NEW YORK, Feb. 24, 2021 /PRNewswire/ — The global graphite market is predicted to witness a 7.4% CAGR between 2020 and 2030 to reach $36,889.1 million in 2030 from $19,092.9 million in 2019, according to P&S Intelligence. This would be a result of the increasing demand for lithium-ion (Li-ion) batteries, which is itself a result of the rising sales of electric vehicles (EVs). Due to the increasing awareness regarding carbon emissions and the depleting fossil fuel reserves, governments around the world are offering their support for EVs.
The increasing demand for Li-ion batteries is propelling the graphite market because the anode (negative terminal) of such energy storage devices is made of graphite. Compared to lithium, such batteries need up to 20 times more graphite, as more graphite means availability of more current to flow between the two terminals. Li-ion batteries for hybrid electric vehicles require 10 kg, while for a battery electric vehicle (BEV), 70 kg of graphite is required.