China graphite electrode market is segmented by grade (regular power [RP], high power [HP], and ultra high power [UHP]); by diameter (small [up to 400 mm], medium [450–550 mm], and large [600 mm and above]); by raw material route (needle coke-based and petroleum coke-based); and by application (EAF scrap-based steel, ladle furnace and refining in blast furnace mills, silicon, ferroalloy and other submerged-arc furnaces, and others [specialty, non-steel]).

The China graphite electrode market is estimated at USD 708 million in 2026 (USD 680 million in 2025) and is projected to reach USD 1,058 million by 2036, registering a compound annual growth rate of approximately 4.1%. China is the world’s largest producer and exporter of graphite electrodes, with output of roughly 732,000 tonnes in 2025 and about 48% of it shipped abroad, yet electric-furnace steel accounts for only about a tenth of national crude steel output, so home demand remains far below what the scale of the steel industry would suggest.

Domestic conditions have been soft. Crude steel production fell below one billion tonnes in 2025, down 4.4%, and EAF output slipped almost 10% year on year in January–February 2026 as thin margins and weak construction demand cut furnace utilisation. Electrode makers have leaned on exports to fill the gap, and exports are now where policy risk is concentrated.
The outlook for China graphite electrode demand turns on three questions: whether the EAF push under the 15th Five-Year Plan finally lifts furnace utilisation, whether producers can redirect exports as duty barriers spread, and whether firmer prices overseas feed through to a domestic market that is still weak.

China Graphite Electrode Market: 2025

China Graphite Electrode Market Growth Drivers
EAF share targets. Beijing aimed for a 15% EAF share by 2025 and missed it, with the share stuck near 10% for over a decade. The goal for 2030 is 20%. Each additional percentage point of EAF share equals roughly 10 million tonnes of steel, which indicatively means 15,000–20,000 tonnes of extra annual electrode demand.
Scrap supply. Restrictions on mixed shipments of imported scrap were removed in June 2025, and the 15th Five-Year Plan targets domestic scrap collection and processing of 300 million tonnes a year by 2030. Weak scrap prices in mid-2026 are already helping EAF economics, and a deeper scrap pool is the pre-condition for any sustained rise in electric-route output.
Output control and capacity replacement. Limits on crude steel output and the retirement of older blast furnaces favour modern, larger EAFs that use UHP electrodes, and shift demand towards higher-value grades even where total tonnage is flat.
Cleaner power. The plan gives priority to renewable electricity and scrap for EAF plants. Power cost is the main reason Chinese EAFs run at a disadvantage to blast furnaces, so cheaper green power would raise utilisation directly.
Non-steel and refining demand. Ladle furnace refining inside integrated mills and demand from silicon and other submerged-arc users give electrode producers a base of consumption that does not depend on the EAF share.

Policy, Trade and Cost Factors Shaping the China Graphite Electrode Industry
Export exposure. With over half of output sold abroad, Chinese producers are directly exposed to duties. The US has set a preliminary countervailing rate of 103.49% for non-responding producers, with final determinations due in early December 2026, and Japan applies a 95.2% anti-dumping duty. The Middle East, a key export destination, is also constrained by conflict-related shipping disruption.
Export controls. Enhanced graphite export controls on the US are suspended until 27 November 2026. Their return, or any extension of controls to related materials, would affect overseas customers’ sourcing choices and could invite further trade measures against Chinese electrodes.
Prices. In May 2026, UHP electrodes in Jiangsu averaged Yuan 16,467 per tonne for 350 mm and Yuan 17,756 per tonne for 600 mm, including 13% VAT, up about 3% month on month. At around USD 2,400 per tonne for the smaller size, Chinese UHP sits well below Western realised prices near USD 4,100.
Raw material and power costs. Petroleum coke fell to a five-month low in late May as energy prices eased, giving producers some cost relief. Graphitisation is power-hungry, so producers favour regions with cheaper electricity, and any rise in coke or power costs squeezes margins quickly because domestic pricing power is limited.

