graphite market. Molded Graphite is used for casting zinc, aluminium and other metals. This is increasing the need and demand for special graphite market. According to World Steel Association, the total production of steel in the year 2020 was 1878 million tonnes, an increase of 0.485% as compared to the production of 1869 million tonnes of steel in the year 2019. There was a slight hike in the production of steel even during the Covid-19 pandemic in the year 2020. This is one of the major factor driving the demand for special graphite as it is used in the form of molded graphite in the foundry and metallurgy industry.
Various government research and initiatives
The various number of government research and initiatives made on the possibility of using special graphite in various products and applications is one of the major factor driving the special graphite market. For instance, according to Defence Materials and Stores Research and Development Establishment (DMSRDE) India, carbographite material is an advanced carbon composite having high strength, high resistance to wear, natural thermal shock resistance properties which is widely used in defence weaponry, rocket nozzles and other products. This is highly driving the use and demand of special graphite in the defence industry. The increase in research and development activities related to special graphite is one of the major factor driving the special graphite market.
The availability of a cheaper and efficient substitute like lithium titanium oxide is a major challenge to the special graphite market. Lithium can be recharged any number of times and is also more stable than graphite. Lithium has higher energy density, voltage capacity and self-discharge properties which makes it an efficient material than graphite. Batteries made with lithium can charge faster and last longer, making it an economical and efficient substitute for graphite which is one of the biggest challenge to the special graphite market.
Special Graphite Industry Outlook
Facility expansion, product launch production expansion, investments, collaborations, partnerships, acquisitions and mergers are some of the key strategies adopted by players in the Special Graphite Market. Major players in the Special Graphite Market are:
Graphite India Ltd.
Tokai Carbon Co. Ltd.
Toyo Tanso Co. Ltd.
Fangda Carbon New Material Co. Ltd.
GrafTech International Holdings Inc.
Triton Minerals Ltd.
Mason Graphite, Inc.
Nippon Carbon among others.
On August 24, 2020 Epsilon launched a new graphite anode material for lithium-ion batteries, which helped the company in diversifying its portfolio and manufacture high performance and quality carbon products for anode components of Lithium Ion Batteries (LiB).
Asia-Pacific market held the largest share in the special graphite market owing to industrial development in the Asia-Pacific countries like India, China and Japan coupled with the growth of the automobile industry and electrical and electronics industry.
The increase in the demand for lithium-ion battery from the automobile industry, electrical industry and other uses like power consumption is driving the special graphite market.
Special graphite is extensively used in the electrical and electronics industry for the manufacture of semiconductors and integrated circuit of various electronic devices.
Though the special graphite market witnessed a decline in the growth during the COVID-19 pandemic in the beginning of the year 2020, but is set to grow in the coming months of the year 2021.
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