At present, the prices of low-sulfur coke and coal tar pitch in the upstream of graphite electrodes have risen slightly, and the price of needle coke is still at a high level. Superimposed on the factors of rising electricity prices, the production cost of graphite electrodes is still high. Downstream of graphite electrodes, domestic steel spot prices have fallen, superimposed by environmental protection restrictions in autumn and winter in the northern region, downstream demand has continued to shrink, steel mills have actively restricted production and stopped production, and under-started operations and weak operations. Graphite electrode market shipments are still mostly based on the implementation of pre-orders. Graphite electrode companies have no inventory pressure. New orders in the graphite electrode market are limited, but the supply side is tight as a whole, and the graphite electrode market prices remain stable.
This week, the domestic graphite electrode market has a strong wait-and-see atmosphere. Towards the end of the year, the operating rate of steel mills in the northern region has dropped due to seasonal effects, while the output of the southern region continues to be restricted due to power restrictions. The output is below normal. Compared with the same period, the demand for graphite electrodes has declined slightly. It also mainly purchases on demand.
In terms of export: Recently, there have been many overseas inquiries, but most of them are for the first quarter of next year. Therefore, there are not many actual orders, and they are mostly wait-and-see. In the domestic market this week, due to the price decline of some petcoke plants in the early stage, the mentality of some traders fluctuates slightly, while other mainstream graphite electrode manufacturers still focus on stability. Towards the end of the year, some manufacturers withdraw funds and sprint performance. Therefore, it is normal for graphite electrode prices to fluctuate slightly.
The major global graphite electrode manufacturers include GrafTech International, Showa Denko KK, Tokai Carbon, Fangda Carbon New Material Technology Co., Ltd., Graphite India Limited (GIL), etc. The top two global graphite electrode manufacturers together account for more than 35% Market share. The Asia-Pacific region is currently the world’s largest graphite electrode market, accounting for approximately 48% of the market, followed by Europe and North America.
In 2020, the global graphite electrode market has reached 36.9 billion yuan and is expected to reach 47.5 billion yuan in 2027, with a compound annual growth rate (CAGR) of 3.5%.
Post time: Dec-27-2021