【Analysis】Prediction and analysis of market scale and future development prospect of China 's graphite electrode industry in 2023

Market Size

Graphite electrodes are the only material with low resistivity and resistance to thermal gradients in electric arc furnaces. The main characteristics of graphite electrode production are long production cycle, large power consumption and complex production process. The data show that China's graphite electrode production reached 938,400 tons in 2021 and is expected to reach 1,089,400 tons in 2023.

Future Development Prospect

1.Strict environmental regulations and policies drive industry development

In recent years, the Chinese government has enacted a series of regulations and policies to accelerate technological innovation among graphite electrode manufacturers, with the aim of promoting industrial consolidation and eliminating outdated production capacity. Affected by the policy, Chinese graphite electrode manufacturers who fail to meet environmental requirements will be required to shut down their production facilities, which will benefit the leading graphite electrode manufacturers with environmentally friendly production processes and the ability to manufacture high quality graphite electrodes, helping them to further increase their market share and enhance their competitiveness in the market. 

2.Stable environment for industrial development

Industrial development in China has contributed to the steady development of graphite electrode downstream applications, such as electric arc furnace steelmaking market, industrial silicon market and yellow phosphorus market. Therefore, stable industrial development is one of the motivations of the graphite electrode market in China.

3.Advanced and mature technology

Technological innovation has greatly contributed to the industrial transformation and upgrading of China's graphite electrode industry. Most graphite electrode manufacturers, especially some industry leaders, focus on applying environmental technologies to graphite electrode production. Advanced and mature technology is important for manufacturing high quality graphite electrodes and reducing the energy consumption in the production process of graphite electrodes. Therefore, advanced and mature technologies are beneficial for the healthy development of the graphite electrode market in China.