Artificial graphite electrodes are primarily used in electric arc furnace (EAF) steelmaking, serving as a crucial high-temperature conductive material. They are also widely applied in the aluminum industry, electrolytic cells, and chemical equipment as conductive and heat-resistant components. 

【Graphite】U.S. Department of Commerce Imposes 93.5% Anti-Dumping Duty on Chinese Graphite, Total Tariffs Reach 160%

Source | Compliance Insights Practice

On July 17, the U.S. Department of Commerce announced a preliminary anti-dumping duty of 93.5% on anode-grade graphite imported from China, following a determination that these materials—critical for EV batteries—were being sold in the U.S. at less than fair market value.

According to a factsheet issued by the Commerce Department, a uniform anti-dumping rate of 93.5% will apply to all Chinese producers, and deposits will be collected at that rate.

The Commerce Department stated that the order affects $347.1 million worth of imports in 2023. The duty applies to anode-grade graphite materials with at least 90% carbon content by weight, including synthetic graphite, natural graphite, or a mixture of both.

Back on May 20, the U.S. Department of Commerce also launched a parallel countervailing duty investigation on Chinese anode-grade graphite. A preliminary decision imposed a 6.55% countervailing duty on most producers. However, Huzhou Kaijin New Energy Technology Corp and Shanghai Shaosheng Knitted Sweat (sic) were levied extraordinarily high rates of 712.03% and 721.03%, respectively.

The final anti-dumping and countervailing duties are expected to be confirmed and collected by December 5, 2025.

The petitioners in the case are members of a U.S. graphite producer trade coalition, consisting of domestic companies including:

1. Anovion Technologies (Sanborn, NY)

2. Syrah Technologies LLC (Vidalia, LA)

3. Novonix Anode Materials (Chattanooga, TN)

4. Epsilon Advanced Materials (Leland, NC)

5. SKI US Inc. (Marietta, GA)

The imposition of these tariffs is expected to intensify tensions within the global EV supply chain.

According to the petitioning organization Active Anode Material Producers of America, the new duty will add to existing tariffs, bringing the effective rate to approximately 160%.

Sam Adham, Head of Battery Materials at consulting firm CRU Group, commented that these duties will hit battery manufacturers hard, estimating a $7 increase per kWh in battery costs—about one-fifth of the EV battery production tax credit granted under the Inflation Reduction Act, which survived in Trump's budget proposal.

Major EV players like Tesla and its battery supplier Panasonic have lobbied against the tariffs, arguing that they rely on Chinese graphite due to insufficient U.S. capacity that cannot yet meet automakers' quality and volume requirements.

Graphite is a critical raw material for battery anodes. Last year, the U.S. imported nearly 180,000 metric tons of graphite products, with about two-thirds sourced from China.

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