Graphite is an excellent conductor of heat and electricity and also has the highest strength of any natural material. However, it wasn’t until recently that the metal began to gain popularity.
Interest in graphite mining is increasing in large part because lithium-ion batteries are becoming more common. These batteries are used in everything from phones to electric vehicles (EVs), and graphite is one of their key raw materials. Both synthetic and natural graphite, in the form of the intermediate product spherical graphite, are products that are used in the anodes of lithium-ion batteries. As lithium-ion battery demand grows, graphite demand is also expected to rise from nations around the world.
In fact, despite discussions on changes in lithium-ion battery chemistry, many experts think graphite will remain a key raw material in EV batteries for at least the next decade. Hence, demand for graphite from the battery anode segment is set to experience significant growth as electric car sales and the energy storage trend continue.
Graphite is found in metamorphic and igneous rock in many regions of the world, but especially Asia and East Africa.
Natural graphite mine production: 1.23 million metric tons; graphite reserves: 78 million metric tons
China was the world’s largest graphite producer in 2023, producing 1.23 million metric tons of the metal, 50 percent higher than the amount it produced in 2021. According to the USGS, the country accounted for about 77 percent of world graphite mine supply last year. Around 85 percent of its 2023 production was in the form of flake graphite.
China’s stranglehold on the graphite market was strengthened by its quick graphite production recovery after COVID-19 shutdowns. The country’s government policies can have a dramatic impact on prices for the material.
Natural graphite mine production: 100,000 metric tons; graphite reserves: 24 million metric tons
Madagascar produced 30,000 MT less graphite in 2023 than it had in previous year, but managed to take the number two spot. The East African nation took third place in 2022 after rising from the fifth spot in 2021. The African nation also has the fourth largest graphite reserves. The USGS states that large graphite deposits are being developed in this island country.
Natural graphite mine production: 96,000 metric tons; graphite reserves: 25 million metric tons
Natural graphite mine production: 73,000 metric tons; graphite reserves: 74 million metric tons
Brazil’s ranking among the top graphite producing countries has slipped in recent years. The South American nation was the world’s second largest graphite producer in 2021 with output of 82,000 MT during the period. Brazil’s 2022 graphite-mining output decreased by 10,000 MT from the previous year at the same time as Madagascar and Mozambique saw much larger gains in their graphite production. In 2023, output from Brazil’s graphite mines ticked up slightly by 1,000 MT to 73,000 MT for the year.
Natural graphite mine production: 27,000 metric tons; graphite reserves: 1.8 million metric tons
South Korea, officially the Republic of Korea, made it onto this list of the top graphite-producing countries fairly recently after it increased its output from 10,500 MT of graphite in 2021 to 23,800 MT in 2022. South Korea’s graphite output increased further in 2023 to 27,000 metric tons of the strategic commodity.
Natural graphite mine production: 16,000 metric tons; graphite reserves: 14 million metric tons
In 2023, Russia retained its title of sixth largest graphite producer, although its output remained flat from the previous year. Prior to its war with Ukraine, the country was expected to significantly increase its production at operations owned by Dalgraphite and Uralgraphite.
Natural graphite mine production: 11,500 metric tons; graphite reserves: 8.6 million metric tons
India’s graphite output in 2023 came to 11,500 metric tons, a jump of 500 MT over 2022’s amount. The country’s reserves vary widely from state to state, with Arunachal Pradesh holding nearly half of India’s graphite reserves.
Natural graphite mine production: 8,100 metric tons; graphite reserves: 2 million metric tons
North Korea’s total graphite output last year came to 8,100 metric tons, on par with the last few years. The country’s reserves of the commodity stand at 2 million MT. Little further information is available on graphite mining in North Korea.
Natural graphite mine production: 7,200 metric tons; graphite reserves: 600,000 metric tons
Norway’s graphite output rose from 6,290 MT in 2021 to 10,380 MT in 2022. However, 2023 saw a dramatic drop back down to 7,200 metric tons of graphite for Norway.
Natural graphite mine production: 6,000 metric tons graphite reserves: 18 million metric tons
Rounding out the top 10 graphite producing countries is Tanzania, which produced 6,000 metric tons of the material in 2023. The East African country is also home to the world’s fifth largest graphite reserves at 18 million MT.
Securities Disclosure: I, Melissa Pistilli, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: NextSource Materials and South Star Battery Metals are clients of the Investing News Network. This article is not paid-for content.
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