Carbon and Graphite Product Global Market Opportunities and Strategies to 2033

This report describes and explains the carbon and graphite product market and covers 2018-2023, termed the historic period, and 2023-2028, 2033F termed the forecast period. The report evaluates the market across each region and for the major economies within each region.

The global carbon and graphite product market reached a value of nearly $26.4 billion in 2023, having grown at a compound annual growth rate (CAGR) of 3.9% since 2018. The market is expected to grow from $26.4 billion in 2023 to $35.7 billion in 2028 at a rate of 6.2%. The market is then expected to grow at a CAGR of 6.7% from 2028 and reach $49.4 billion in 2033.

Growth in the historic period resulted from the strong economic growth in emerging markets, government initiatives, growth in consumer electronics manufacturing and rise in disposable income. Factors that negatively affected growth in the historic period were limited availability of high-quality graphite and stringent government rules.

Going forward, rising demand for renewable energy, increasing demand from electric vehicles (EVs), growing applications in the semiconductor industry and increasing number of commercial aircraft will drive the growth. Factor that could hinder the growth of the carbon and graphite product market in the future include fluctuations in raw material prices.

The carbon and graphite product market is segmented by product into carbon & graphite electrodes, carbon & graphite fibers, carbon & graphite powder and other products. The carbon & graphite electrodes market was the largest segment of the carbon and graphite product market segmented by product, accounting for 46.3% or $12.2 billion of the total in 2023. Going forward, the carbon & graphite powder segment is expected to be the fastest growing segment in the carbon and graphite product market segmented by product, at a CAGR of 7.6% during 2023-2028.

The carbon and graphite product market is segmented by application into logistics, chemical, food and beverages and other applications. The logistics market was the largest segment of the carbon and graphite product market segmented by application, accounting for 36.1% or $9.5 billion of the total in 2023. Going forward, the chemical segment is expected to be the fastest growing segment in the carbon and graphite product market segmented by application, at a CAGR of 7.1% during 2023-2028.

The carbon and graphite product market is segmented by end-user into industrial, aerospace and other end-users. The industrial market was the largest segment of the carbon and graphite product market segmented by end-user, accounting for 62.7% or $16.5 billion of the total in 2023. Going forward, the aerospace segment is expected to be the fastest growing segment in the carbon and graphite product market segmented by end-user, at a CAGR of 7.4% during 2023-2028.

Asia Pacific was the largest region in the carbon and graphite product market, accounting for 41.1% or $10.8 billion of the total in 2023. It was followed by North America, Western Europe and then the other regions. Going forward, the fastest-growing regions in the carbon and graphite product market will be Asia Pacific and North America where growth will be at CAGRs of 7.1% and 6% respectively. These will be followed by Western Europe and Eastern Europe where the markets are expected to grow at CAGRs of 5.8% and 5.3% respectively.

The global carbon and graphite product market is fairly fragmented, with a large number of small players operating in the market. The top ten competitors in the market made up to 22.07% of the total market in 2022. Solvay was the largest competitor with 6.75% share of the market, followed by SGL Carbon SE with 3.82%, Hexcel with 2.51%, Tokai Carbon Co., Ltd. with 2.06%, Cabot with 1.72%, Toray Industries, Inc. with 1.35%, Mitsubishi Chemical Group Corporation with 1.21%, HEG Limited with 1.08%, Orion Engineered Carbons, LLC. with 0.81%, and GrafTech International with 0.77%.

The top opportunities in the carbon and graphite product market segmented by product will arise in the carbon & graphite electrodes segment, which will gain $3.9 billion of global annual sales by 2028. The top opportunities in the carbon and graphite product market segmented by application will arise in the logistics segment, which will gain $3.4 billion of global annual sales by 2028. The top opportunities in the carbon and graphite product market segmented by end-user will arise in the industrial segment, which will gain $5.3 billion of global annual sales by 2028. The carbon and graphite product market size will gain the most in China at $2.7 billion.

Market-trend-based strategies for the carbon and graphite product market include introduction of innovative carbon fiber products to reduce environmental footprints, increasing investments to expand production capacities, introduction of carbon black solutions with enhanced strength and strategic partnerships among market players to leverage resources.

Player-adopted strategies in the carbon and graphite product market include focus on partnerships and collaborations to expand its product portfolio, expanding business capabilities through investments from the government and product launches, building a new carbon black production facility for graphite products and improving portfolio through acquisitions of plants or manufacturing facilities.

To take advantage of the opportunities, the analyst recommends the carbon and graphite product companies to focus on innovation in carbon fiber products for sustainable growth, focus on strategic investments for sustainable growth, focus on introducing enhanced carbon black solutions for market expansion, focus on the carbon & graphite powder segment, expand in emerging markets, continue to focus on developed markets, focus on strategic partnerships, provide competitively priced offerings, focus on refining pricing strategies for market success, continue to use B2B promotions, emphasize educational content in promotional strategies and focus on the chemical application segment.