The global Needle Coke Market is estimated to be valued at US$ 2.99 Bn or Mn in 2023 and is expected to exhibit a CAGR of 10 % over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Needle coke is a pitch-derived, acicular coke used in the production of graphite electrodes for electric steelmaking and synthetic/ artificial graphite in lithium-ion batteries. It has high electrical and thermal conductivity properties required for various applications.
Market Key Trends:
One of the key trends in the needle coke market is increasing usage in lithium-ion batteries. Over the last decade, the demand for lithium-ion batteries has grown exponentially driven by their use in consumer electronics and electric vehicles (EVs). Needle coke finds major application as anode material in lithium-ion batteries manufacturing. It provides high energy density and durability. With rising EV sales and investments in lithium-ion battery gigafactories, the demand for needle coke from the battery materials industry is expected to grow significantly over the forecast period.
SWOT Analysis:
- Strength: Needle coke has high demand from graphite electrode manufacturers. It has unique properties like stronger mechanical resistance, high electrical and thermal conductivity.
- Weakness: Needle coke production requires high capital investment and involves complex manufacturing processes. Fluctuations in petroleum prices can impact the overall costs.
- Opportunity: Growing steel industry in Asia Pacific is driving the consumption of graphite electrodes. Also, lithium-ion battery market is opening new areas of application of needle coke.
- Threats: Stringent environmental norms regarding emissions during manufacturing. Developing alternatives to graphite electrodes pose threats.
Key Takeaways
The global needle coke market is expected to witness high growth, exhibiting a CAGR of 10% over the forecast period, due to increasing demand from lithium-ion batteries and steel industries. Needle coke is used to make graphite electrodes that are used in electric arc furnaces for steel making. The growing steel industry in developing nations is a key driver.
Regional analysis: Asia Pacific dominated the global market in 2023, accounting for over 40% of the overall demand. China, Japan, and India are the major consumers in the region. The market in Asia Pacific is expected to maintain its lead with rapid infrastructure development and growing electrical vehicle industry.
Key players operating in the needle coke market are Baosteel Group, C-Chem Co. Ltd, China National Petroleum Corporation, ENEOS Corporation, Kaifeng Pingmei New Carbon Material Technology Co. Ltd (KFCC), Mitsubishi Chemical Corporation, Phillips 66 Company, PMS Tech (a joint venture of POSCO Chemtech and Mitsubishi Chemical), Seadrift Coke L.P. (GrafTech International), Shandong Jing Yang Technology Co. Ltd, Shandong Yida Rongtong Trading Co. Ltd, Shanxi Hongte Coal Chemical Co. Ltd, and Sinosteel Corporation.
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