Key China Graphite Electrode Market Trends and Insights
Exports are the balancing valve
When domestic mills cut furnace runs, electrodes flow abroad; when overseas barriers rise, those tonnes return to a weak home market and press on domestic prices. China’s role as the market’s swing supplier means that every new trade case elsewhere is also a domestic pricing event.
The price gap drives the trade cases
The distance between Chinese UHP prices and Western realised prices is the commercial reason behind anti-dumping and countervailing cases. It will only narrow if Chinese producers lift prices, which weak home demand makes difficult, or if Western producers hold discipline.
Cost relief without a margin recovery
Cheaper coke helped producers in spring 2026, but domestic steel mills were heading into the summer lull and slowing raw material purchases. The result is thin margins even when input costs fall, which favours integrated producers with their own graphitisation capacity.
Battery anodes compete for the same inputs
Synthetic graphite exports ran between roughly 37,500 and 50,000 tonnes a month in spring 2026, driven by battery anode demand. Anode makers compete with electrode producers for graphitisation capacity and premium coke, and this will matter more as UHP electrode makers try to expand.
EAF recovery depends on utilisation, not new furnaces
EAF utilisation fell from about 59% in 2021 to under 49% in the first half of 2025, while blast furnaces ran near 89%. For electrode demand, raising utilisation of the existing EAF fleet is a bigger and faster lever than building new furnaces, and it depends on power costs and scrap prices more than on climate targets.

China Graphite Electrode Market Segment-wise Analysis
By Grade and Diameter
UHP electrodes in diameters from 350 mm to 650 mm are the core of the export business and of demand from newer, larger furnaces. HP and RP grades serve smaller EAFs, ladle furnaces and the many private mills where price matters most. Larger diameters carry a premium of roughly 8% over the 350 mm size in Jiangsu, and are where Chinese producers compete most directly with Western and Indian exporters.
By Application
Scrap-based EAFs account for the largest share of rising demand, but because only about a tenth of Chinese steel is electric, ladle furnace refining in blast furnace mills is an unusually large source of consumption compared with other major steel producers. Silicon, ferroalloy and specialty users add smaller volumes.
By Sales Channel and Destination
Large state and private steelmakers buy through tenders and framework contracts, while smaller mills rely on regional distributors and spot purchases. Exports move through direct contracts and trading companies, with the Middle East, Southeast Asia and other open markets absorbing more as duty-protected markets close.
By Region
Production is concentrated in northern, north-eastern and central provinces with established carbon industry clusters, while graphitisation has moved towards areas with cheaper power. Demand comes mainly from eastern and southern coastal provinces, where scrap-based EAFs and ladle refining are densest.

China Graphite Electrode Market Competitive Landscape
The domestic industry is led by a few large producers, including Fangda Carbon, Jilin Carbon, Kaifeng Carbon and Fushun Carbon, alongside a long tail of smaller regional manufacturers. Competition is mainly on price, and the leaders differentiate through UHP quality, large-diameter capability and overseas customer approvals.
The US case shows the commercial cost of staying outside trade proceedings: non-responding producers face the highest preliminary rate. Participation in investigations, along with diversified destinations and compliance documentation, has become a core competitive requirement for any Chinese exporter.
Over the forecast period, market share is likely to move towards producers with scale in UHP, secure coke supply and access to low-cost power, while smaller, export-dependent manufacturers are the most vulnerable to duties and weak domestic prices.

China Graphite Electrode Market Segmentation
Consumption, production, imports and exports from 2026 to 2036 are segmented as follows.
By Grade
•    Regular power (RP)
•    High power (HP)
•    Ultra high power (UHP)
By Diameter
•    Small (up to ~400 mm)
•    Medium (~450–550 mm)
•    Large (600 mm and above)
By Raw Material Route
•    Needle coke-based
•    Petroleum coke-based
By Application
•    EAF scrap-based steel
•    Ladle furnace and refining in blast furnace mills
•    Silicon, ferroalloy and other submerged-arc furnaces
•    Others (specialty, non-steel)
By Trade Flow
•    Domestic production for domestic consumption
•    Production for export
•    Imports
By Sales Channel
•    Tenders and long-term contracts
•    Distributors and traders
•    Direct export contracts
By Region
•    North China
•    Northeast China
•    East China
•    Central and South China
•    Southwest and Northwest China
Key China Graphite Electrode Manufacturers Covered
Leading Chinese producers and exporters include, but are not limited to:
•    Fangda Carbon New Material
•    Jilin Carbon
•    Kaifeng Carbon
•    Fushun Carbon
•    Dantan New Materials
•    Shanxi Juxian Graphite New Material
•    Other regional graphite electrode manufacturers and needle coke suppliers