Tirupati, one of the few graphite producers outside of China, highlights the growing global dependence on China for essential minerals in the energy transition, such as flake graphite, crucial for lithium-ion batteries.
The company foresees an imbalance between graphite demand and supply by 2025, with continuous demand outpacing production growth, especially as the automotive industry ramps up electric vehicle production.
This scenario, combined with export restrictions from China, could have a positive impact on graphite prices, which have been declining since the beginning of the year.
Tirupati currently extracts natural graphite from its mines in Madagascar, with plans to expand its production.
The company aspires to become a major global supplier, aiming to meet approximately 8% of global demand by 2030, from its projects in Madagascar and those under development in Mozambique.
The situation in China plays a crucial role in Tirupati’s strategy. Announced export restrictions on graphite and their impact on electric vehicle battery supply chains could significantly influence the company’s development.
Mozambique and Madagascar, as major graphite producers outside of China, currently represent approximately 15% of global production.
