Rapid Expansion Foreseen for the Synthetic Graphite Market, Projected at a Compound Annual Growth Rate (CAGR) of 6.3%

Synthetic Graphite Market Poised for Growth

The synthetic graphite market is set to experience steady growth over the coming years, with a compound annual growth rate (CAGR) of around 6.8% to 7%. This projection, according to various sources, will see the market value rise from its current size of approximately USD 3.19 billion in 2024, to close to USD 8.9 billion by 2025.

This growth is primarily driven by the surge in Electric Vehicle (EV) battery production, supported by policy incentives, industrial demand in metallurgy, and improvements in production technologies.

EV Batteries and Energy Storage

The rising adoption of EVs and associated lithium-ion battery production is the most significant driver. Synthetic graphite, with its excellent conductivity, performance, and consistency, serves as a critical anode material in these batteries. Government incentives, such as the US Inflation Reduction Act, and regional investments are fostering localized production to reduce reliance on foreign graphite, particularly from China. Major investments in synthetic graphite production facilities and partnerships are underway to support this demand.

Industrial Applications

Synthetic graphite demand is also propelled by its role in refractories, foundries, and metallurgical applications such as electrodes for steel and aluminium production. The shift toward electric arc furnaces (EAFs) for greener steelmaking has increased consumption of synthetic graphite granules in electrode manufacturing.

Technological Advancements

Improvements in manufacturing and graphitization processes are enhancing synthetic graphite quality while reducing production costs, further supporting market expansion.

Regional Market Dynamics

Asia Pacific currently dominates the market due to growing aerospace and electric vehicle sectors in China and India. Meanwhile, North America is intensifying investment in synthetic graphite production in response to supply chain localization efforts and policy support.

Supply Chain and Trade Factors

Tariffs on Chinese graphite imports by the US have created opportunities for non-Chinese producers like Syrah Resources to expand market share, impacting the global supply landscape.

Key Players

Major players in the synthetic graphite market include Mason Resources Inc., which rebranded in late 2023 and expanded its strategic focus on sustainable graphite materials, securing binding offtake agreements with Panasonic Energy and General Motors. In 2025, Graphit Kropfmühl launched a high-purity synthetic graphite product tailored for lithium-ion battery anodes. Imerys is investing in scaling its new graphite material production in Europe and North America to serve growing demand from electric vehicle battery manufacturers.

Regional Breakdown

In 2024, consumer electronics held the largest share, accounting for 34.9% of the global synthetic graphite market. However, Asia-Pacific led with a 42.9% share and a value of approximately USD 3.0 billion. The global synthetic graphite market is projected to grow from USD 7.1 billion in 2024 to USD 13.1 billion by 2034, with a compound annual growth rate (CAGR) of 6.3% from 2025 to 2034.

In the steel industry, synthetic graphite is used as a carbon raiser and for lining furnaces, and its thermal stability and resistance to corrosion make it suitable for high-temperature processes such as electric arc furnaces. Asbury Carbons was acquired by private equity firm Mill Rock Capital in early 2024 to expand its engineered graphite and carbon solutions portfolio.

China contributes over 65% of global synthetic graphite production, backed by abundant raw materials, mature processing infrastructure, and government incentives for battery manufacturing.

Rechargeable batteries dominated the global synthetic graphite market in 2024, capturing a 39.1% share. In 2024, high-purity graphite accounted for 59.3% of the global synthetic graphite market by grade.

In summary, the synthetic graphite market is poised for steady growth at a CAGR near 7%, mainly driven by the surge in EV battery production, supported by policy incentives, industrial demand in metallurgy, and improvements in production technologies.

The surge in renewable-energy sector, particularly electric vehicles (EVs), is driving the growth in the synthetic graphite market.
Synthetic graphite, known for its excellent conductivity and performance, is the critical anode material in lithium-ion batteries used in EVs.
Industrial demands in metallurgy, such as refractories, foundries, and electrodes for steel and aluminum production, are also fueling the growth in the synthetic graphite industry.
Investments in synthetic graphite production facilities and partnerships are underway to support the demand from the EV and industrial sectors.
The shift towards sustainable-living and renewable-energy is increasing the consumption of synthetic graphite in the housing-market, particularly in greener steelmaking methods using electric arc furnaces (EAFs).
Advancements in technology, like improvements in manufacturing and graphitization processes, are making synthetic graphite more cost-effective while enhancing its quality, supporting market expansion.
The American football industry, such as NFL and NCAA, might witness the use of synthetic graphite in sports-betting, considering its potential to create a new avenue for data-and-cloud-computing applications to analyze football games.
Education-and-self-development platforms can leverage online-education and lifelong-learning opportunities by incorporating synthetic graphite into their curriculum, teaching students about its applications in renewable-energy and sustainable-living.
As renewable-energy becomes more integral to the global energy mix, there's an opportunity for businesses to explore investments in the synthetic graphite market as a long-term strategy.
In the future, the football-playing lifestyles of Americans might intersect with renewable-energy and sustainable-living, thanks to the diverse applications of synthetic graphite, from EV batteries to sports-betting technology.
The NFL and NCAA can collaborate with sustainable-living organizations to promote synthetic graphite production facilities near their stadiums, contributing to supply chain localization efforts and generating economic benefits for the host communities.
The growth in the synthetic graphite market is likely to create job opportunities in the energy, technology, and real-estate sectors, particularly in areas with a strong presence in renewable-energy, education-and-self-development, sports, and housing-market.

Rapid Expansion Foreseen for the Synthetic Graphite Market, Projected at a Compound Annual Growth Rate (CAGR) of 6.3%