【Graphite Electrodes】Export Landscape: Russia Tops in Total Exports

Ⅰ. Export Market Analysis

In 2023, China's cumulative graphite electrode imports and exports totaled 297,100 tons, a slight decrease of 0.68% year-over-year, virtually maintaining the export volume level of 2022. 

The primary export destinations for China's graphite electrodes in 2023 were Russia, South Korea, Turkey, India, and Malaysia. Influenced by the Russo-Ukrainian War and EU anti-dumping measures, the proportion of China's graphite electrode exports to Russia increased, while the share to EU countries decreased, leading to fierce competition in the export market.

Ⅱ. Market Forecast

Given the current situation, the Chinese carbon industry has entered a phase of rapid reshuffling (over 2-3 years). Considering the development of the domestic steel market, there is no clear consensus on a demand rebound. It is expected that the demand in overseas markets will gradually increase in 2024, thereby boosting the exports of China's graphite electrodes. This is mainly because the taxation on carbon emissions in Europe is significantly stricter than in China, which will favor the increase in electric arc furnace steel production in Europe. Additionally, lifting export restrictions will expand the downstream market scope for Chinese graphite electrode enterprises, potentially leading to their active participation in overseas markets in 2024.

Ⅲ. Breaking Through

Continuing with low-price competition in the graphite electrode market is unlikely to produce any real winners. While low pricing is an advantage, it should not be the only strategy. In the fiercely competitive domestic market, companies should seek new breakthrough directions, such as improving product quality, developing large-size electrodes, or turning their attention to overseas markets to avoid intense competition on the same dimension. In the wake of industry reshuffling, with survival of the fittest, companies need to be "prepared for a rainy day" and seize opportunities for overtaking on the curve. Follow Us for Insights into the Graphite Electrode Export Market.