The global graphite market is projected to reach USD 29.05 Billion by 2022, at a CAGR of 5.2% from 2017 to 2022.
Steel, automotive, and aerospace are the key end-use industries of graphite-based products. However, graphite-based composites are also being used in other industries, including marine, sporting goods, pipes & tanks, and construction. Owing to the exceptional property of graphite in supporting large batteries, the demand for graphite for the manufacture of commercially viable electric and hybrid vehicles has increased significantly in the last three to five years. Different grades of graphite are available for specific uses in diverse applications. Thus, the use of graphite in an increasing number of applications is expected to provide growth opportunities for the graphite market in the coming years.
Graphite is widely used in the aerospace industry, as it facilitates the development of lightweight structural parts that help improve fuel efficiency. Graphite has high strength-to-weight capability as compared to traditional aerospace materials, such as metals, and plastics, among others. This enables the production of efficient designs, both structurally and aerodynamically. Aircraft manufacturers such as Boeing and Airbus are increasingly using composites manufactured using graphite. Graphite is also suitable for use in military applications, where high heat tolerance, strength, and rigidity are required.
On the basis of application, the refractory segment led the graphite market in 2016. The growth of this segment can be attributed to the rapid industrial development and the increased demand for graphite from industries, such as automotive, construction, aerospace, and metal production, among others in the region.