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Graphite Market will Register a Staggering 11.1% CAGR by 2026

09-22-2017 12:06 PM CET | Advertising, Media Consulting, Marketing Research

Press release from: Future Market Insights

Graphite Market will Register a Staggering 11.1% CAGR by 2026

Global sales of graphite is estimated to be valued at US$ 14,690 Mn by the end of 2016, witnessing a Y-o-Y growth of 9.0% over 2015. Asia Pacific excluding Japan (APEJ) will continue to remain a key region, with its revenue share of the global market expected to be 35.5% in 2016.

Demand for lithium-ion batteries in electric vehicles and other electronic devices is expected to significantly drive growth of the graphite market in 2016 and beyond. Rising energy demand across the globe is driving installation of various novel energy production sources such as nuclear pebble bed reactors. Graphite is used an electrode in such reactors.

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On the basis of product type, synthetic graphite segment will continue to find favour among end-use industries. This is mainly attributed to its high demand and relatively high cost as compared to natural graphite. Slowdown of mining activities in China is anticipated to drastically lower production of natural graphite. This in turn is expected is expected to drive demand for synthetic graphite in the long run. Vein graphite sub-segment is anticipated to expand at a CAGR of 6.3% in terms of volume over the forecast period. Vein graphite is available in Sri Lanka and increasing mining in this country is expected to witness significant growth of this sub-segment during the forecast period.

On the basis of application, refractories segment is anticipated to dominate the market in terms of value and volume. This segment is expected to account for 42.2% volume share in 2015. Batteries segment is anticipated to witness robust growth in terms of value and volume over the forecast period. In terms of volume, the batteries segment was pegged at 134,400 tonnes in 2015.

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North America and Western Europe are estimated to collectively account for 22% value share in the global graphite market by the end of 2016. The commencement of gigafactory of Tesla Motors Inc. in 2017 for production of electric cars is in turn expected to significantly increase demand for graphite. In 2015, China was the largest producer of graphite, accounting for over 70% share of global production.

Key players in the global graphite market include SGL Carbon SE, Showa Denko K.K., AMG Advanced Metallurgical Group N.V., Graphite India Limited, Toyo Tanso Co., Ltd., SEC Carbon Ltd., Tokai Carbon Co., Ltd., HEG Ltd., GrafTech International Limited.

Long-term Outlook: The long-term outlook on the global graphite market remains positive, with market value expected to increase at a CAGR of 11.1% during the forecast period. Among product types, synthetic graphite segment is expected to expand at a significant CAGR in terms of value over the forecast period. Among applications, batteries segment is anticipated to witness highest CAGR in terms of value over the forecast period.

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Future Market Insights is the premier provider of market intelligence and consulting services, serving clients in over 150 countries. FMI is headquartered in London, the global financial capital, and has delivery centers in the U.S. and India.

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