Albany, NY -- (ReleaseWire) -- 07/07/2014 -- After 2006, the rapid rise of the global PV industry quickly broke the original supply and demand equilibrium of the isostatic graphite market and made the supply become increasingly tight. In this context, isostatic graphite giants in America, Japan, Europe or other countries and regions started investing heavily to expand their production capacity, easing the shortage of market supply. In 2013, with the increased support and investment in PV industry in China, the global isostatic graphite supply and supply gap widened to 1,500 tons.
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China has been a hot investment spot for isostatic graphite sector and the most important consumer market of isostatic graphite in the world. In recent years, with the rapid development of Chinese photovoltaic industry, China's isostatic graphite demand is increasing year after year. In 2013, China's demand for isostatic graphite exceeded 25 kt, while output during the same period was merely less than 20 kt, the supply and demand gap being about 5 kt.
At the same time, due to the weak technical capability of domestic Chinese isostatic graphite enterprises and the technical blockage put up by foreign enterprises, the output and quality of isostatic graphite manufactured by Chinese companies have not been improved much. At present, the new Chinese entrants into isostatic graphite sector generally lack of technical reserves and have unreasonable product structure and other problems, and these problems are hard to be addressed in the short term. Therefore, in the next few years, the market supply of high-end large size and fine-structure isostatic graphite in China will remain tight.
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Foreign isostatic graphite is mainly produced by Japanese TOYO TANSO, French Mersen Group and German SGL Group, all of which have production bases in China.
TOYO TANSO is the world's largest isostatic graphite manufacturer with isostatic graphite plants in Shanghai and Jiaxiang County, Shandong Province. Along with the commissioning of its 4 kt/a isostatic graphite production line in Japan at the end of 2013, its total output of isostatic graphite products had reached 15 kt/a.
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