Expandable Graphite Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)

Expandable Graphite Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)
The expandable graphite market is expected to register a CAGR of over 6% during the forecast period. The COVID-19 outbreak has presented a challenging industrial arena for the expandable graphite market. It has slowed demand from key end-user industries such as construction, chemical processing, and automotive due to lockdown measures and supply chain disruptions. Furthermore, the production of electronic components was stopped due to the slowdown in logistics and the unavailability of labor around the world. Key Highlights Over the short term, increasing adoption of expandable graphite as a flame retardant in the construction industry, increasing demand for non-halogenated flame retardants, and growth in the consumer electronics market are expected to increase the global consumption of expandable graphite. Also, growing product adoption in applications such as batteries, coatings, plastic films, rubber products, heating and cooling systems, energy storage systems, and sealing systems is another important factor expected to drive the global market during the forecast period. However, it is estimated that the demand for expandable graphite will decrease shortly due to the limited supply of graphite. China, a leading producer of expanded graphite, faces severe problems in maintaining production due to environmental regulations imposed by the government on graphite mining. Several graphite mines in China have been closed due to the mismanagement of acid treatment water. This supply disruption has increased graphite prices by approximately 20% over the past few years. Furthermore, limited supply and rising prices are also expected to hamper the market. Nevertheless, increasing bans on hazardous refractories such as brominated or asbestos refractories in buildings and gaskets are expected to provide new opportunities for the expanded graphite market. Several countries have banned the production of these hazardous refractories due to their adverse effects on the environment, human health, and life. These bans are expected to provide a significant opportunity for non-toxic and highly refractory expanded graphite in the future. They are likely to create lucrative opportunities over the forecast period. In terms of revenue, Asia-Pacific is expected to dominate the global market during the forecast period.Expandable Graphite Market TrendsThe Flame Retardant Segment is Anticipated to Hold a Significant Share Flame retardant application dominated the market due to its increasing usage in construction, electrical and electronics, and other industries. These sectors progressively use flame-retardant-based materials to meet prevention and fire safety regulations. The Chinese and South Korean governments recommend using flame-retardant building materials in future building structures. China accounts for around 24% of the global demand for flame retardants. Also, strict regulations for building codes for using flame retardants shall augment market growth. The increasing awareness fuels consumers' demand for flame retardants to improve the fire safety of combustible products and materials. Flame retardants in homes and offices reduce the fire risk from electrical and consumer goods. All the above factors are expected to drive the global market during the forecast period.Asia-Pacific Region to Dominate the Market Asia-Pacific dominates the expandable graphite market in terms of market share and market revenue. The region is set to continue its dominance over the forecast period. The growing adoption of expandable graphite in materials processing applications and the growth of the electronics and automotive industries in China shall drive the regional growth over the next five years. China is the world leader in expanded graphite production and graphite mining. In 2020, China produced around 820,000 metric tons of graphite. Currently, China produces about 70% to 80% of the world’s graphite. Also, the Chinese government has banned traditional brominated flame retardants and will further require environmentally safe expandable graphite. All the above factors are expected to drive the global market during the forecast period.Expandable Graphite Industry Overview The expandable graphite market is fragmented in nature. Some major graphite manufacturers in the market include SGL Carbon, AMG Mining AG, Durrans Group, Nacional de Grafite, GrafTech International Ltd., and others.Additional Benefits: The market estimate (ME) sheet in Excel format 3 months of analyst support